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Government to Give Businesses £1,000 for Every Trainee Taken on

Chancellor Rishi Sunak is expected to reveal a £121m pledged to encourage businesses to take on trainees

On Wednesday 8th July, Chancellor Rishi Sunak is expected to announce a pledge to provide 30,000 new traineeships in England through a £121m initiative scheme. 

As the economic repercussions of Covid-19 make themselves known, the government is offering businesses a £1,000 bonus for each trainee they take on.  

This is an attempt by the government to mitigate one effect of an economic downturn – a severe shortage of jobs and opportunities, particularly for 16 to 24 year olds. 

Businesses can sign up to the traineeship scheme by contacting the National Apprenticeship Service, or they can choose to get in touch with a local traineeship provider. 

Either way, they must be prepared to offer the following:

  1. A quality, worthwhile placement for a minimum of 60 hours (reduced from 100 under the new scheme)
  2. Constructive feedback and advice, including CV mentoring
  3. An interview for an apprenticeship or job at the end of the traineeship if there’s one available
  4. An exit interview alongside well-considered written feedback

If you don’t know whether hiring a trainee is the right move for your business, it’s worth noting that there are benefits for you too.

For example hiring a trainee gives your other employees a chance to gain experience in mentoring and management. 

You could even use the traineeship as an opportunity to clear an objective you’ve had on the back burner.

The employment rate is set to plummet, but offering your trainee further training in the form of an apprenticeship can help you to build a strong, loyal workforce for the future. 

Peter Webb, Managing Director of ETI recognises this. He says: 

“Apprenticeships and work placements can be positive in two ways; for the individual, who will get hands-on experience and a foot in the door, and the employer who gets an extra pair of working hands to increase output and productivity.”

Read our full guide on how to take on an apprentice for more information.


Aimee Bradshaw
Aimee Bradshaw

Writer and researcher

Aimee recently joined Startups as resident expert in business tech, products, and services. Having ran her own egg delivery business from the age of 12, she is an advocate of self starters and small businesses.