The money, from the National Apprenticeship Service (NAS), will fund a new scheme offering construction companies incentives of up to £1,000 for taking on apprentices who lost their jobs because of the recession.
ConstructionSkills, the sector skills council for the construction industry, will run the programme using their apprentice matching service, which matches displaced apprentices with new employees.
Simon Waugh, chief executive of NAS, said: "In today's challenging times, and particularly as we prepare for the upturn, apprenticeships are a vital way of improving the skills of staff and generating a committed and valuable workforce. This is why we are working with the industry to provide immediate financial support to ensure construction employers can keep taking on apprentices."
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