01 August 2026
Government removes barrier to apprenticeships for low-income families
The UK Government has tackled a long-standing issue for young apprentices from low-income families. The CDI, along with numerous other organisations, has raised that an issue for some young people is that their apprenticeship income can be taken into account as household income, affecting family benefits and acting as a barrier to young people moving into paid training.
It is therefore very positive to see the UK Government announce a new bursary for families on Universal Credit that can counteract any negative impact of a young person starting an apprenticeship. The bursary is worth up to £4,500 per year for a household.
The announcement says that a Social Security Advisory Committee report showed that “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 to remove a bureaucratic barrier for young people taking on an apprenticeship.
The bursary will be included in the £1 billion extra investment announced for the Growth and Skills Levy to encourage more young people to move into training and work.
Read more about the Government announcement on apprenticeship changes.
It is therefore very positive to see the UK Government announce a new bursary for families on Universal Credit that can counteract any negative impact of a young person starting an apprenticeship. The bursary is worth up to £4,500 per year for a household.
The announcement says that a Social Security Advisory Committee report showed that “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 to remove a bureaucratic barrier for young people taking on an apprenticeship.
The bursary will be included in the £1 billion extra investment announced for the Growth and Skills Levy to encourage more young people to move into training and work.
Read more about the Government announcement on apprenticeship changes.
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