Kickstart Scheme

Can you use the new Kickstart Scheme?

  • youngsters on Universal Credit aged between 16-24 will be offered six-month work placements – with wages paid by the government
  • launch comes as companies like Tesco pledge to sign up

Employers can find more information about the Kickstart scheme here.

Can you use the new Kickstart scheme launched today?

An innovative new scheme to help young people into work and spur Britain’s economic revival. This could also be very relevant for small businesses. Do you need part-time help but struggling to pay for it? This could be the answer.

Businesses are now able to sign up to be part of the landmark £2 billion Kickstart scheme. Giving unemployed young people a future of opportunity and hope by creating high-quality, government-subsidised jobs across the UK.

Under the scheme employers can offer youngsters aged 16-24 who are claiming Universal Credit a six-month work placement.

The government will fully fund each “Kickstart” job. Paying 100% of the age-relevant National Minimum Wage, National Insurance and pension contributions for 25 hours a week.

What onboarding help is available?

Employers will be able to top up this wage if required.  The government will also pay employers £1500 to set up support and training for people on a Kickstart placement. There is help to pay for uniforms and other set up costs. The jobs will give young people the opportunity to build their skills in the workplace. Thereby gaining experience to improve their chances of finding long-term work.

Businesses of all sizes looking to create quality jobs for young people can apply and there is no cap on the number of places. Household names including Tesco have already pledged to offer Kickstart jobs.

How can you take part?

The plan is that the Jobcentre Plus work coach will refer young people into the scheme.  If you register you can have a new Kickstarter on board at the start of November.

If you want to take part the scheme is initially open until December 2021. It may be extended beyond this time.

Secretary of State for Work and Pensions, Therese Coffey said:

“There is no limit on the number of opportunities we’ll open up through Kickstart. We’ll fund each one for six months as part of Our Plan for Jobs to create, support and protect jobs.”

“Young people taking part will receive on-the-job training, skills development and mentoring, as we get them on that first rung of the jobs ladder and on their way to successful careers.”

Help for smaller businesses

There is help for smaller businesses, if you have fewer than 30 placements you will be asked to make a bid through an intermediary. Such as a Local Authority or Chamber of Commerce, who will then bid for 30 or more placements as a combined bid from several businesses. This will make the process easier and less labour intensive. This will help smaller companies who only want to hire one or two Kickstarters.

With a quarter of a million more people aged under 25 claiming unemployment benefits since March. Youth unemployment will have a long-term impact on jobs and wages.

Further information

Wages will be paid up to 25 hours per week at the age-relevant National Minimum wage, and pension contributions will be the statutory automatic enrolment minimum contributions.

Need to understand how payroll works? Xero have a really useful guide.