The Apprenticeship Grant for Employers (AGE) was introduced in February last year but has been extended for a further 12 months to help reduce youth unemployment and deliver growth within firms.
A £1,500 grant is available for up to ten apprentices aged between 16 and 24-years-old, while the payment is now made in a single installment and not over two periods.
Speaking about the extension of the scheme, Business Secretary Vince Cable said: "Employers may be concerned about the time recruitment and training will take, and anxious about how it will work.
"So the £1,500 grant is a token to acknowledge this and thank employers. I hope many more people will take us up on our cash incentive to grow their business, and train up the workforce of the future."
It comes after the government also announced that it will be extending its start-up loan scheme, helping entrepreneurs take their ideas to the production stage.
Posted by Thomas Fletcher