The government has launched a call for evidence on unpaid and underpaid internships and work trials.
The Department for Business and Trade said that while internships offer young people invaluable experience, when these are unpaid or paid below the national minimum wage, it creates barriers to equal opportunity based on where people live, their age, or their social background.
Unpaid internships are already banned under current law, when they are not part of an educational or training course, but the government is committed to strengthening these protections by gathering more evidence on how unpaid internships affect young people, and how businesses use them to assess candidates.
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Business secretary Jonathan Reynolds said: “Every young person deserves the chance to build their career through quality work experience, but good employers are still being undercut by those exploiting interns by illegally asking them to work for free.
“Our Plan for Change seeks to break down barriers to opportunity, which is why we will strengthen protections for younger workers so that internships are accessible to everyone, ensuring they have the foundations to build a strong and successful career.”
A study by social mobility charity the Sutton Trust, published in January, found that 38% of employers think unpaid internship schemes should be banned, while 30% want better enforcement of existing minimum wage legislation.
It found that nearly half of organisations say they pay interns at least the minimum wage, while the proportion offering schemes paid below this rate had grown to 17%, from 11% in 2018. The percentage of employers offering unpaid internships also increased slightly in this period to 9%.
Nick Harrison, CEO of the Sutton Trust, said yesterday: “Taking action on internships with low or no pay is absolutely the right thing to do. We’ve found that 61% of internships undertaken by recent graduates were ‘unpaid or underpaid’, effectively excluding those who can’t rely on financial support from family.
“Employers will benefit from the wider pool of talent available to them, and three quarters of employers told us a ban wouldn’t impact the number of opportunities they provide. Today’s announcement marks a significant step in the right direction.”
Employment rights minister Justin Madders said: “Internships provide a strong platform from which to build a career, allowing young people to learn new skills and giving employers a pipeline of future talent to hire from to grow their business.
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“Employers should not be taking advantage of the opportunities on offer by not paying their interns. This move will help us crack down on those not following the rules, so that the next generation of interns are able to gain that crucial experience whilst earning a fair wage.”
The call for evidence runs for 12 weeks, closing on 9 October 2025.
