Government Announces New £2,000 Incentive for Employers Hiring Young Apprentices
The UK Government has announced a NEW financial incentive of up to £2,000 for non-levy paying employers who recruit a 16-24 year-old apprentice as a new employee.
The incentive will apply to apprenticeships starting from 1 October 2026, provided the apprentice joined the employer within the previous three months (from July 2026 onwards).
The funding is part of wider reforms designed to create 50,000 additional apprenticeship opportunities for young people and strengthen the Government’s Youth Guarantee.
For salon owners and small businesses, this new support could significantly reduce the cost of growing your team while investing in the next generation of hair and beauty professionals.
Financial Incentives to Support Your Next Apprentice
This new £2,000 incentive can be combined with existing apprenticeship support, meaning employers could benefit from multiple funding opportunities when hiring a young apprentice, including:
- No employer National Insurance contributions for apprentices under 25
- 100% of training costs covered for eligible under-25 apprentices (for non-levy employers)
- £1,000 employer payment for apprentices aged 16-18, or 19-24 with an Education, Health and Care (EHC) plan
- £2,000 employer payment for foundation apprentices
- £3,000 bursary for care leavers under 25 starting an apprenticeship
Why Now Is the Perfect Time to Hire an Apprentice
Apprentices bring fresh creativity, energy, and future talent into your salon.
And now, with new Government incentives and additional funding available, hiring an apprentice has never been more accessible and affordable, with salons able to receive up to £3,000 (if eligible) when taking one on.
At HAHA Apprenticeships, we support salons a recruit, train and develop the next generation of hairdressers and barbers, helping you build a loyal and skilled team for the future.
Ready to Grow Your Salon Team?
If you’re thinking about taking on an apprentice and want to understand how this new funding could benefit your business, we’d love to help!
Complete our Salon Enquiry Form below, and a member of the HAHA team will be in touch.
