30.06.2026

Funding for firms who give youngsters a chance as Government ramps up youth jobs drive

From today (Tuesday 30 June 2026) businesses can access the new Youth Jobs Grant, which will pay £3,000 for every eligible young person they hire – helping thousands more young people take their first step on the career ladder. It is a major investment in the next generation, helping up to 60,000 people aged 18 to 24 take their first steps into work over the next three years.

The grant is being introduced as the government reinforces its commitment to tackling youth unemployment by rolling out intensive support in jobcentres for almost a million young people across the country.

Yesterday, ahead of the launch, the Prime Minister and Work and Pensions Secretary Pat McFadden hosted a roundtable in Downing Street, with hospitality businesses supporting the scheme.

To apply for the Youth Jobs Grant, employers simply complete a straightforward online application here and will receive funding in two instalments once employment and earnings have been verified by DWP.

UK-based attractions powerhouse Merlin Entertainments – which operates over 20 UK destinations, including LEGOLAND Windsor, Chessington World of Adventures, Alton Towers and London’s SEA LIFE Aquarium – has confirmed its support for the scheme and has become the latest major employer to throw its weight behind the Youth Guarantee by committing to create 300 jobs for young people over the next three years.

From hospitality and guest experience to technology and marketing, the opportunities are supported by both the Jobs Guarantee and the Youth Jobs Grant and will help young people gain the skills and experience they need to take first steps into lasting careers. Merlin will also use the Growth & Skills Levy to open up more apprenticeship routes through its Engineering Academy, giving the next generation of technicians the training they need to operate and maintain its world-class rides and experiences.

Many of the 300 roles at Merlin will be through the Jobs Guarantee, which has launched in six areas – offering a fully-subsidised job for six months for young people who’ve been out of work for at least 18 months and will receive wraparound support.

Prime Minister Keir Starmer said: "We often say in this country that every child or young person should go as far as their talents will take them. But too often they are held back by a status quo that doesn’t work for them.

"We are turning the page on that, putting in place the building blocks of real reform to expand opportunity for young people and helping them into work.

"This is the foundation for a new contract with the next generation, so every young person has a clear path into learning or earning, and the chance to build a secure and successful future."

Work and Pensions Secretary Pat McFadden said: "Young people want the chance to work, earn, learn and build a better future.

"That’s why the Government is backing employers large and small with a £3,000 grant to take a chance on young people who are ready to work and need that first step on the ladder, and subsidised work for those who face more challenges.

"Working with employers, we can turn young people’s lives around and that’s why I’m delighted to see Merlin’s commitment to create 300 roles, and I urge others to join our Youth Guarantee."

UK Hospitality has convened businesses to discuss ways they can engage with the Youth Guarantee, including attending Youth Guarantee Job Fairs, taking on a young apprentice or becoming a delivery partner.

Allen Simpson, Chief Executive of UKHospitality, said: "Hospitality is a sector that offers opportunities for anyone, particularly when it comes to helping people back into work.

"The Youth Jobs Grant is a positive initiative to reduce the cost of employment, create more opportunities and support hospitality businesses.

"I’ve been pleased to work with the Government on this and bring together businesses today to discuss how the sector can engage with the Youth Guarantee. The Youth Jobs Grant and the Jobs Guarantee are the key measures in the Government’s £2.5 billion drive to back young people into jobs, skills and opportunity. The Jobs Guarantee, which provides fully subsidised jobs for six months, with the government covering 100 per cent of employment costs, to eligible young people will support more than 1,000 young people across six areas as part of a pilot."

Young people with health conditions and disabilities can join the scheme, and all participants receive pre-employment support and training, both for the specific role and in soft skills such as confident speaking and time management.

From Monday 29 June 2026 across Great Britain, jobcentres will begin delivering expanded support to provide young people with a structured path into sustained employment from their first visit, through access to jobs, apprenticeships, work experience, vocational training and further education opportunities.

As part of this support, over the next three years, nearly one million young people who are not earning or learning by week 13 of their Universal Credit claim will get an in-depth meeting from a dedicated work coach.

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