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Youth employment announcement – our response

The Government has today announced a series of measures to help young people into work and support businesses with the cost of doing so.

There are a number of new policies that UKHospitality has been central to securing:

  1. 1

    Foundation apprenticeships

    Hospitality has been included in new foundation apprenticeships from April 2026, with further scheme details to be announced imminently.

  2. 2

    Youth Jobs Grant

    Businesses will receive 3,000 for every young person they hire aged 18-24 who has been on Universal Credit and looking for work for six months. This financial incentive is the equivalent of an employers NICs holiday and is based on proposals we put forward to the Government.

     

  3. 3

    Management apprenticeships

    Sector-specific management apprenticeship standards, such as those in hospitality and catering, have been retained.

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Our response

Kate Nicholls, Chair, UKHospitality

Kate Nicholls, Chair of UKHospitality, said: “Hospitality is the sector best placed to help people back into work, and these are important measures that remove barriers for businesses employing more people.

“The Government’s £3,000 Youth Jobs Grant is modelled on proposals UKHospitality submitted and I’m pleased that this has been taken forward. Acting as the equivalent to an employer NICs holiday for businesses employing young people, the grant helps to address a major cost challenge for hospitality businesses.

“Including hospitality in foundation apprenticeships delivers on another of UKHospitality’s key asks and means there are now several supported pathways into work where employers are financially supported to reduce their costs.

With employment costs rapidly increasing, engaging with the Government to introduce these incentives has been one of our priorities and can genuinely support businesses to reduce the cost of employment.

“With some management apprenticeships streamlined, it’s positive that our calls to retain sector-specific standards across catering and hospitality have been acted upon and those apprenticeships saved.

“These announcements show the benefit of working closely with business groups to design measures and policies that are practical, cost-saving and work for businesses. It’s crucial this approach continues and that the Government ensures that people of all ages have routes to learn and develop skills in hospitality.”

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