Kickstart FAQs

Frequently asked and answered questions relating to the Kickstart Scheme.

Together the community has come together, supporting one another by sharing good practice, resources, answering questions and problem solving. If you have a question about Kickstart, you may find it here via the Frequently asked questions. If you do not find an answer to your question please raise it with the team at policy@ersa.org.uk.  

The jobs must not:

  • replace existing or planned vacancies
  • cause existing employees, apprentices or contractors to lose work or reduce their working hours

Tell us or your Kickstart gateway:

  • how many employees you have
  • about changes to your workforce in the last 6 months and why (for example redundancies and changes to hours worked by existing staff)
  • the number of people affected by changes to your workforce in the last 6 months
  • about the kinds of roles, functions and average salary of those who were made redundant or who had their hours reduced in the last 6 months
  • if you would be able to create these jobs without Kickstart Scheme funding and what funding source you would use
  • what recruitment you have completed, started or paused in the last 6 months, including how similar these vacancies are or were to the roles you are creating for the Kickstart Scheme
  • if the jobs will be similar to existing or planned roles or the roles previously done by those made redundant or with fewer working hours, why you are using Kickstart Scheme funding to create similar roles
  • if you’ve engaged with any relevant trade unions and any advice the unions have given

You will need:

  • your Companies House reference number, Charity Commission number or Office of the Scottish Charity Regulator number, if you have one
  • your organisation address and contact details
  • details of the jobs and their location

DWP performs due diligence checks on all employers and Kickstart gateways using the Cabinet Office Spotlight tool.

The jobs created with Kickstart Scheme funding must be new jobs. They must not:

  • replace existing or planned vacancies
  • cause existing employees, apprentices or contractors to lose work or reduce their working hours

The jobs must:

For each job you must help the young person become more employable. This could include:

  • looking for long-term work, including career advice and setting goals
  • support with curriculum vitae (CV) and interview preparations
  • developing their skills in the workplace

If you are not eligible for Kickstart Scheme funding, find out about other employment schemes.

The young person may be able to move to another employment scheme when they’ve finished their 6-month Kickstart Scheme job.

Yes. You can add more jobs to your grant agreement after it has been approved. You do not need to apply again.

The additional jobs will be assessed to make sure they meet the Kickstart Scheme criteria.

If you applied directly, get in touch with your local or national Kickstart Scheme contact for information about how to add more jobs to your grant agreement.

If you applied through a Kickstart gateway, tell them you’d like to add more jobs to the grant agreement. They will contact DWP to arrange this.

Yes. Although you will need to use a gateway plus to place your kickstart jobs. 

At present, there is only one approved gateway plus, a partnership between the FSB and Adecco Working Ventures. More detail here. 

The Kickstart Scheme provides funding to create new job placements for 16 to 24 year olds on Universal Credit who are at risk of long term unemployment. Employers of all sizes can apply for funding which covers:

Employers can spread the job start dates up until 31 December 2021. You’ll get funding until 30 June 2022 if a young person starts their job on 31 December 2021.

Further funding is available to provide support so that young people on the scheme can get a job in the future.

More information

National Insurance

Tax codes

 

HMRC will contact the employer to inform them if they need to to start student loan repayments for the kickstart employee.

Student Loans Interest Rates and Repayment Threshold Announcement

Yes. Employers can interview and offer the position before the closing deadline. 

Use this service to apply for a Kickstart Scheme grant. If you already have a grant agreement with DWP you do not need to apply again. You can get in touch with your local and national Kickstart Scheme contacts to add more job placements or employers to your grant agreement. Check if you can apply for a grant through the Kickstart Scheme. Applications from new Kickstart gateways closed on 27 January 2021. If you are a Kickstart gateway who already has a grant agreement with DWP you can continue to add more employers and job placements to your grant agreement. The online service is also available in Welsh (Cymraeg).
Before you start
You will need:
  • your Companies House reference number, Charity Commission number or Office of the Scottish Charity Regulator number, if you have one
  • your organisation address and contact details
  • details of the Kickstart Scheme job placements and their location
  • supporting information to show that the job placements are new jobs and meet the Kickstart Scheme criteria
  • information about the support you will give to develop the employability skills of young people on the scheme
Apply now via https://www.apply-kickstart-grant-employer.service.gov.uk/

The Kickstart Scheme provides funding to employers to create job placements for 16 to 24 year olds on Universal Credit.

