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Incentive payment for hiring a new apprentice


Posted on: July 12th, 2021

The government’s plan for jobs will help to kickstart the nation’s economic recovery. In recognition of the value apprentices can bring to our economy, an incentive payment is available for employers who hire a new apprentice between 1 April 2021 and 30 September 2021.

Businesses that offer apprenticeships view them as beneficial to their long-term success. Hiring an apprentice is a productive and effective way for any business to grow talent and develop a motivated, skilled and qualified workforce.

As the economy recovers from the COVID-19 outbreak, apprenticeships will be more important than ever in helping businesses to recruit the right people, and develop the skills they need to respond to conditions and grow – both now and in the long-term.

Incentive details

From 1 April 2021 until the 30 September 2021, there is a £3,000 incentive grant available for businesses taking on new apprentices.

The payment will be made directly to employers in two equal instalments, where the apprentice is still in learning at day 90 and day 365.

To qualify for the new incentives, the apprentice must be a new employee to the business, have a contract of employment start date between 1 April 2021 and 30 September 2021 (inclusive) and must not have been employed by the employer within the six months prior to the contract start date.

Claiming the payment

The employer will need to claim the incentive payment via the online apprenticeship system from 1 April 2021. Further information on the system can be found in your Apprenticeship Service Account

Further eligibility criteria applies - if you would like to find out further information or require assistance, please contact us.

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