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Government Incentives for Recruiting Apprentices


Exciting news for employers considering hiring an apprentice in 2021 - As part of the Government’s Plan for Jobs, the 2021 March budget announced a new apprenticeship cash incentive for companies hiring new apprentices.

Up to £4,000 is now available for new apprentices hired between 1st April and 30th Sept 2021: 

  • NEW Apprentices of any age can attract £3,000 Government incentive.

  • Employers can claim up to £4,000 for each NEW apprentice aged 16-18. This is due to the additional existing £1,000 payment already in place for new apprentices aged 16 to 18 and those under 25 with an Education, Health and Care Plan.

These new government incentives were designed to stimulate the existing success of apprenticeships and help in rebuilding the economy after the coronavirus outbreak, with Sunak quoted saying “We know apprenticeships work. Ninety-one percent stay in work or go on to further training.”

There has never been a better time for an organisation to hire an apprentice! So, who can claim and how does it work?

  • Payments are for employers who hire new apprentices between 1 April 2021 to 30 Sept 2021
  • £3000 is available for each new apprentice hire, regardless of age
  • £4000 is available for each NEW apprentice aged 16 to 18 and those under 25 with an Education, Health and Care Plan
  • Employers can spend the cash incentive on anything to support your organisation’s costs. For example, on uniforms, your apprentice’s travel, or their salary. You do not have to pay it back
  • Incentive is available to levy and non-levy organisations

Further details can be found on the Government website.

Our Business Development Team will gladly advise you on hiring an apprentice and explain how these government incentives work. We also offer a free recruitment service to employers looking for an apprentice, so please get in touch on 01234 291747 or email