Delivering his Summer Economic Update in Parliament, Chancellor Rishi Sunak announced a new £2 billion Kickstart Scheme aimed at creating hundreds of thousands of new, fully subsidised jobs for young people across the country.

Those aged 16-24, claiming Universal Credit and at risk of long-term unemployment, will be eligible. Funding available for each six-month job placement will cover 100% of the National Minimum Wage for 25 hours a week – and employers will be able to top this wage up.

A total of £1.6 billion will be invested in scaling up employment support schemes, training and apprenticeships to help people looking for a job.

Young people, who are amongst the worst hit by the crisis, will benefit from this. Key details are as follow:

  •   Businesses will be given £2,000 for each new apprentice they hire under the age of 25. This is in addition to the existing £1,000 payment the government already provides for new 16-18 year old apprentices and those aged under 25 with an Education, Health and Care Plan.

  •   A £111 million investment to triple the scale of traineeships in 2020-21, to ensure more young people have access to high quality training.

  •   £17 million of funding to triple the number of sector-based work academy placements in 2020-21.

  •   Nearly £900 million to double the number of work coaches to 27,000; and over a quarter of a million more young people to benefit from an extra £32 million investment in the National Careers Service.