Shifting the apprenticeship focus on young people is a positive step, says LTE Group

Extra funding incentives for employers and new foundation apprenticeship sectors among the raft of new reforms from the DWP to support young people. 

The government’s reforms to apprenticeships and employment support aim to help more young people into work, but further action is needed, according to LTE Group.  

Currently, close to 1million young people in England are not in education, employment, or training (NEET), making up approximately 12% of all 16–24‑year‑olds.  

This week's announcement marks incremental progress toward supporting both young people and employers. Earlier in the week, the government detailed plans to expand foundation apprenticeships within the Hospitality and Retail sectors and introduced the Level 2 administration assistant apprenticeship. Additionally, new financial incentives have been launched to encourage employers to recruit young talent. 

The measures from the Department for Work and Pensions to support young people include: 

• A £3,000 grant for employers for each unemployed young person aged 18 to 24 they hire
   
• SMEs will also receive an apprenticeship incentive payment worth £2,000 for each 16- to 24-year-old hired
   
• The Jobs Guarantee’s current upper age cap of 21 will be raised to 24 in August, which means the number of young people hoped to benefit from the scheme will rise from 55,000 to 90,000 over the next three years
   
• A new level 2 administration assistant apprenticeship will be available from August to learners aged under 25
   
• Expansion of Foundation Apprenticeships into Hospitality and Retail.

Melanie Nicholson, Managing Director of Total People and MOL, both part of LTE Group, said: “We recognise the importance of concentrating efforts on apprenticeships to facilitate young people's access to education and employment.

Currently, the number of young people not engaged in employment or full-time education approaches one million. Given ongoing constraints on apprenticeship funding, it is appropriate that investments are directed towards supporting these groups. 

“While the latest announcements are encouraging and represent progress, additional measures are necessary to guarantee stability. We look forward to partnering with employers of all sizes to open up opportunities for young people in key sectors. We will work with colleagues across LTE Group to help as many individuals as possible find jobs and advance their careers.”