In July 2020, the Government announced new incentive payments for employers to encourage them to recruit new apprentices. Originally planned to end on 31 January 2021, they will now finish at the end of January 2022.
The amount each business will receive for every new apprentice hired was also increased to £3,000 from April 2021. This is in addition to the £1000 incentive for taking on an apprentice aged 16-18 which now means businesses can receive up to £4000 per apprentice recruited.
The payment is different to apprenticeship levy funds, in that it can be spent on anything to support an organisation’s costs, for example, on uniforms, apprentice’s travel, or their salary. What’s more, it doesn’t have to be paid back.
The increased financial support available for businesses was announced as part of the Government’s Plan for Jobs and is great news for businesses that are choosing to bring apprentices into their organisations this New Year.
What is an apprenticeship?
An apprenticeship is a full-time job with additional training and support. Apprentices work alongside other staff members whilst gaining job-specific skills. Apprenticeships can be done in the workplace or supported remotely if your team are working from home. Apprenticeships allow anyone aged 16 or above to build the skills and knowledge needed in their chosen career path and will also lead to nationally recognised qualifications. Ranging from entry-level to the equivalent of a post-graduate degree, there is no limit to what can be achieved through an apprenticeship.
What’s in it for employers?
- Receive an incentive payment from the Government of up to £4,000 for each new apprentice hired before 31 January 2022.
- 98% of employers experience additional benefits of hiring apprentices
- 78% of employers with an established apprenticeship programme, report improved productivity.
- Over 90% of apprentices stay on in their place of work after completing an apprenticeship.
- Apprenticeships are designed by employers to be role-relevant and develop the skills needed in each industry but also the specific skills your business needs
- Apprenticeships are a great way to build the talent pipeline of your organisation and fill skill gaps.
To recruit an apprentice and claim up to £4,000 get in touch.
Hiring an apprentice is the same as hiring an employee. Employers have the final say on who they recruit and the team at City Skills can even help you advertise the vacancy for free.
We offer no-obligation advice and help businesses to maximise the funding on offer. We are specialists at helping businesses to fill skill gaps and build their talent pipeline for the future.