The new £2 billion Kickstart Scheme launches today, aiming to create hundreds of thousands of new, fully subsidised jobs for young people across the country. Those aged 16-24, claiming Universal Credit and at risk of long-term unemployment, will be eligible. Funding available for each six-month job placement will cover 100% of the National Minimum Wage for 25 hours a week – and employers will be able to top this wage up.
A total of £1.6 billion will be invested in scaling up employment support schemes, training and apprenticeships to help people looking for a job. Young people, who are amongst the worst hit by the crisis, will benefit from the scheme. This includes:
- Businesses will be given £2,000 for each new apprentice they hire under the age of 25. This is in addition to the existing £1,000 payment the Government already provides for new 16-18-year-old apprentices and those aged under 25 with an Education, Health and Care Plan.
- A £111 million investment to triple the scale of traineeships in 2020-21 ensuring more young people have access to high quality training.
- £17 million of funding to triple the number of sector-based work academy placements in 2020-21
- Nearly £900 million to double the number of work coaches to 27,000;
- Over a quarter of a million more young people to benefit from an extra £32 million investment in the National Careers Service.
Secretary of State for Work & Pensions, Therese Coffey MP, said:
"As we launch our £2 billion Kickstart programme, putting young people at the heart of our revival - we are urging businesses to get involved in this innovative scheme and take advantage of the enormous pool of potential out there.
There is no limit on the number of opportunities we’ll open up through Kickstart and we’ll fund each one for six months as part of Our Plan for Jobs to create, support and protect jobs.
Young people taking part will receive on-the-job training, skills development and mentoring, as we get them on that first rung of the jobs ladder and on their way to successful careers."
Lucy Allan MP said:
“Historically, Telford is a town that has been among the hardest hit by previous recessions, and it was once an unemployment blackspot, particularly for young people not in education, training or employment.
Our history in Telford shows us that by embracing innovation and helping people into work, our town and in particular its young people, can flourish. The Chancellor’s Kickstart scheme will help to prepare the next generation of apprentices and trainees for an uncertain jobs market. Young people will be at the heart of our economic recovery and it is right that the Government provides the right support for under 25s to ensure they are ready to meet the challenges of the coming years.
I would like to take this opportunity to thank the Treasury team for the incredibly agile and responsive support that they have given to workers and businesses throughout the pandemic, and to young people across Telford today. My message to the Chancellor is: keep doing what you are doing, because we know you are with us every step of the way.”
