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England Costs and Funding 

The current financial support packages and information outlined on this page will be valid until 31st July 2021, with the exception of the most recent Plan for Jobs Government support package which will be available until 31st January 2021. The JTL financial support package to employers is agreed on an annual basis, please click here to view.

The Plan for Jobs scheme - August 2020 - January 31st 2021

The government’s Plan for Jobs scheme is designed to help to stimulate the nation’s economic recovery following the fallout from Covid-19.  Under Plan for Jobs, in recognition of the value that apprentices can bring to the economy, an incentive payment will be made to employers who hire an apprentice between 1 August 2020 and 31 January 2021.  

 The headlines of the plan are as follows*:

  • To be eligible, the apprentice must be a new employee to the business and have a contract of employment start date between 1 August 2020 and 31 January 2021 (inclusive). They must not have been employed by the employer within the six months before the contract start date.
  • There will be no limit on the number of incentive payments that an employer can claim for apprentices eligible to receive funding, provided each apprentice meets the eligibility criteria. 
  • There will be two levels of payment based on age. For apprentices aged 16-24 the payment will be £2,000, and for apprentices aged 25 or over the payment will be £1,500. 
  • Payment will be made directly to employers in two equal instalments, where the apprentice is still in learning at day 90 and day 365. At both of these points, the employer can claim equal payments of £1,000 for 16 to 24-year-olds (total incentive £2,000 per learner), or £750 for learners aged 25 and over (total incentive £1,500 per learner).
  • The Scheme will go live on 1 August, although employers can only begin to claim for new apprentices from 1 September. Employers will need to claim via the Apprenticeship Service, and payments will be made directly to them. This means employers will need to set up their account on The Apprenticeship Service portal in order to access the funding,  JTL can assist with this process, please see below ESFA funding process guidance. 
  • This incentive will be in addition to the existing £1,000 government grant available if you take on an Apprentice/s aged 16-18.

​​*Please note that these incentives should not be confused with the Kickstart programme, which the Chancellor also announced last week.  The wage supplements announced as part of that scheme cannot be used for apprentices.  

Download our sharable pdf. which outlines the new government funding by clicking here 

ESFA Funding Process Guidance 

The Education and Skills Funding Agency (ESFA) have confirmed a new funding process for small and medium businesses. Employers taking on new apprentices in 2020 will now be required to access government funding for apprenticeships using the gov.uk portal, The Apprenticeship Service (TAS).

We have created step by step guidance to make this process as simple as possible, please watch our video and download the PDF just below. 

ESFA Funding process guidance PDF

Click here to watch the short step by step video

Employer Size and Funding 

Funding often depends on two factors, the size of your business and the age of the apprentice you would like to recruit. Please see the tables below to get an indication of what you could be expected to contribute. 


Small Employer 0-49 Employees 

Is your apprentice 16-18 years old? 

Yes - No Contribution required as fully funded through ESFA

No - You will be required to contribute 5% of the total cost for the apprenticeship, price is often determined based on a prospective apprentices level of Recognised Prior Learning if applicable. 

Medium - Large Employer Non-Levy, 50  Employees or more
Is your apprentice 16-18 years old? 

Yes - You will be required to contribute 5% of the total cost for the apprenticeship, price is often determined based on a prospective apprentices level of Recognised Prior Learning if applicable. 

No - You will be required to contribute 5% of the total cost for the apprenticeship, price is often determined based on a prospective apprentices level of Recognised Prior Learning if applicable. 

Levy Employer with a paybill over £3million 

From May 2017, new Government rules were introduced regarding the funding of apprenticeships. 

You can find out more information about the Levy by visiting www.gov.uk/government/publications/apprenticeship-levy-how-it-will-work/apprenticeship-levy-how-it-will-work

Alternatively Click here to see a selection of our most frequent FAQ’s. 

Useful Documents 

 

To learn more about what you could be entitled to, read our latest funding policy by clicking here ,visit the government website for the latest updates or fill out our contact form below. 



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