£2 Billion Kickstart Scheme Launches to Create New Jobs for Young People

The Government’s new Kickstart Scheme is a £2 billion fund designed to create high quality six-month work placements for those aged 16 to 24 who are on Universal Credit and are deemed to be at risk of long term unemployment.

Evidence shows that young people are more likely to have been furloughed, with many working in sectors disproportionately hit by the coronavirus (COVID-19) pandemic. New jobs created through this scheme should give young people the opportunity to build their skills in the workplace and gain experience to improve their chances of finding long-term work.

Employers will receive funding for 100% of the relevant National Minimum Wage for 25 hours a week, plus associated employer National Insurance contributions and employer minimum auto-enrolment pension contributions. Employers will be able to top up this wage, while the Government will also pay employers £1,500 to set up support and training for people on a Kickstart placement, as well as helping pay for uniforms and other set up costs.

The scheme is available to employers in England, Scotland and Wales that are looking to create new job placements for young people. Any organisation, regardless of size, can apply for funding. Applications must be for a minimum of 30 job placements.

Chancellor Rishi Sunak said:

‘This isn’t just about kickstarting our country’s economy – it is an opportunity to kickstart the careers of thousands of young people who could otherwise be left behind as a result of the pandemic.

‘The scheme will open the door to a brighter future for a new generation and ensure the UK bounces back stronger as a country.’

Applications are open at any time. The scheme will initially be open until December 2021, with the option of being extended.

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