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The press release issued by the Department for Work and Pensions on 28 July 2026.

Thousands more young people will be able to gain the skills, qualifications and experience they need for future careers, as the government today rolls out a major package to break down barriers stopping access to technical education, training, and apprenticeships.

• New bursary supports young people by removing a key financial barrier to apprenticeships.
• Thousands more college places to expand access to skills and training close to home.
• Free apprenticeship training for all eligible under-25s from August, up to £8,000 in support for SMEs hiring young apprentices, and NICs relief for apprentices under 25 will help deliver 50,000 new youth apprenticeships.

Through new financial support, more college places and greater access to apprenticeships, the package will help more young people develop the skills local employers need, connect to the technical pathways being created in their area, and access the opportunities needed to build successful careers.

The measures form part of the Prime Minister’s wider mission to strengthen the link between education and work, ensuring no young person is left behind because they lack the opportunities, skills, or support to succeed.

Building on today’s wider reforms giving 14-year-olds greater access to technical learning and meaningful work experience, these changes will help more young people aged 16 to 19 continue developing practical skills and real-world experience as they move into the next stage of education and training.

A new bursary, worth up to £4,500 per year per household, will remove a barrier that can otherwise discourage young people from taking up an apprenticeship, helping them build the skills and independence that lead to long-term, well-paid work.

Apprenticeships are widely recognised to deliver skilled workers, higher productivity and stronger growth for the economy, and this bursary ensures more young people can access those benefits.

The bursary targets the small number of Universal Credit families for whom the current system disincentivises apprenticeships. A Social Security Advisory Committee report found single parents with a disabled child could lose up to £340 per week in benefits when a young person started an apprenticeship, exceeding the expected apprenticeship salary of £258 per week. The bursary addresses this shortfall, so that this is no longer a barrier to a young person taking up an apprenticeship.

The bursary, funded through the £1 billion additional investment in the Growth and Skills Levy announced in May, will help stop young people from turning down the chance to earn and learn due to cost.

It is part of a wider package of apprenticeship support, including the government’s decision to fully fund apprenticeship training for all eligible under-25s from 1 August, helping thousands more young people take up an apprenticeship with confidence. Alongside new support for employers taking on apprentices, these reforms will help deliver 50,000 new youth apprenticeships by the end of this Parliament.

Work and Pensions Secretary Pat McFadden said:

Every young person deserves the chance to build a future they can be proud of, and our welfare system should be a springboard to opportunity, not a barrier to it.

By providing bursaries to those who need them most and fully funding apprenticeship training, we are making sure cost is not the reason someone misses out. Coupled with up to £8,000 in financial support for employers, this is a serious investment in the next generation and in the future of our economy.

This builds on wider investment already helping colleges grow where demand is highest – we are investing £9 billion into 16 to 19 education in 26-27, enabling providers to grow high-quality pathways for thousands more learners.

We are now going further, investing a further £287 million to create over 22,000 additional places across colleges and post-16 providers in other areas. Working across 87 projects in England, this includes expanding construction courses, helping more young people train for careers such as bricklaying, plumbing and decorating.

With over one million young people currently NEET – around one in eight young people in England – today’s action is another step towards ensuring more young people can stay connected to education, training, and opportunity as they move into adulthood.

Education Secretary Lucy Powell said:

Too many young people face unnecessary barriers to apprenticeships, college places and training. We’re investing to change that.

This government is determined to help thousands more young people gain the skills, experience, and confidence they need to build successful careers.

The jobs of the future are already being created – and it’s our job to ensure that every young person, wherever they live and whatever their background, has the skills and support they need to succeed.

Boosting the number of college places, alongside much needed additional places in sixth form colleges and 16-19 academies, forms a key part of the government’s push to end the snobbery around hands-on learning. We want technical education to be every bit as valued as the academic route, so that every young person can choose the pathway that is right for them.

By creating clearer routes from school into college, apprenticeships and skilled work, the government is making sure young people can keep building towards a successful career rather than falling out of education at 16.

Today’s announcement is part of the biggest overhaul of support for young people in a generation. Alongside greater technical learning, more work experience, new vocational qualifications, and wider reforms to help young people into work, it will create a clearer journey from the classroom into a skilled career.

