Bonuses for Employers to Hire Apprentices and Trainees

Wednesday 8th July 2020

It was announced today that employers will be given cash bonuses for the next six months to take on new apprentices and trainees

Employers will receive £2,000 to take on a new apprentice, £1,500 to take on a new apprentice aged over 25 and £1,000 to take on a new trainee. This is in addition to the existing £1,000 that employers receive for new 16 – 18 year old apprentices and those aged under 25 with an Education, Health and Care plan. 

In some circumstances, employers could receive up to £3,000 to take on a new apprentice before the end of January 2021.

The Treasury has pledged to kickstart youth employment with apprenticeships and traineeships, while also supporting young people as they leave school and college this summer. 

What is a traineeship

  • Work placement and training that lasts from six weeks to six months 
  • Aimed at 16 to 24-year-olds
  • Trainees may complete a maximum of 240 hours of work experience over six months
  • If able, employers should offer an interview for an apprenticeship or job at the end of the traineeship
  • Unlike an apprenticeship, it is not a paid position

What is an apprenticeship

  • Combines on the job training and classroom learning 
  • Open to all ages 
  • Paid position within the organisation – a paid member of staff
  • Last between one year (intermediate apprenticeships) and six years (higher/degree apprenticeships) 
  • Gain formal qualifications such as NVQs, foundation degrees and technical certificates

Finer details:

  • The apprentice must be a new employee
  • For 16-24 the employer will receive £2,000 and 25+ £1,500
  • This will be paid in two instalments: 50% after 90 days and 50% 365 days after the start date
  • The employer must use the Apprenticeship Service to access funding for the apprenticeship
  • The payment must be claimed by the employer via the Apprenticeship Service

Find out more about traineeships here and apprenticeships here or contact us on 01635 35 975 to discuss taking on an apprentice or trainee. 

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