EMPLOYER FACT SHEET FOR NAS GRANTS
(National Apprenticeship Service)

  1. National Apprenticeship Service will provide £2,500 Apprenticeship Grants for Employers recruiting 16 and 17 year olds.
  2. This grant is available immediately.
  3. This initiative is short term and is available until the end of March 2010.
  4. Available to employer who are able to offer a job opportunity to an unemployed young person aged 16 or 17 registered unemployed or with Connexions.
  5. Employers will commit to taking on a new or additional Apprentice in paid employment for the duration of their training. The minimum Apprenticeship wage requirement - £95 per week for 16-18 year olds will apply.
  6. The payment is a grant and is exempt from VAT.
  7. This is aimed particularly to support small and medium sized employers (although larger employers are not entirely exempt – ask for further details) who are interested in employing an Apprentice for the first time, or who want to employ an additional Apprentice over their traditional level of recruitment.
  8. Wherever possible, subject to time scale, NAS would like the vacancy to be advertised on Apprenticeship vacancies. Their online vacancy service that matches candidates’ interest in an Apprenticeship with employers.
  9. Employers need to ensure that young people have been assessed as ready for the Apprenticeship programme.


Employers will sign an agreement which will include:

  • Confirmation that they wouldn’t have taken the Apprentice on without this additional incentive.
  • A commitment to employ the Apprentice for the time it takes to achieve the Apprenticeship framework.
  • Confirmation that they are aware of and do not breach State Aid rules.
  • Agreement to pay the minimum Apprenticeship salary of £95 per week, to be reviewed 3 monthly. After the first year the Law state Apprentices must be paid at least the minimum wage - at present 16 and 17 years olds minimum wage is £3.57 (please note minimum wage rises from 1st October year on year).
  • An agreement to refund the grant if the contract with the Apprentice ends early.

Additional Information

How will employers receive the age 16 and 17 grants? M.E.A.T (Ipswich) Ltd as an approved training provider will be responsible for processing payments to employers. Employers will receive two prompt payments - £1,500 when the young person starts their Apprenticeship programme and a further £1,000 after 12 weeks.

What if the young person leaves – will the employer have to reimburse NAS all/any of the £2,500? The employer will be asked to sign a standard agreement which commits them to employing a new or additional Apprentice in paid employment for the duration of the Apprenticeship programme. The employer will receive the first payment for £1,500 once the individual Learner Record (ILR) is completed and a further £1,000 once the individual has completed 12 weeks of the Apprenticeship programme. If the Apprentice leaves or is dismissed before week 12 the employer will not receive the second payment of £1,000 and recovery of monies paid will be put in place.

If you have further questions with regard to the above please do not hesitate to contact Elaine or Jane who will be happy to discuss with you.