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Employers taking on new apprentices will be rewarded up to £2,000

Monday 20 July 2020

Last week, The Skills Funding Agency (SFA) published details of eligibility rules around new cash incentives for businesses taking on new apprentices.

This was first announced by the chancellor as part of his summer statement on Wednesday 8 July, and will mean that from August 2020 until 31 January 2021, businesses taking on new apprentices will be rewarded with £2,000 for a 16 to 24-year-old and £1,500 for apprentices who are 25 years or older.

The document highlights that there will be no limit on the number of incentive payments, so businesses can benefit from re-building their businesses after lockdown.

In a recession, young people are less likely to find work and more likely to lose their jobs. This can be avoided if the focus is on getting people trained and ready for when the labour market begins to grow again.

AoC (Association of Colleges) is calling on the Government to reduce the post-furlough shock, minimise the risk of economic scarring, and prepare the country for rebuilding the economy in their document ‘Rebuild: A Skills Led Recovery Plan’.

The apprenticeship incentive will ensure that colleges and businesses can work together to support young people to gain the skills businesses need to help our economy get back on track.

You can read more about the Apprenticeship incentive by clicking here.

You can read more about the AoC Re-Build campaign by clicking here.

If you are interested in taking on an Apprentice or becoming an Apprentice, please take a look at our Apprenticeships webpage or contact our Apprenticeships team by emailing: This email address is being protected from spambots. You need JavaScript enabled to view it.

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