Small firms to receive cash for apprentices

Small businesses in the UK are set to be offered £1,500 to provide young people career development opportunities through apprenticeships.

The prime minister announced the round of government funding to coincide with National Apprenticeship Week.

Businesses will be able to bid for a share of the £6 million Higher Apprenticeship Fund and for part of the £250 million available from the Employer Ownership pilot, through which firms are encouraged to design, develop and purchase vocational training.

David Cameron said that the government was committed to strengthening the economy by helping employers take on apprentices, in a bid to battle the youth unemployment figures which reached 1.04 million last month.

He said: "By making apprenticeships a gold-standard option for ambitious young people, we are sending a message that technical excellence is as highly valued as academic prowess."

However, the Chartered Institute of Personnel and Development (CIPD) has warned that smaller firms taking on apprenticeships because of the cash incentive will need further government support to offer a worthwhile training programme.

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