Following the landmark announcement on Monday from the Department for Work and Pensions (DWP), the government has launched a £1 billion "Youth Employment Drive" to create 200,000 new jobs and apprenticeships.
This £1 billion boost is part of a total £2.5 billion investment over the next three years to ensure every 16–24-year-old has the chance to 'earn or learn.' This historic funding will unlock 500,000 new opportunities, providing a massive pipeline of talent and the financial backing to train them.
The key incentives for your business from this summer:
£2,000 Apprenticeship Incentive: Small and medium-sized businesses will now receive £2,000 for every new employee aged 16–24 taken on as an apprentice.
£3,000 Youth Jobs Grant: If you hire a young person (18–24) who has been looking for work for six months or longer, your business will receive a £3,000 grant.
As well as:
£1,000 for employers who hire apprentices aged 16-18 years old
No National Insurance Contributions on employees under 21 or apprentices under 25
How Skills4 can help you
The government is calling this the "biggest transformation of apprenticeships in a decade." At Skills4, we are ready to help you navigate these changes:
Grant Access: We will help you identify which incentives you are eligible for to ensure you receive the maximum funding.
Expert Recruitment: Our year-round recruitment service will find high-quality candidates ready to take one of these 200,000 new spots.
The goal of this drive is to close the skills gap. Prime Minister Sir Keir Starmer explains:
“Backing young people is one of the most important investments we can make in this country’s future.
We are determined to tackle the rise in youth unemployment by expanding practical routes into work, boosting apprenticeships, and giving employers the clarity they need.
These reforms underpin our ambition to create an economy that works for everyone, closing the skills gap and supporting more young people into meaningful employment.”
What’s next?
We’ll keep updating this page as soon as the government releases the finer details of the rollout. In the meantime, we want to help you prepare. Work with us to maximise this opportunity and ensure your business is at the front of the queue for this historic level of support.
Contact us
If you have any questions, please call us at 0161 794 0528 or visit the gov.uk website to learn more about this drive.