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Businesses to now receive up to £4000 for every new apprentice hired before September 2021

In July 2020, the government announced new incentive payments for employers to encourage the recruitment of new apprentices. Originally planned to end on 31 January 2021, the incentive payments have now been extended for a third time to September 2021.

The amount each business will receive for every new apprentice hired is also being increased to £3,000 from April 2021. With the existing £1000 incentive for taking on a 16-18 apprentice, this now means businesses will receive up to £4000 per apprentice recruited.

The news is being welcomed by Julie Tegg, Director of Employer Training at Gloucestershire College.

“The increased financial support available for businesses announced as part of the government’s Plan for Jobs, is great news for Gloucestershire businesses who are already bucking the national trend and continuing to back local talent and bring apprentices into their organisations, despite the challenges brought about by COVID-19.

“It’s particularly good news for those employers looking to take advantage of the redevelopment of our Cheltenham campus for IT, Cyber and Engineering which will be ready for new apprentices joining us in September of this year.”
Although the picture is improving, nationally the number of apprenticeship starts is down year on year. The latest figures from the Department for Education showed that there were 91,100 apprenticeship starts for the first quarter of 2020/21 (Aug-Oct20) compared to 125,800 for the same period in 2019 (down 27.58%).

This national trend has not been reflected at Gloucestershire College, who have welcomed more than 650 new apprentices to Gloucestershire College since September 2020, many of whom are with businesses who have taken on apprentice for the first time.

What is an apprenticeship?

Apprentices are full-time employees who work alongside other staff members whilst gaining job-specific skills. Apprenticeships allow anyone aged 16 or above to build the skills and knowledge needed in their chosen career path and will also lead to nationally recognised qualifications. Ranging from entry to degree level, there is no limit to what can be achieved through an apprenticeship.

What is required from employers?
• Full-time employment of the apprentice for the duration of their apprenticeship
• National apprenticeship minimum wage must be paid to any apprentice hired
• 20% off the job training – this could be day release, block delivery in college or online training depending on the apprenticeship programme

What are the benefits for employers?

• Receive an incentive payment from the government of up to £4,000 for each new apprentice hired before September 2021.
• Gain a loyal and enthusiastic employee who will bring fresh new talent and ideas into your organisation
• Shape the development of apprentices to meet the needs of your business as they grow and train
• Apprenticeships are a great way to build the talent pipeline of your organisation and fill skill gaps

How are the apprenticeship incentives paid?

To claim the incentives, employers need to set up an online Apprenticeship Service account and request the payments. The money will be paid directly into their business bank account.

To recruit an apprentice and claim up to £4,000 get in touch with our Business Hub team at Gloucestershire College

Hiring an apprentice is the same as hiring an employee. Employers have the final say on who they recruit and the team at Gloucestershire College can even help you advertise the vacancy for free.
Our Business Hub team can offer no-obligation advice and help your business to maximise the funding on offer. We are specialists at helping businesses to fill skill gaps and build their talent pipeline for the future.
We have talented applicants apply to us all year round looking for positions, so if you are looking to recruit, get in touch with our Business Hub team today via:

View the full range of apprenticeship programmes and courses for businesses at Gloucestershire College.


Why Gloucestershire College?

We have a lot of experience offering Apprenticeships and work-related training. We have industry-standard facilities and experienced teaching staff which provide the ideal complement to work-based learning.

We are here to help

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90% of students would recommend GC and 95% said that the teaching on their course was good.

Ofsted has rated us good.

  • We offer industry relevant facilities
  • Our lecturers are passionate subject specialists
  • Employers value our students' skills

We'll look after you. We have dedicated teams to help you and a great Learning Mentor scheme.