Find out if the scheme is right for you here. 

Get in touch with your local or national Kickstart Scheme contact for information about how to add job placements or employers to your grant agreement. If you are a Kickstart gateway who applied for Kickstart Scheme funding before 28 January 2021 but not yet heard from DWP, we will contact you with a decision. You do not need to apply again.

See also New Instructions for Gateways. 

If you are an approved gateway, or an existing or potential employer for the Kickstart scheme you are welcome to join our community of good practice. The forum meets regularly, usually once a month with the wider group and smaller working groups form at other times to take forward things like finance and payment queries. 

Please take a moment to check out our Kickstart Community Forum page here

Kickstart Community Forums – rules for teams chat

The team at ERSA have received feedback and some complaints about negative posts in the Kickstart Forum post meeting chat. Whilst we want to support the wider Kickstart community ERSA members have stated that they do not want to be associated with some of the negative posts that have come from outside the employment support sector. The employment support sector has a productive and collaborative relationship with the DWP and ERSA will protect and preserve this.

Therefore, we are introducing some ground rules:

  • This is a forum to share good practice.
  • It is a forum for employment support providers, community-based Kickstart initiatives and youth organisations.
  • ERSA will use the chat to cascade information from the DWP to the wider Kickstart network.

ERSA’s intention is to build a Kickstart community of collaboration and good practice.
The ERSA team do not want to police the post meeting chat, but if ERSA members express concerns, we will investigate and reserve the right to remove people and content.

A Unique Reference Number that is associated with a Kickstart role and is unique to each job role. 

Any job role that is advertised should include this to allow Work Coaches to match the vacancy. 

Further clarification on Statutory Sick Pay (SSP) is being sought. If you have more information to share, please email us at policy@ersa.org.uk. 

The payment is seen as a grant and not a wage subsidy, therefore no repayments for SSP are required.

While the Employer is in receipt of Funding for a Participant in connection with the Kickstart Scheme, the Employer must not claim or receive any other Crown funding for that Participant, including reimbursement of Statutory Sick Pay or payments under the Coronavirus Job Retention Scheme or Job Support Scheme.

More on Statutory Sick Pay can be found here. 

While the Employer is in receipt of Funding for a Participant in connection with the Kickstart Scheme, the Employer must not claim or receive any other Crown funding for that Participant, including reimbursement of Statutory Sick Pay or payments under the Coronavirus Job Retention Scheme or Job Support Scheme.

See here also

How the Kickstart Scheme works

The Kickstart Scheme provides funding to create new job placements for 16 to 24 year olds on Universal Credit who are at risk of long term unemployment. Employers of all sizes can apply for funding which covers:

Employers can spread the start date of the job placements up until the end of December 2021.

Further funding is available for training and support so that young people on the scheme can get a job in the future.

The Kickstart Scheme has changed.

You no longer need a minimum of 30 job placements to apply directly for a grant.

You can now apply for a Kickstart Scheme grant by either:

  • applying online yourself

getting help from a Kickstart gateway who is already working with the Kickstart Scheme

 
 

The Kickstart Scheme covers England, Scotland, and Wales. Funding is due to be made available for a similar scheme in Northern Ireland

 
  • The Grant is not consideration for any taxable supply for VAT purposes.

  • If VAT is held to be chargeable in respect of this Grant Agreement, all payments shall be deemed to be inclusive of VAT and DWP shall not be obliged to pay any additional amount by way of VAT.

