Sunak’s £126m training boost

CHANCELLOR Rishi Sunak is set to announce a £126 million boost for traineeships when he unveils his Budget on Wednesday.

Mr Sunak will tell MPs that the funding will enable the creation of 40,000 additional traineeships in England.

At the same time, he will promise to increase the cash incentives for employers who take on apprentices to £3,000 – regardless of age.

Currently firms can claim £2,000 for each apprentice they hire aged 16 to 24, or £1,500 for those aged 25 and over.

Mr Sunak will also set out plans for new ‘flexi-job’ apprenticeships, enabling trainees to develop their skills with a range of employers within a particular sector.

Instead of having a single employer, they will be linked to an agency that will place them with various relevant organisations.

From July, employers will be able to bid for money from a £7 million fund to create new agencies, with the first apprenticeships expected to start in January 2022.

Ministers believe the scheme is likely to be picked up in sectors with flexible working patterns such as the television and film industries.

The moves come amid concerns that young people have been particularly hard hit by the economic fallout from the pandemic.