New Youth Jobs Grant: Up to £3,000 Available for Employers Hiring Young People

Youth unemployment remains one of the UK's most pressing economic challenges, with nearly a million young people currently not in education, employment, or training. In response, the government has launched the Youth Jobs Grant, a new initiative offering direct financial support to employers who take a chance on young talent.

Whether you're a small business looking to grow your team or a larger organisation with capacity to scale up graduate or entry-level hiring, this scheme is designed to be accessible.

What is the Youth Jobs Grant?

The Youth Jobs Grant forms part of the government's wider Youth Guarantee and provides financial support to employers who recruit eligible young people into suitable roles.

Key details:

• Grant amount: Up to £3,000 per job, paid in two instalments once employment and earnings have been verified by DWP
• Eligibility: Young people aged 18-24 who have been on Universal Credit and out of work for 6 months or more
• Minimum employment period: 16 weeks
• Availability: Open to employers of all sizes and sectors across Great Britain
• Scheme dates: Opened for applications on 30 June 2026 and will run until it closes to new participants in October 2028
• Scale: The scheme aims to support up to 60,000 job opportunities over three years, roughly 20,000 per year

The grant is intended to complement your existing recruitment activity, not replace it, helping to reduce the cost and perceived risk of bringing on young people who may otherwise struggle to gain employment.

Why it matters for your business

Businesses across the UK, from independent SMEs to major national employers, are already backing the scheme. Merlin Entertainments, for example, has committed to creating 300 new roles for young people over the next three years as part of the Youth Guarantee.

For smaller businesses, the grant can help offset the cost and risk of hiring someone with less experience. For larger organisations, it offers a straightforward way to support entry-level pipelines, graduate schemes, or seasonal hiring programmes at scale, while contributing to a wider social and economic goal.

How to apply

1. Visit the Youth Jobs Grant page via the government's Find a Grant service
2. Register with GOV.UK One Login if you haven't already
3. Complete the online application (approximately 20 minutes) confirming your eligibility
4. Once approved, submit vacancies for the roles you'd like to register with the scheme
5. Payments follow in two stages once employment and earnings are verified via HMRC Real Time Information — typically around 6 weeks and 18 weeks after the employee starts

Applications and due diligence checks are generally processed within 10 working days.

Need help or have questions?

The DWP Employer Services Line is available to support you through the process:

📞 0800 169 0178 (freephone) 

🕘 Monday to Friday, 9am–5pm (closed weekends and bank holidays)

Find out more and apply