Employer incentives

Apprenticeship Grant for Employers (16 to 24 years old)

The Apprenticeship Grant for Employers (AGE) is aimed at helping eligible employers to offer young people employment through the Apprenticeship programme. The apprentice(s) must be aged 16–24 years old for the employers to receive the financial assistance.

The National Apprenticeship Service has pledged to provide up to 40,000 Apprenticeship grants to employers with up to 1000 employees recruiting 16 to 24 year olds, each with a value of £1,500.

The £1,500 wage incentive is in addition to the training costs of the Apprenticeship framework which are met in full for young people aged 16 to 18 and 50% for those aged 19 to 24.

At a glance:

  • Aimed at businesses looking to take on Apprentices aged 16 – 24;
  • Employers must have less than 1000 employees;
  • For employers who have not employed an apprentice in the last 12 months;
  • Subject to availability, up to ten grants can be made to any one employer
  • Is it advisable to check with your Local Enterprise Partnership (LEP) and/or your Local Authority for any ‘enhanced incentive offers.’

For information on the Apprenticeship Grant for Employers (AGE), please contact the National Apprenticeship Service on 08000 150 600 or click here. This grant has been extended to December 31 2013. A copy of our Employer Incentives factsheet can be downloaded here.

Wage Incentive (18 to 24 years old)

Employers who take on young people may be eligible for wage incentives of up to £2,275 each. Wage incentives are available for employers who recruit an 18 -24 year old who has been receiving benefits for at least six months through Jobcentre Plus. Wage incentives are also available through Work Programme and Work Choice providers.

The wage incentive is available if you employ someone for 16 hours or more each week in a job lasting more than 26 weeks. There are two rates:

  1. for part-time work between 16 and 29 hours a week – £1,137.50
  2. for full-time work of 30 hours or more a week – £2,275.

This will be paid 26 weeks after the employee starts work. Small businesses with fewer than 50 employees can claim a part payment eight weeks after the employee starts work.

For information on the Wage Incentive please contact Jobcentre Plus on 0845 601 2001 (Option 2), or click here for full terms and conditions. A copy of our Employer Incentives factsheet can also be downloaded here.