{"id":13186,"date":"2021-10-26T10:18:14","date_gmt":"2021-10-26T10:18:14","guid":{"rendered":"http:\/\/atwdev.co.uk\/workingknowledge\/quick-look-kickstart-vs-apprenticeship-funding\/"},"modified":"2024-06-29T10:36:48","modified_gmt":"2024-06-29T10:36:48","slug":"quick-look-kickstart-vs-apprenticeship-funding","status":"publish","type":"post","link":"https:\/\/atwdev.co.uk\/workingknowledge\/quick-look-kickstart-vs-apprenticeship-funding\/","title":{"rendered":"Kickstart vs Apprenticeship funding"},"content":{"rendered":"\n\n\t

The Kickstart scheme<\/a> and the\u00a0\u00a33,000 cash incentive<\/a> for businesses to take on an Apprentice have both been extended until January 2022<\/a>, and there are currently calls from both government and industry for this to be extended even further.<\/p>\n

The Covid-19 pandemic has led to unprecedented government funding, grants and loans for UK businesses. Here we take a look at the schemes for Kickstart vs Apprenticeship schemes, the two we are most often asked about.<\/p>\n

What is Kickstart?<\/b><\/h3>\nThe Kickstart Scheme provides funding for employers to create job placements for 16 to 24 year olds on Universal Credit. It is designed to take young people who are unemployed, and on Universal Credit, and get them into work.
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\nThe government will cover the full salary costs of eligible employees equivalent to the National Minimum Wage (or the National Living Wage depending on the age of the participant) for 25 hours per week for a total of 6 months. The government will also cover associated Employer National Insurance Contributions and minimum automatic enrolment pension contributions.\n

Who is eligible for Kickstart?<\/b><\/h3>\n

The key criteria is that you must be a Limited Company (sole traders are not allowed) or a registered Charity. You must have been trading for at least 12 months and have accounts registered with Companies House. You can find more detailed information on eligibility here<\/a>.<\/p>\n

Is Kickstart good for small businesses?<\/b><\/h3>\n

The Kickstart Scheme is ideal for employers looking to give someone a chance and test them out.\u00a0<\/p>\n

Initially there was a 30-person threshold, but in good news<\/a>, this was scrapped in February<\/a>. That means small businesses no longer need an intermediary to access the incentive for one or two placements.\u00a0<\/p>\n

The financial commitment is low, but keep in mind that someone who has been on Universal Credit for more than 6 months may require a bit of extra support re-entering the workplace.<\/p>\n

If you don’t have time to really nurture new employees, there are organisations throughout the country like EmployabilityUK<\/a> who can offer support.<\/p>\n

What is the Apprenticeship incentive?<\/b><\/h3>\n

There are more than 600 Apprenticeship standards from degree-level accounting to cyber security and marketing . Far removed from the apprenticeships of old, this new breed of workplace training<\/a> is designed to upskill workers of any age in order for UK business to thrive.<\/p>\n

If your business is registered in England, has less than 100 employees and your apprentice is a PAYE employee, then the apprenticeship is 95% government funded. In addition, Rishi Sunak will give you \u00a33,000 to say thank you. This is payable in two instalments, at 90 days and 365 days.<\/p>\n

In addition, if your apprentice is under 25, then you don’t pay Employer’s NIC. This means that on a salary of \u00a316,000, you’ll save about \u00a31,300 per year. <\/p>\n

Who is eligible?<\/b><\/h3>\n