Under the new Kickstart Scheme, 16-24 year olds will be invited to apply for job placements funded by the government.


The UK government has announced a range of measures to help kickstart the economy, which has suffered as a result of Coronavirus.


Among these measures is the Temporary Job Creation Scheme, designed to support 16-24 year olds that have been impacted by the pandemic.


Here’s everything we know so far about the Kickstart Scheme.


Why now?

The effects of lockdown have been disastrous for the UK economy.


Thousands of jobs have been cut and many businesses, particularly within the hospitality, travel, retail and leisure sectors, are struggling.


But one group has been more affected than most – 16-24 year olds. One in three of this age group have lost their job, while many more have seen opportunities to get on the career ladder disappear, and under 25s are two and a half times more likely to work in an industry closed down by the Coronavirus.


HELP: Have you been affected by Covid-19? Find your Way to Work with Placed.

What the Kickstart Scheme will do?


The government has set aside two billion pounds to create temporary jobs for under-25s. There will be no cap on the amount of people eligible, but the government estimates ‘hundreds of thousands of people’ will benefit from the scheme.


The government hopes this will help young people ‘build their skills in the workplace, and to gain experience that will improve their chances of going on to find long-term sustainable work.’


What are the details?


The exact details are still emerging, but here’s what we know about how the Kickstart Scheme will work so far:


  • Each ‘kickstarter job’ will pay National Minimum Wage and be capped at 25 hours per week (though employers will have the option to add more hours if they wish, which they will have to pay for). This means if you’re 20 years old, you would earn £161.25 per week from a job through this scheme, unless the employer chose to top up what the government was paying
  • Each government-funded job or placement will last for a maximum of six months
  • The scheme will begin taking applications from employers from August onwards and the first jobs will begin in the autumn. The scheme will run until December 2021 under current plans.

Who qualifies for the Kickstart Scheme?


As far as we know so far, this scheme is for 16-24 year olds that are claiming Universal Credit and at risk of long-term unemployment. Candidates who wish to be placed on the scheme will have to apply and be approved. Employers will have to prove that the placements they request are ‘additional’ and not being used to replace laid off employees.


 

What else is the government doing?


  • Employers that bring back furloughed employees will be entitled to a £1000 bonus per employee
  • VAT decrease for hospitality and tourism sector, from 20% to 5%
  • From 3-31 August, Eat Out to Help Out scheme will entitle customers to up to £10 per head discount when eating out Monday to Friday. Business can sign up through government website
  • £2000 bonus for employers that hire apprentices; £1000 for those that take on trainees
  • 1.6 billion pounds in loans and grants for the struggling arts and culture sector
  • Vouchers (up to £5000) for energy-saving home improvements
  • Government funding to create more job centre roles and career advisers.

This blog will be updated as more information is released.

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