Employers who hire apprentices as new employees between October 1, 2021, and January 31, 2022, will be eligible for incentive payments. Before you apply, you’ll need to add the new apprentices to your apprenticeship service account.

Some places offer a variety of incentives that employers should be aware of as part of the government’s attempts to recognize the value that apprentices bring to the economy as a whole. The deadline for these incentives has just been extended, and now applies to any new apprentice hired before a set date.

The goal of these incentives and the deadline extension is to give employers more support so that they can expand capacity after COVID-19. They also give high-quality apprenticeship opportunities for people who are just starting in the workforce and want to learn in-demand skills.

Here, take a closer look at the incentives and examine how they can directly benefit employers.

What Are Apprenticeship Incentives and How Do They Work?

Employers who hire new apprentices are eligible for a monetary incentive of £3,000 under the government’s apprenticeship program. This is on top of a £1,000 bonus for hiring apprentices between the ages of 16 and 24.

  • What Can You Do With Apprenticeship Incentive Grants?

What are the types of apprenticeship employer incentives? Essentially, you can use incentive grants for anything that helps your firm or organization meet its expenses. However, there are proposals that the funds be used to enhance the apprenticeship scheme as much as feasible. In this situation, a more comprehensive learning experience will help your company in the long run.

  • The incentives can be used for a variety of purposes, including:

Specialized clothing and equipment

Expenses for your apprentice’s travel Any necessary licenses

  • You can apply for apprentices who can do the following:

Work by previous employers has been rendered redundant whether full-time or part-time (including those on zero-hour contracts), as long as the former company has not received any form of reward payment for that exact apprentice.

Employers will be eligible for a financial incentive for all persons who graduate from elsewhere to an apprenticeship, regardless of their previous job history. It is the responsibility of the employers to apply for the incentive payment for recruiting a new apprentice. This is something that the training provider will not be able to perform.

Payment of your installment may be delayed by a month if you apply for incentive/payment in the same month that you are eligible for installment payment. This is to allow for essential payment checks.

  • What you will receive

For all new apprentices, regardless of age:

a total of £3,000 per trainee

The apprenticeship must last at least one year to receive the full payment. After the apprentice has completed 90 days and 365 days, you will be paid in two installments.

  • Checkpoints to make

You must have the following items:

All of the PAYE plans that you have utilized to pay the apprentices you hired were appropriately uploaded to your account, and only qualified apprentices were applied for. As stated in the financing regulations, you must have paperwork to support your claim.

If any of the following apply, you will be unable to claim the incentive payment for recruiting a new apprentice. For the apprentice, payment has already been made to a different employer. This includes situations where the apprentice was laid off.