Employers and the government’s Kickstart Scheme

2 Sep 2020

budget 2021

The government has released more information about its Kickstart Scheme, which aims to create hundreds of thousands of six-month work placements for young people (aged 16-24).

The funding available

For employers, the funding available for each job will cover the relevant National Minimum Wage for 25 hours a week, plus the associated employer National Insurance contributions and employer minimum automatic enrolment contributions. There is also £1,500 per job placement available for setup costs, support and training.

How to access the scheme

Employers that wish to participate must go through an application process. The scheme favours larger employers, as applications must be for a minimum of 30 job placements. If an employer is unable to offer this many job placements, they can partner with other organisations to reach the minimum number.

Representatives applying on behalf of a group of employers can get £300 of funding to cover associated administrative costs of bringing employers together.

Requirements of the scheme

Any organisation, regardless of size, can apply for funding, but the job placements created must be new jobs. They cannot either replace existing or planned vacancies, or cause existing employees or contractors to lose or reduce their employment.

Each role must be for a minimum of 25 hours per week, lasting for six months, with a salary of at least the National Minimum Wage for the employee’s age group.

The candidates

The government will, at least initially, prioritise young people who are ready for an opportunity and will be supported by their Jobcentre Plus work coach to enrol in the scheme. Employers will be expected to select a candidate from the pool of young people registered with the government. It is not possible for them to identify their own candidates from outside of the scheme. 

Kickstart is not an apprenticeship, but participants may move on to an apprenticeship at any time during, or after their job placement.

For more information and to find out more about applying, visit: https://www.gov.uk/guidance/check-if-you-can-apply-for-a-grant-through-the-kickstart-scheme