How Ipswich businesses can claim £3,000 towards hiring young staff

Why it matters: The Youth Jobs Grant is designed to help cover the upfront cost of recruiting and training young staff, at a time when Abbott says too many young people are held back simply because the right support isn't there.

The details: From Tuesday, 30 June, employers have been able to claim £3,000 for every 18 to 24-year-old they hire who has been on Universal Credit for six months and is looking for work.

• The role must be for at least 25 hours a week and expected to last a minimum of four months.
• Payment is made in two instalments: £1,800 in month two of employment and £1,200 in month five.
• Employers apply through the Government's online application process, with payments made once employment and earnings have been verified by the Department for Work and Pensions.

The grant forms part of the wider Youth Guarantee, a £2.5 billion scheme over three years, backed by a further £1 billion investment in employment and skills announced in March 2026. It commits to ensuring every 16 to 24-year-old can access support to earn or learn, and also includes 150,000 work experience placements, 145,000 training placements with a guaranteed job interview, and a guaranteed job for up to 90,000 young people who have been unemployed for more than 18 months and on Universal Credit.

What's new for Ipswich: The town is set to get one of the Government's new Youth Hubs, part of a rollout of 80 hubs across Great Britain as part of a wider commitment to 360 nationally.

The hub is expected to bring Jobcentre Plus services, council support, employers and training providers together under one roof, offering 16 to 24-year-olds access to employment support, careers advice, apprenticeships and wraparound services including mental health and housing support. It has been indicated that the existing Jobcentre Plus in Ipswich town centre could be repurposed to host the hub, though final details have not been confirmed.

The aim, according to the announcement, is to give young people in Ipswich a single point of access to local employers and major opportunities in the area, including projects such as Sizewell C.

What they're saying: Jack Abbott MP said: "For businesses in Ipswich, this means new financial support to recruit young people through the £3,000 Youth Jobs Grant. For young people, it means more personalised support from Jobcentres, more apprenticeships and training opportunities, and for those who need it most, a guaranteed route into paid employment."

He added: "I would encourage employers across Ipswich to make the most of the Youth Jobs Grant and help give a young person that route into meaningful, secure, and fulfilling employment."

What's next: Expanded Jobcentre support is also now available from day one of a Universal Credit claim, with work coaches offering tailored guidance. After 13 weeks, a new Youth Guarantee Gateway will offer intensive one-to-one support and access to guaranteed opportunities, including jobs, apprenticeships and training.

The bottom line: With the grant now live, and a dedicated hub on the way, Ipswich employers and young jobseekers have new routes into work available to them — though details of exactly where the town's Youth Hub will be based are still to be confirmed.

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