Small firms disappointed by Kickstart announcement

Press Releases 2 Sep 2020

Federation of Small Businesses (FSB) National Chair Mike Cherry said: “The kickstart scheme aims to help young people into work but many small businesses will be disappointed to see today’s announcement which feels more aligned to the needs of larger businesses.

“Without further work, the scheme will leave many without any employment support after waiting for it for so long. Crucially it is more difficult to access for those hiring fewer than 30 roles through the scheme, who as it stands will need to find intermediaries. There is currently no guidance for how to become an intermediary and how they will operate the scheme.

“To hire 30 individuals is just beyond the means of most small businesses, many of which have far fewer employees or don’t have the HR support on hand to introduce that number of new employees.

“The time it will take to hire these 30 employees across several small firms could take months and result in increased costs for small firms at a time when they need our support the most.

"Small firms, who are the largest employers across the business landscape, have long expressed interest in this scheme and will be disappointed to find it harder than expected to take part. To put it bluntly, this scheme has not been designed with small businesses front of mind.  The Government should issue guidance, and soon, to make it easy for small business organisations to become intermediaries, or a direct application route for small firms.

“The Government assures us it wants to make Kickstart work for small employers, and we are in discussions with them on how to address small business concerns and make sure it does.”


 

Kickstart Scheme

FSB is a national gateway for the UK Government's Kickstart scheme. We're encouraging small businesses to get involved and help support young people with job placements in England, Scotland and Wales.

Find out more

 


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Jordan Bhatt

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About FSB

As the UK’s largest business support group, FSB is the voice of the UK’s small businesses and the self-employed. Established over 40 years ago to help its members succeed in business, FSB is a non-profit making and non-party political organisation that’s led by its members, for its members. As the UK’s leading business campaigner, FSB is focused on delivering change which supports smaller businesses to grow and succeed.

FSB offers members a wide range of vital business services, including access to finance, business banking, legal advice and support along with a powerful voice in Government. Each year FSB also runs the UK’s Celebrating Small Business Awards. More information is available at www.fsb.org.uk. You can follow us on twitter @fsb_policy and on Instagram @fsb_uk.