Please note, DWP will not provide  individual advice on VAT, organisations will need to seek their own advice. See also HMRC for information on VAT.

A list of goods and services showing which rates of VAT apply and which items are exempt or outside the scope of VAT can be found here. 

What you’ll get

You’ll get an initial payment of £1,860. This includes:

£360 per job placement for admin costs

Kickstart gateways will get £360 for each job placement to contribute towards admin costs. You may have to pay £60 of VAT depending on your individual circumstances. Find out if your organisation needs to register to pay VAT.

If you do not pay VAT

£60 from the £360 payment must be added to the £1,500 paid to the employer to provide the young person with employability support.

£1,500 per job placement for setup costs and employability support

This will be paid to you and you will need to pay this to the employer (as well as an extra £60 if you do not pay VAT).

This funding should be spent on setup costs and supporting the young person to develop their employability skills. Employers can choose to get someone else to do this for them, such as a Kickstart gateway or a service provider. If they choose to do this they will have to agree how to share the £1,500.

The employer should use this funding for:

  • training and employability support (provided by the employer, Kickstart gateway or another provider)

  • IT equipment and software

  • uniform or Personal Protective Equipment

If as an employer, there are no restrictions on employing the Kickstater on a permanent basis when the scheme ends.

There may be other routes to explore for your young person, such as an Apprenticeship

See also Traineeships and how they work. 

Not all placements will work out, either because the Kickstarter isn’t able to fulfil the six month commitment, or because the placement isn’t working for the employer. 

The JCP Work Coach will find you another candidate and the young person matched with another Kickstart opportunity. 

See here for DWP contacts regarding spotlight checks and variation templates. 

 

Payments are calculated on the age the young person is after the six month placement ends. 

Start payment
DWP pay the start up payment upon notification of a start and the balance of the grant in six equal monthly instalments. 

What are the triggers for payments?
The initial start up payment is generated by employers notifying the DWP vacancy team of a job start. Gateways should ensure employers notify them when the Kickstart participant starts their job. 

  • First monthly payment is paid at week 6 – this is to ensure as many Kickstart participants are on the payroll. 
  • Second monthly payment is four weeks after the first monthly payment.
  • Subsequent payments are every four weeks until the end of the job. 

See details below for further information. 

Kickstart payments examples
Provided by DWP to finance working group and shared with the community on 8 April. 


From 1 April 2021 the National Living Wage was extended to 23 and 24 year olds.

 

Who gets the minimum wage

Read the information on who is entitled to the minimum wage.

You can use the minimum wage calculator to check whether the National Minimum Wage or National Living Wage is being paid.

Contact Acas if you’re not getting the National Minimum Wage and think you should be.

 

If you choose to pay the young person more than National Minimum Wage, or National Living Wage  (for those aged 23 and over) or offer them more than 25 hours a week, you can, but you will not be reimbursed for these additional costs.

 

  • Read our eight core principles for the Kickstart Scheme, read more
  • The Good Youth Employment Charter And 1000 Opportunities Campaign Launched September 2020 Read more
  • GMCA on The GM Young Person’s Guarantee
  • London Councils, boroughs and the Greater London Authority have drafted a short guide for promoting high-quality placements through the Kickstart scheme, read more.
  • The TUC have called for Kickstart to deliver: Good quality jobs with training built in; Additional jobs of real value to the community; The programme must be based on equality from the start and Employers should top up wages read more
 

New instructions for Gateway organisations

We have had a number of enquiries from Gateway organisations asking whether they can move vacancies between employers.

We can now confirm that this is allowed, providing the Gateway does not exceed the total number of vacancies permitted by their Grant Agreement.

Where KDAM and KEA colleagues are aware that Gateways have taken this action, it needs to be reported to the Vacancy Team (either by the KDAM/KEA or the Gateway) using the details below. This is an interim measure whilst a process is agreed and details of any changes will be published in this section.

