Incentive payment for hiring a new apprentice - check who is eligible

EmployerThis article sits within the Employer section

Incentive payments for hiring a new apprentice are available for employers who recruit apprentices as new employees to their organisation between 1 October 2021 and 31 January 2022 inclusive.  You’ll need to add the new apprentices to your apprenticeship service account before you apply. 

You can apply for apprentices who: 

  • work full or part-time (including those on zero hours contracts)
  • have been made redundant by a previous employer, as long as the previous employer has not received an incentive payment for the same apprentice

Employers will be eligible for an incentive payment for all individuals progressing from the Kickstart Scheme to an apprenticeship regardless of their employment history

You can apply for new apprentices hired from 1 October 2021 to 31 January 2022 from 11 January to 15 May 2022. 

Please note: It is the employers' responsibility to apply for the incentive payment for hiring a new apprentice.  This can't be done by the training provider.

Where you apply for an incentive payment in the same month as being eligible to be paid an installment, payment of your installment may be delayed by a month to allow for necessary payment checks.

What you’ll get 

For new apprentices of all ages: 

  • £3,000 per apprentice 

To get the full payment, the apprenticeship must last for at least one year. You’ll get the payments in two instalments after the apprentice completes 90 days and 365 days of learning as confirmed by their training provider. Your payment will take longer if your apprentice takes a break in learning. 

The payment is in addition to the existing £1,000 you’ll already get for taking on an apprentice who is: 

  • aged 16 to 18 years old 
  • under 25 and has an education, health and care plan or has been in the care of their local authority 

Things to check

You must ensure that you have:

  • correctly added all the PAYE schemes that you use to pay your apprentices, to your account, and
  • only applied for eligible apprentices. You must have documentation that can validate your claim,  as listed in  the funding rules

You cannot claim the incentive payment for hiring a new apprentice if: 

  • the payment has already been made to a different employer for the apprentice.  This includes if the apprentice was made redundant and the previous employer claimed an incentive payment for hiring a new apprentice
  • the apprenticeship is not being managed using the apprenticeship service
  • the apprentice has had a contract of employment with you starting within the 6 months prior to 1 October 2021

Last updated on

Is this page useful? Thank you for your feedback. You can