The Skills Funding Agency has announced rates from £500 to £900 for work placements in the government’s new traineeship programme.

Agency officials laid out payment bands of 100 to 199 hours; 200 to 499 hours; and, 500 hours-plus in a sector webinar on Monday (see slides below). They said the bands would mean training providers were funded at £500; £700; and £900, respectively (with 20% held back until there is a positive progression into work). Click here to download the full set of SFA slides.


Traineeships were first proposed by Deputy Prime Minister Nick Clegg in June last year for 16 to 24-year-olds. But there was disappointment throughout the sector in May when the first framework showed only those aged below 19 would be included in the programme, along with those with learning difficulty assessments up to academic age 25.

But the situation changed with this year’s Spending Review, when the government included the older age bracket for when they begin next month.

The revision resulted in new framework guidance this month, setting out what traineeships hoped to achieve.

This included work preparation training such as interview preparation and CV writing, training in English and maths, a high-quality work placement between six weeks and five months and training from providers who were rated outstanding or good by education inspectors Ofsted.

Skills Minister Matthew Hancock said: “Young people in Britain deserve the chance to work and get on in life which is why we’re introducing traineeships to help them get on the first rung of the ladder.

“Employers value real experience which is why I’m delighted that more than 100 businesses have come forward. I now want to urge more employers — no matter what size — to sign up to the programme and make the most of the talents of our young people.

“This is vital for our economy to compete in the global race. Traineeships are just one of the ways this government is making sure young people cross the start line.”

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