The full range of Government Incentives for Apprenticeship Employers

1. A £3000 new incentive for recruiting any age apprentice between 1st April 2021 and 30th September 2021, claimed by the employer via the Apprenticeship service
2. In addition, a £1000 incentive for the following (also payable for existing employees) – payable via SGS College in equal instalments at 90 days and 12 months for;
   • A 16-18 year old apprentice
   • A 19-24 year old with an Education and Health Care Plan EHCP
   • A 19 -24 year old who has previously been in local authority care
3. Employers make no National Insurance payments for apprentices under age 25

   Example saving. An employer has a staff member who is under 25 and paid £16000 per year. The employer will be paying 13.8% NI on earnings above the first £8,424, so 13.8% x £7576 = £1045. If the staff member starts an apprenticeship, the employer will save £1045 per year, until the staff member reaches 25.

4. Government Contribution to Training Costs

   This is dependent on the size of employer and the age of the apprentice.

   For SME employers, with under 50 employees, apprenticeship training costs for are 100% government funded for 16 -18s, 19 - 24s EHCP and 19 – 24 care-leavers.

   For SME employers, for all other age groups, training costs are 95% government funded.

   For levy paying employers, training costs are 100% levy-funded, for all ages of apprenticeship, unless the full levy is used up. Training costs are then 95% government funded.

5. The government top-up levy funds with an additional 10%

   This is paid monthly into the apprenticeship service account.

6. Care Leaver Bursary

   A £1000 one-off payment to apprentices who have previously been in local authority care.

For any further information, or for help with the incentives, funding and apprenticeship process, please contact our Business Development team at [email protected]