Together, these reforms represent a new partnership between government, employers, colleges, and local leaders to ensure every young person can progress from education into skilled work, while giving businesses the workforce they need to grow.

Additional Information

• The bursary and free training for under-25s is being funded through the £1 billion additional investment in the Growth and Skills Levy, announced in May 2026. The final amount of the bursary will be confirmed in due course.
• As Universal Credit policy applies across Great Britain, we will be working closely with the Scottish and Welsh Governments as we develop the detail.
• The full list of colleges that will receive funding is available here: GOV.UK
• The Milburn Review found that of those NEET for less than a year, 65% return to participation the following year; of those NEET for more than a year, only 25% do.
• A recent report from the Social Security Advisory Council found that a single-parent household on Universal Credit could lose out by around £80 a week if a disabled young person took up an apprenticeship earning the apprenticeship minimum wage.
• From October 2026, smaller firms will receive a £2,000 hiring bonus for taking on under-25 apprentices.

Philip Hoare, Group Chief Executive, Balfour Beatty, said:

Apprenticeships change lives. They open doors to skilled careers, help employers build the workforce they need and play a vital role in supporting long-term economic growth.

We’re incredibly supportive of the Government’s commitment to removing barriers that prevent young people from accessing these opportunities and increasing support for employers investing in the next generation. As a long-standing champion of apprenticeships, Balfour Beatty sees first-hand the difference they make to individuals, businesses and communities across the UK.

Abdi Mohamed, Head of Policy, Research and Influencing at disability equality charity Scope, said:

This bursary is a positive step which removes a real financial barrier for some disabled young people.

A million disabled people in the UK want to work but face significant barriers getting into and staying in employment, so it’s encouraging to see the Government taking practical action.

Life costs a lot more if you are disabled. No young disabled person should have to turn down an apprenticeship because their family would be financially worse off.

We welcome this announcement and hope it is the first of many steps the Government takes to work with disabled people to tackle the wider structural barriers they face getting into and staying in work.

Brian Dow, Chief Executive, Mental Health UK:

Recognising the barriers that can prevent young people starting apprenticeships and employment opportunities sends a really positive message. We see in our programmes that young people want to earn and learn, but it’s crucial they have the right support to make this a reality.

Being out of work or education can take a significant toll on young people’s mental health and wellbeing. This is another step up in providing access to apprenticeships and other pathways into employment that will help young people build skills and experience, while providing a sense of purpose, confidence, and hope for the future.

Dominic King-Carter, Director of Policy and Public Affairs at Carers Trust, said:

We know financial barriers are particularly real for young carers juggling care, work and education, especially those who are disabled themselves. This is a positive step towards reducing barriers into important opportunities like apprenticeships for this group.

There are more wins available to Government that would give all young carers the best chance of a fair future. This is another encouraging sign that this Government is willing to act to reduce barriers that young people face. We look forward to continuing to work with the Government to ensure young carers are better supported to access the education or training opportunities they want.

Lizzie Crowley, Senior Policy Advisor ‑ Skills at the CIPD, said:

The new bursary is a welcome and practical step that should remove a significant financial barrier for disabled young people and their families. No young person should have to turn down an apprenticeship because taking one up would leave their household worse off. Making apprenticeships genuinely accessible isn’t just fair to the individual, it’s how we close skills gaps and build the capability the economy needs.

Alongside wider support for youth apprenticeships, this should help more young people access the skills, experience and opportunities they need to build a successful career and help employers build the more inclusive, skilled workforce that drives better performance.

Simon Ashworth, Deputy CEO and Director of Policy, Association of Education and Learning Providers, said:

The new bursary of up to £4,500 a year is a welcome step that removes a significant financial barrier preventing some young people from both taking up and completing apprenticeship. By tackling the household benefit trap, more young people will be able to choose an apprenticeship based on their ambitions rather than their family’s finances.

If we are serious about reducing the number of young people who are not in education, employment or training, we have to make it easier for employers to recruit them. Fully funding apprenticeship training for eligible under-25s is a major step towards that goal and should encourage many more businesses to invest in the next generation of young talent.