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UK Launches £725m Drive for 50,000 Apprenticeships, Plus £820m Welfare-to-Work Plan

The move responds to a sharp fall in apprenticeship starts alongside rising NEET numbers.

Overview

  • The government set out a three-year investment to create about 50,000 apprenticeships across sectors including engineering, AI and hospitality.
  • Apprenticeships at small and medium-sized businesses will be fully funded, with £140 million given to regional mayors to connect local NEETs to employers.
  • A separate £820 million programme aims to move people off benefits into work, offering training and work experience to 350,000 young universal credit claimants and government-backed jobs for up to 55,000 from spring 2026.
  • Prime Minister Keir Starmer cast apprenticeships as equal in status to university and said he wants more people with apprenticeship backgrounds to reach senior roles in politics.
  • Apprenticeship starts have fallen by about 40% since 2017 and NEETs are reported at roughly 940,000, with commentators calling the reforms a start as a Milburn-led review reports next summer.