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The government recently provided more information about the £2bn Kickstart Scheme, an initiative that provides funding to employers to create job placements for 16 to 24-year olds.

Announced by the chancellor in the summer the Kickstart Scheme will provide 6-month placements with local employers to young people who are on Universal Credit and are at risk of long-term unemployment. 

The scheme is part of the government’s Plan for Jobs and aims to create hundreds and thousands of new, fully funded jobs across England, Scotland and Wales. The first placements are likely to be available from November.

For each job placement, funding will cover:

  • 100% of the relevant National Minimum Wage for 25 hours a week
  • The associated employer National Insurance contributions
  • Employer minimum automatic enrolment contributions

The job placements should support the participants to develop the skills and experience they need to find work after completing the scheme.

A key point for employers to note is that their applications must be for a minimum of 30 job placements. Martin Johnson, partner at Torgersens said: ‘If your company can’t create 30 placements, the Government has advised that you can form or join a group of employers to reach the minimum number. These will be either similar employers, local authorities, trade bodies, or registered charities. You can find out about local groups by contacting your Kickstart Scheme employer contact at the DWP, initially by emailing northeast.kickstart@dwp.gov.uk.’

Further details for employers can be found at GOV.uk here.

About the Author

Martin Johnson Image

Martin Johnson

Partner
With expertise in advising family-owned companies on a range of tax, accountancy and business issues, Martin also has an in-depth knowledge of the automotive and property sectors. In addition, he provides advice on inheritance tax planning and financial management to owner-managed businesses.  Martin leads the firm in developing its expertise in the buy-to-let sector, advising both residential and commercial property owners on relevant tax and legislation issues. A further element to Martin’s role is to build Torgersens’ relationships with banks, financial advisors and specialists in commercial and employment law to ensure that the firm’s clients have access to market-leading guidance.  

To get in touch please e-mail martin.johnson@torgersens.com.

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