Question to the Department for Education:

To ask the Secretary of State for Education, what recent assessment he has made of the effect of incentive payments for hiring new apprentices on the employment rate among 16-24 year old's since 1 August 2020.

Apprenticeships will be more important than ever in helping businesses to recruit the right people and develop the skills they need to recover and grow. To help employers offer new apprenticeships, they are now able to claim £2,000 for every new apprentice they hire under the age of 25 before 31 January 2021, in recognition of the particular impacts of COVID-19 on the employment prospects of this group, and £1,500 for new apprentices aged 25 and over. This is in addition to the existing £1,000 payment we already provide for new 16-18-year-old apprentices and those aged under 25 with an Education, Health and Care Plan. The new payment means it is a great time for employers to offer new apprenticeship opportunities and take advantage of existing flexibilities to train their apprentices in a way that suits their needs.

Employers have been able to register to claim the incentive since 1 September. We are monitoring the take-up of the new payments and will assess their impact on apprenticeship starts to ensure it is helping employers to meet their skills needs and working for people of all ages.