The Chancellor of the Exchequer has confirmed a bonus incentive package set to triple the number of traineeships in the wake of the coronavirus pandemic.
In his economic statement delivered today (July 8) Rishi Sunak said the package would see employers paid £1,000 in cash for every trainee offered a work experience placement.
It comes as the chancellor accelerates efforts to restart the economy following the coronavirus crisis, with a particular focus on getting young people back into work.
Mr Sunak said: "Traineeships are a proven scheme to get young people ready for work, we know they work. So for the first time ever we will pay employers a £1,000 bonus to take on new trainees with triple the number of places."
A traineeship is different to an apprenticeship - a path popular amongst young people looking to break into the advice industry - and provides young people with maths and English training and workplace skills.
The positions can last for between six weeks and six months and are unpaid, but employers usually pay expenses and cover the cost of support courses.
The chancellor also confirmed a bonus package for employers taking on new apprentices in the aftermath of the coronavirus crisis.
He said: "For the next six months we are going to pay employers to create new apprenticeships. We will pay businesses to hire young apprentices with a new payment of £2,000 per apprentice, and we will introduce a brand new bonus for businesses to hire apprentices aged 25 and over with a payment of £1,500."
In today's statement, Mr Sunak said "no one would be left without hope" in the UK and committed to giving "young people a better start and everyone an opportunity of a fresh start".
Mike Morrow, wealth and platform director at Openwork, welcomed the new financial support for 16-24 year olds, which may assist in attracting new talent to the advice profession.
During PMQs earlier today Boris Johnson said he wanted young people to get the "self-confidence and experience of work" to get the jobs they need.
rachel.mortimer@ft.com
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