What is the Kickstart Scheme?

The Kickstart Scheme is a £2 billion fund to create thousands of six month work placements across England, Scotland and Wales. It's aimed at 16 to 24 year olds who are on Universal Credit and deemed to be at risk of long term unemployment. 

The funding for each job will cover 100% of the relevant National Minimum Wage for 25 hours per week. It also covers the employer's national insurance and automatic enrolment contributions.

There's also an additional £3,000 per job placement available to cover setup costs, support and training. Once the placement is created, it can be taken up by a second person once the first person has completed their six month term.

Who can apply?

Any organisation, regardless of size can apply for funding. The job placements created with Kickstart funding must be new jobs. They must not:

• Replace existing or planned vacancies.
• Cause existing employees or contractors to lose or reduce their employment.

The roles you're applying for must be:

• A minimum of 25 hours per week, for six months.
• Paid at least the National Minimum Wage for their age group.
• Should not require people to undertake extensive training before they begin the job placement.

Each application should include how you will help the participants to develop their skills and experience, including:

• Support to look for long-term work, including career advice and setting goals.
• Support with CV and interview preparations.
• Supporting with basic skills, such as attendance, timekeeping and teamwork.

How to apply

More than 30 job placements

If you're creating more than 30 placements as part of the scheme, you can submit your application directly. The application portal is available now on HMRC's website >

Less than 30 job placements

If you're applying for less than 30 placements then you need to apply via a partnership with other organisations to create a minimum of 30 placements before you apply. Your local Jobcentre can help you but here are some examples of other organisations:

• Similar employers
• Local authorities
• Trade bodies
• Registered charities

Do I need to do anything differently when processing payroll?

There's nothing that you need to do differently when processing your payroll. The application for the funding is done outside of your software.  The Department for Work and Pensions (DWP) will use Real Time Information (RTI) data to check that the person is employed and pay the grant in arrears. You'll need to check that the individual's details are exactly the same in your software and on the application so DWP can match them.

Account for Kickstart Scheme funding in Sage 50 Accounts

If you're using Sage 50 Accounts and your application is successful and you receive confirmation of the grant amount, you can record this in your accounts. You can also record each grant you receive.

Find out more >

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