The gateway needs to provide:

  • their gateway name;

  • their Kickstart number;

  • the number of placements that are being moved;

  • the name of the employer that the placements are being moved to; and

  • the name of the employer that the placements are being moved from.

The email should be sent to jobplacement.kickstart@dwp.gov.uk   

To ensure the email is identified quickly, GATEWAY VACANCY AMENDMENTS should be used in the subject box on the email.

Find a Kickstart gateway to apply for a Kickstart Scheme grant on your behalf

Find a Kickstart gateway in England, Scotland or Wales who is already working with the Kickstart Scheme.

 

The following are some of the things you may want to consider when choosing a Kickstart gateway.

1. Location

Both national and local organisations have stepped forward to be Kickstart gateways.

You may already have links with an organisation that is interested in being a Kickstart gateway and feel that these ties will help you in the application process, or you may want to work with someone in your local community.

Example: A local authority

Or, you may feel more comfortable working with a national organisation that has operations around the country.

Example: A national trade organisation

2. Sector

You may want to work with an organisation that closely resembles your own or has close ties with your sector.

Example: A trade organisation

3. Support

Consider how much help you may need in your Kickstart Scheme application – e.g. pulling together a clear explanation of how the job you propose to offer is additional. And whether you would benefit from help in supporting your Kickstart worker through their job placement.

If you already have established training and development schemes you may not need as much help throughout the lifetime of the job placement. And bear in mind that if the Kickstart gateway provides employability support to your Kickstart worker they may expect a share of the £1,500 grant made available to cover this and the job placement’s start-up costs. You will want to discuss with any Kickstart gateway you are considering if they expect to share these costs.

Sole traders should apply through a Kickstart gateway that can employ a young person on their behalf, by placing them on their PAYE system.

4. Aims

When applying you should think about what you can offer by participating in the Kickstart scheme. This could be to increase the diversity of your workforce, to help disadvantaged young people in your local community or to create a pipeline or talent to help fill future vacancies.

The Kickstart scheme offers opportunities to both businesses and young people. You should discuss your aims with any potential Kickstart gateways and choose an organisation that aligns with your goals and values.

 

Kickstart gateways act on behalf of employers by batching together applications and submitting them to the Department for Work and Pensions. They can help you with your initial application and some will support you in the training and development of your Kickstart worker.

You can find a Kickstart gateway that may be able to support you in applying for a Kickstart Scheme grant.

These organisations have been checked by the Department for Work and Pensions. Partnering with one of these organisations does not guarantee that you will get Kickstart Scheme funding – you will also be subject to checks.

When choosing a Kickstart gateway, you should consider the needs of your business. You can contact more than one organisation to find out which one works best for you.

Employers with any number of jobs can apply to the scheme

Employers can apply directly or partner with an approved gateway.

 

‘employability support’ may include on-the-job training, work search support, skills development, mentoring, careers advice and other related support to help Participants find sustained employment after they have completed the Kickstart Scheme.

 
The below information has been taken from the grant agreement terms and conditions, last updated on 22 December. Please refer here for the latest changes and definitive information.

