9 July 2020

Chancellor Rishi Sunak announced his ‘plan for jobs’ yesterday, 8 July 2020.

He confirmed that the furlough scheme will end in October 2020.

This update covers some of the new initiatives he announced:

  • Job retention bonus.
  • Kickstart scheme.
  • Apprentices.
  • Traineeships.

In addition: Businesses in Scotland who wish to apply for grants to help with the impact of coronavirus must apply by tomorrow,10 July 2020. Find out more.

Job retention bonus

A one-off job retention bonus of £1,000 will be paid to employers for each furloughed employee who is still employed on 31 January 2021 and earning at least £520 a month.

Kickstart scheme

The kickstart scheme will pay employers to create six-month job placements for any 16-24-year-olds who are claiming Universal Credit and at risk of long-term unemployment.

The jobs must be for a minimum of 25 hours a week and paid at least the National Minimum Wage. The government will pay the wages for six months plus an amount for overheads. For a 24-year-old the grant would be about £6,500. Employers will provide training and support to find a permanent job.

Employers can apply to be part of this scheme from next month. Applications must be for a minimum of 30 job placements. If you are unable to offer this many job placements, you can partner with other organisations to reach the minimum number.


Over the next six months, the government will pay employers £2,000 for each new apprenticeship they create for an individual under the age of 25.

The government will also introduce a brand-new bonus of £1,500 for businesses who take on an apprentice aged 25 and over.

This money 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.


Employers in England will be paid £1,000 to take on new trainees. Eligibility for traineeships will be expanded to those with level 3 qualifications and below to ensure that more young people have access to high-quality training.

Find out more about the government’s plans on its website.

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