Protecting Jobs Summer Statement

Posted by jonathanfullarton - September 2, 2020 10:36 am Kickstart Scheme

Kickstart Scheme logo

The new £2 billion Kickstart Scheme, announced by Chancellor Rishi Sunak as part of his Plan for Jobs in his Summer Economic Statement is now live. 

What is the Kickstart Scheme?

The Kickstart Scheme offers 6 month placements to young people aged 16-24 who are claiming Universal Credit and at risk of long-term unemployment. The scheme will operate across England, Scotland and Wales. The first placements start in November.

The scheme, which is being operated by the Department for Work and Pensions, will initially be open until December 2021. However, there is an option for the scheme to be extended.

The government are also setting aside extra funding to support young people after they have completed their Kickstart funded job.

Kickstart Scheme

Chancellor Rishi Sunak said of the scheme:

This isn’t just about kickstarting our country’s economy – it is an opportunity to kickstart the careers of thousands of young people who could otherwise be left behind as a result of the pandemic.  The scheme will open the door to a brighter future for a new generation and ensure the UK bounces back stronger as a country”.

How businesses can sign-up to take part in the Kickstart Scheme

Business owners looking to sign up to the Kickstart Scheme can find more information here.

What employers need to know

Employers will receive funding for 100% of the relevant National Minimum Wage for 25 hours a week, plus associated employer National Insurance contributions and employer minimum auto-enrolment pension contributions.   Employers can, if they so wish, top up this wage.

Under this scheme, the government will also pay employers £1500 to set up support and training for people on a Kickstart placement, as well as helping pay for uniforms and other set up costs.

Criteria

  • There is no cap to the number of Kickstart places a business can provide. 
  • The scheme is also available for all businesses regardless of their size.  Applications must be made for a minimum group of 30 placements which can be done directly through the government’s website. However, to help smaller businesses and employers offering fewer than 30 placements via an intermediary (Local Authorities and Chambers of Commerce) who will act on their behalf to bid for 30 or more placements as a combined bid from several businesses. This will make the process easier and less labour intensive to apply for smaller businesses who only want to hire one or two ‘Kickstarters. For more details of this help, for business located in the South East, please email southeast.kickstart@dwp.gov.uk. We have also been advised that for businesses in the Kent area you can sign up for the Kickstart Scheme via the Invicta Chamber of Commerce.

More help

Further details of the new Kickstart Scheme can be found here.