5. Eligible and ineligible expenditure

5.1. DWP will only pay the Grant in respect of Eligible Expenditure incurred by the Grant Recipient to deliver the Funded Activities and the Grant Recipient will use the Grant solely for delivery of the Funded Activities. 5.2. The following costs/payments will be classified as Eligible Expenditure if incurred for the purposes of the Funded Activities: 5.2.1. set up costs for IT equipment and software licences, administration and management time and support with helping Participants develop work skills and experience (employability support) 5.2.2. any uniform, equipment and Personal Protective Equipment as required; and 5.2.3. payment of the relevant National Minimum Wage (or the National Living Wage depending on the age of the Participant) for 25 hours a week of work for 6 months by each Participant, plus the associated employer National Insurance contributions and employer minimum automatic enrolment contributions ‘employability support’ may include on-the-job training, work search support, skills development, mentoring, careers advice and other related support to help Participants find sustained employment after they have completed the Kickstart Scheme. Eligible Expenditure also includes fees charged or to be charged to the Grant Recipient by external auditors/accountants for reporting/certifying that the Grant paid was applied for its intended purposes. 5.3. The Grant Recipient may make additional wage payments and pension contributions to the Participant above the amount described in clause 5.2.3. Any such additional payments are not supported by the Grant and are not Eligible Expenditure of the Grant funds. 5.4. The Grant Recipient must not use any Crown funding provided for a different purpose to fund Kickstart Scheme activities in conjunction with Kickstart Scheme Grant payments. 5.5. If the Grant Recipient is party to any contract for goods, works or services or any funding agreement (other than this Grant Agreement) with any Crown Body, whether national, local or devolved, the Grant Recipient must not use Kickstart Scheme Grant payments to replace or duplicate the funding provided by that Crown Body for the purpose of that contract or funding agreement. 5.6. While the Grant Recipient is in receipt of Grant funding for a Participant in connection with the Kickstart Scheme, the Grant Recipient must not claim or receive any other Crown funding for that Participant, including reimbursement of Statutory Sick Pay or payments under the Coronavirus Job Retention Scheme or Job Support Scheme. 5.7. DWP may, from time to time, issue further guidance to the Grant Recipient on what constitutes Eligible Expenditure. 5.8. The Grant Recipient may not in any circumstance claim the following non-exhaustive list as Eligible Expenditure (the list below does not override activities which are deemed eligible in these Conditions): 5.8.1. paid for lobbying, which means using the Grant to fund lobbying (via an external firm or in-house staff) in order to undertake activities intended to influence or attempt to influence Parliament, government or political activity or attempting to influence legislative or regulatory action 5.8.2. using the Grant to directly enable one part of government to challenge another on topics unrelated to the agreed purpose of the Grant 5.8.3. using the Grant to petition for additional funding 5.8.4. expenses such as for entertaining, specifically aimed at exerting undue influence to change government policy 5.8.5. input value-added tax (VAT) reclaimable by the Grant Recipient from Her Majesty’s Revenue and Customs (HMRC) 5.8.6. payments for activities of a political or exclusively religious nature; and 5.8.7. payments reimbursed or to be reimbursed by other public or private sector grants 5.9. Other examples of expenditure, which are prohibited, include the following: 5.9.1. contributions in kind 5.9.2. interest payments or service charge payments for finance leases 5.9.3. gifts 5.9.4. statutory fines, criminal fines or penalties, civil penalties, damages or any associated legal costs 5.9.5. payments for works or activities which the Grant Recipient or any associated entity has a statutory duty to undertake or that are fully funded by other sources 5.9.6. bad debts to related parties 5.9.7. payments for unfair dismissal or other compensation 5.9.8. advertising, communications, consultancy or marketing spend 5.9.9. depreciation, amortisation or impairment of assets owned by the Grant Recipient 5.9.10. the acquisition or improvement by the Grant Recipient of any land, buildings, plant, equipment or any other assets; and 5.9.11. liabilities incurred before the commencement of this Grant Agreement unless agreed in writing by DWP

Please check gov.uk for the latest information relating to the gateway grant agreement terms and conditions

Guidance

Kickstart Scheme Grant Funding Agreement: terms and conditions for employers

NMW stands for National Minimum Wage and NLW is National Living Wage. 

You can find out more about these rates here. 

The Kickstart Scheme provides funding to create new job placements for 16 to 24 year olds on Universal Credit who are at risk of long term unemployment. Employers of all sizes can apply for funding which covers:

Employers can spread the start date of the job placements up until the end of December 2021.

Further funding is available for training and support so that young people on the scheme can get a job in the future.

Kickstart Scheme terms and conditions
If you want to read the terms and conditions for employers and Kickstart gateways you can find them on the Kickstart Scheme terms and conditions page.
Kickstart Scheme promotional material
If you are a supporter of the Kickstart Scheme, you can show your engagement by sharing the promotional material in your online and internal communications.

