Financial support to hire a young person

Employer

Employing a young person on an apprenticeship can bring fresh ideas and energy, providing skilled talent for the future.

New and existing financial support is available, and employers can claim more than one of the payments outlined below.

Payment Age eligibility Schedule
£1,000 additional payment for hiring apprentices 16 to 18 (and under 25 with an EHC plan or care leavers) Paid in two equal instalments, at day 90 and one year after apprenticeship started (or day 242 if apprenticeship under 12 months).
£2,000 foundation apprenticeship incentive 16 to 21 (and under 25 with an EHC plan, care leavers, or prisoners and prison leavers) Paid in three equal instalments, at day 90, day 242 (8 months) and the final payment when an apprentice progresses onto their next apprenticeship.

£2,000 apprenticeship hiring payment for non-levy employers.

(from 1 October 2026)

 16 to 24 (new employees) Paid in two equal instalments at day 90 and day 365 (or day 242 if apprenticeship is under 12 months).
£3,000 Youth Jobs Grant 18 to 24, if apprentice has been unemployed and on universal credit for 6 months or more Paid in two instalments of £1,800 after 6 weeks and £1,200 after 18 weeks.
Please note: the Youth Jobs Grant payment is paid directly to employers by the Department for Work and Pensions, full guidance is available able on GOV.UK. For the other payments above, the apprenticeship training provider claims them on behalf of the employer and then passes them on.

 

Additional benefits for taking on a young person

Once available, employers will be able to receive the new hiring payment in addition to existing payments. These include:

In addition, training providers will get an extra £1,000 payment for supporting apprentices aged 16 to 18 (and under 25 with an EHC plan or care leavers). We pay this over two equal instalments, with more details in the funding rules.

 

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