UP TO £4500 FOR APPRENTICE FAMILIES WHO LOSE BENEFITS

A bursary of up to £4500 has been announced for families who lose benefits when a young person starts on an apprenticeship instead of staying on at school. The move has been announced to remove one of the critical barriers to young people taking up apprenticeships.

For example, a single parent with a disabled son or daughter can lose up to £340 a week in benefits when their young person is employed on an apprenticeship. That’s approximately £80 more than the minimum weekly apprentice wage. So, it’s understandable that their family’s financial situation might stop that young person from doing an apprenticeship. Prime Minister, Andy Burnham’s recent bursary announcement tackles this barrier head-on, freeing up more opportunities for young people and families in the Liverpool City Region and across the country.

Now, young people can make their career choice based on what they want to do, not on their family’s finances.

Next step for young talent

Removing this financial barrier is just one of the many new measures that mean we are likely to see a surge in the popularity of apprenticeships.

Countless new apprenticeship opportunities are expected to be on offer to young people in the coming months. Many more employers will be offering apprenticeships to 16-to 24-year-olds because the Government is making things more financially attractive to businesses:

• Employers no longer have to contribute towards the training costs for apprentices under the age of 25 (this is for employers with a wage bill of under £3 million)
• Employers will be eligible for £2000 for each new 16- to 24-year-old they enrol onto an apprenticeship (this is for employers with a wage bill of under £3 million) 

Employers can get an extra £1000 if the young person is aged between 16 and 18. And there’s also no employer National Insurance payable for apprentices under the age of 25. 

All this makes it much more affordable for employers to hire young apprentices. That’s why we’re expecting to see so many more opportunities for young people.

Benefits of apprenticeships

Apprenticeships give young people the chance to earn a wage, gain recognised qualifications and build valuable workplace experience all at the same time. Rather than choosing between education and employment, apprenticeships combine both, developing practical skills alongside the knowledge employers are looking for. They can avoid the debt often associated with full-time study, improve their confidence, and begin building a career from day one. Many apprentices progress into permanent roles, higher-level qualifications or management positions, making apprenticeships an excellent route for young people who want to develop in a real working environment while creating strong long-term career prospects.

One thing to remember is that choosing to do an apprenticeship now does not rule out studying for a degree later. There are many examples of people who have done an apprenticeship and then later gone on to do a degree. And there are also degree apprenticeships which combine working with higher-level study.

Parents: time to get on board!

The choices your son or daughter makes after school or college can shape the opportunities available to them for years to come. Apprenticeships offer a practical alternative to full-time study, combining paid employment with high-quality training, recognised qualifications and valuable workplace experience from day one.

For many young people, an apprenticeship is the ideal way to build confidence, develop in-demand skills and start a rewarding career without the debt often associated with university. Better still, the new £4500 bursary will mean that, for many eligible families, the cost of choosing an apprenticeship will be far less of a concern. Combining the bursary with a regular apprentice wage and excellent long-term career prospects means there has never been a better time to encourage your son or daughter to consider this route.

Take some time to explore the opportunities together. Talk about your young person’s interests, strengths and ambitions, and keep an open mind. Apprenticeships now span hundreds of careers and professions, from engineering and healthcare to digital, logistics, business, construction and the creative industries. For many young people, they can be the smartest first step towards a successful future.

Good luck with your search! We hope to be sharing your son’s or daughter’s success story through LCR BeMore platforms in the years ahead.

Top tips and resources

• The LCR BeMore portal has a search section dedicated to local apprenticeship vacancies
• Explore different work sectors by downloading the LCR Career Guides
• Get expert one-to-one careers advice in the region through Career Connect
• If you can’t find the right apprenticeship, you could forge your own path by pitching to an employer – especially with the soon-to-be-launched £2000 apprentice hiring incentive!