What is the Youth Contract Wage Incentive?

Tackling youth unemployment is a major priority for the government.

The Youth Contract Wage Incentive is a new initiative which provides employers with a wage subsidy of up to £2,275 if they take on a long-term unemployed 18 to 24 year-old currently participating in the Work Programme.

As the largest provider of the Work Programme in the UK, Ingeus has a large pool of enthusiastic 18 to 24 year-olds ready to start work.

How does the wage incentive work?

You will receive £2,275 when you take on an 18 to 24 year-old who is currently participating in the Work Programme. This amount is paid after 26 weeks of employment and is available for those working 30 hours or more.

If you take on an 18 to 24 year-old working 16-29 hours per week, you will receive £1,137.50 once they have been employed for 26 weeks.

How to claim

Ingeus will issue you with a claim form when an 18 to 24 year-old, from the Work Programme, starts employment. After 26 weeks, the claim will be verified using payslips and the subsidy will be paid into your bank account.

If you have 50 or fewer employees then you can claim a portion of the wage incentive (£700) after eight weeks of employment.

Find out more

For further information about the Youth Contract Wage Incentive, including terms and conditions and FAQ's, please visit the following pages which are regularly updated by the Department for Work and Pensions:

www.dwp.gov.uk/docs/youth-contract-faq.pdf
www.dwp.gov.uk/docs/wi-questions-answers.pdf
www.dwp.gov.uk/docs/wi-terms-conditions.pdf

If you want to speak to someone at Ingeus about the Youth Contract Wage Incentive, click here to find contact details of your local team. Alternatively you can call us on 0800 321 3160.