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Apprenticeship Incentive Scheme Extended to 31st March 2021

Apprenticeship Incentive Scheme Extended to 31st March 2021

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Please note this article is now out of date as the Apprenticeship Incentive Scheme has been extended to September 30th 2021, and now offers grants of up to £4,000 for every apprentice you take on. You can learn more about the updated scheme here.

It has recently been announced that Rishi Sunak will extend the apprenticeship initiative scheme by two months, up to the end of March 2021.

In the current climate, it can be tricky for a business to think too far ahead. For many of us, 2021 seemed eons away, but now it’s just around the corner. 

2021 will be the year of recovery. With government-led financial incentives and a huge drive towards pushing the economy forward. As lockdowns continue on well past the new year, it only makes sense that the government would also extend the apprenticeship incentives that are available.

Many of us in the industry had hoped that the apprenticeships scheme would be extended further into 2021, but it does look like the government are reviewing things periodically. This may mean the scheme is extended further, but right now businesses should seriously consider taking advantage, just in case it does end imminently.

What is the government’s Apprenticeship Initiative Scheme?

Back in the summer statement, it was announced that from August 2020 to January 2021  that a range of financial incentives would be available to businesses who take on apprentices. 

It was designed to boost the economy and offer more job opportunities.

As a result of the incentive, any business that hires a new apprentice between the ages of 16 and 24 will receive £2,000. Those that hire an apprentice aged 25 or over will receive £1,500.

This is on top of any prior financial incentives, so those hiring an apprentice aged 16 to 18 will still receive their original £1,000 grant. That means if a business hires an apprentice between the ages of 16 and 18 before the end of the scheme, they’ll receive £3,000 in grants.

Originally set to end in January 2021, the scheme has now been extended to 31st March 2021.

How can a business claim the Apprenticeship Incentive?

It couldn’t be simpler if you work with a training provider from the start. All your grants and funding opportunities will be managed using the online government apprenticeships portal.

Working with a training provider such as NTG Training, you’ll be able to relax knowing all the hard work is taken care of. Once you’ve selected a training course and an apprenticeship candidate, we’ll apply on your behalf for the grants you’re eligible for.

When will my business receive the Apprenticeship Incentive?

The apprenticeship incentives are designed to develop long term employment opportunities. Subsequently, employers will receive half of their incentive payment once the apprentice has completed 90 days of their apprenticeship, and the remaining half once the apprentice has completed 365 days of their apprenticeship.

The grant can be used for anything within your organisation. It can be of great financial help when it comes to supporting the wages of your apprentice, or it could help you purchase equipment for your apprentice’s role.


Interested in taking on an apprentice? There’s never been a better time. With financial incentives, an apprentice is a really cost-effective way to expand your team and grow your business. 

Apprentices can help to see your business through the aftermath of the pandemic, they can fill skill gaps in your business! For example, if your business has never had a digital presence, why not consider a digital marketing apprentice for 2021? 

If you need to upskill your current staff you can also use apprenticeship training. You won’t be eligible for grants, but it’s a much more affordable way of diversifying the skillsets of your employees. Send us a message, we’ll be happy to discuss all of your options.

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