Contact information

If you need help with the Kickstart Scheme process or you want to add more job placements or employers to your grant agreement, you can contact:

  • your local employer contact if you are located in a specific region
  • the national employer contact if you are located across several regions

Please note, there is no publicly available list for the Kickstart District Account Managers (KDAM) due to data protection policy.  

See also new instructions for gateway organisations. 

The Kickstart Scheme has changed.

You no longer need a minimum of 30 job placements to apply directly for a grant.

You can now apply for a Kickstart Scheme grant by either:

  • applying online yourself
  • applying through a Kickstart gateway who is already working with the Kickstart Scheme
 

The Kickstart Scheme is a £2 billion scheme to create thousands of high-quality 6-month job placements for 16 – 24 year olds

The scheme is part of the plan for jobs and supports young people to develop new skills that will help them move into sustained employment after they have completed their Kickstart Scheme job placement.

The scheme provides employers of all sizes, across the private, public and voluntary sectors with the opportunity to access a large pool of young people with potential.

On confirmation of the job start the employer will be paid £1,500 per job placement to support overhead costs and help to improve the participant’s employability i.e. on-boarding, mentoring and supervision etc. Funding available for each job will cover the relevant National Minimum Wage rate for 25 hours a week, plus the associated employer National Insurance contributions, and employer minimum automatic enrolment contributions.

The Kickstart Scheme provides funding to create new job placements for 16 to 24 year olds on Universal Credit who are at risk of long term unemployment. Employers of all sizes can apply for funding which covers:

Employers can spread the start date of the job placements up until the end of December 2021.

Further funding is available for training and support so that young people on the scheme can get a job in the future.

More information can be found at gov.uk

ESF projects cannot refer ESF participants to apply for a Kickstart Scheme vacancy, as they will not have direct access to them. DWP Work Coaches can identify claimants and invite them to apply for a Kickstart Scheme vacancy.

In response to feedback from stakeholders and delivery partners, the ESF Managing Authority has reconsidered the policy position and has identified an approach where an individual employed through Kickstart can be eligible to receive ESF support.

The ESF Managing Authority recognises that individuals’ needs are wide and varied and some may need more intensive support than others. For these individuals, whose support needs have been identified as being above and beyond the support provided by the employer, ESF funded provision can be used to fund that additional support as part of the overall package of support provided to the individual.

It must be clear what these additional needs are and there must be no duplication of the support provided through the Kickstart grant.

The full guidance can be found here. 

  • Our intention is to continue to deliver the Kickstart Scheme through the changes in COVID restrictions which may come across in the UK.
  • COVID restrictions will affect workplaces differently. For example, the latest announcements for England have permitted construction and manufacturing to continue under COVID-secure practices, whilst other workplaces are moving to more remote working.
  • We are talking to employers already on the Kickstart Scheme to check whether changes in restrictions mean that they want to adjust their plans to take on young people.

Yes. The Scheme is for any young person aged 16-24 on Universal Credit and at risk of long-term unemployment. Reasonable adjustments are possible to offer reduced hours for young people such as those with disabilities.

No, but our Work Coaches will consider those who are most at risk of long-term unemployment and make referrals on that basis.

 

Spotlight does not automatically pass or fail applications but highlights potential risks. Organisations should provide as much evidence as possible when submitting their applications.

We have recently improved the assessment process to allow more flexibility when considering applications, this includes our use of Spotlight. Whilst maintaining a high standard for Kickstart job placements, these changes will mean that more applications are likely to be successful.

 

No. To successfully receive grant funding for a Kickstart Scheme job placement, an employer must demonstrate that the job placement is additional to its planned resource requirements and is not filling existing vacancies. Kickstart Scheme job placements must not replace existing jobs, or cause existing employees, apprentices or contractors to lose work or reduce their working hours.