Apprenticeship Incentive Schemes
The Chancellor’s “A Plan for Jobs” speech launched a wave of new apprentice incentive schemes to help boost the economy and kick-start jobs growth and recovery post Covid-19.
The Chancellor’s plan is designed to support jobs by focussing on skills and young people, with the creation of 30,000 new Traineeships as well as financial incentives for employers taking on trainees and apprentices.
With 20 years’ experience in delivering Apprenticeships and Traineeships, DBC is supporting employers to understand the range of incentives available and how they can benefit their organisation.
The Chancellor’s 2021 Budget confirmed an expansion of the Government’s apprenticeship incentives scheme to provide continued support in helping to boost the economy and kick-start jobs growth and recovery post Covid-19.
The apprenticeship incentives scheme provides a cash boost for businesses to help to grow their own talent and create new opportunities for young people to start their career, or to re-skill for growth jobs and industries.
From the 1st April 2021, employers who take on a new apprentice – of any age – can claim a grant of £3000. Incentives to hire an apprentice will be extended until September 2021 with employers able to claim:
£3,000 per new hire, regardless of the apprentice’s age
£4,000 per new hire, for apprentices aged 16 to 18 (and those under 25 with an Education, Health and Care Plan)
Apprenticeships are jobs with vocational training which leads to an Apprenticeship qualification upon completion. Apprentices are employees and employers must pay their apprentices the Minimum Apprentice Wage for their age group.
What incentives are available?
£2,000 for any business taking on a new apprentice aged 16-24 between 1 August 2020 – 31 March 2021. This payment is in addition to the £1,000 for any business taking on an apprentice aged 16-18 (or aged 19-24 with an Education Health and Care plan or care leaver).
£1,500 for any business taking on a new apprentice over the age of 25 between 1 August 2020 – 31 January 2021.
Business with fewer than 50 employees will have 100% of the Apprenticeship cost for apprentices aged 16-18 funded by the Government
For more information on apprenticeships, please contact us on 01332 947973 or