The government recently declared that apprentices’ minimum pay is to rise by 10 percent or £15.00, to £95.00 a week. The move is expected to boost the wages of approximately 26,000 apprentices in the country, starting in August 2009.

Currently, the average weekly apprentice wage is £170.00.

John Denham, Secretary of State for Innovation, Universities and Skills, made the announcement at the Trade Union Congress in mid-September. “We have rescued apprenticeships. We have trebled the number of people taking them up since 1997. Over 60 percent of people now complete their apprenticeships, compared to just over 20 percent a few years ago,???? claimed Denham.

“We will go on to make sure that they are a mainstream option for all young people and for adults in England. Within the next decade, one in five young people will be able to take up an apprenticeship,???? said Denham.

However, the Confederation of British Industry (CBI) warned that in order to fund the pay increase, jobs could be cut. “There is a risk that this significant rise in minimum pay in England may lead to some employers reducing the number of apprentice opportunities on offer to young people,???? suggested Susan Anderson, CBI director of education and skills policy.

“The Government still needs to deliver on its promises to cut red tape, reform qualifications to reflect employers’ real skills needs and provide support for small firms. Without these changes, our shared ambition of increasing the number of apprentice places will not be realised,???? said Anderson.