The proposed UK-EU Youth Experience Scheme: Opportunities and considerations for employers

The UK and EU are currently working towards a new Youth Experience Scheme (YES), designed to give young people the opportunity to live, work, study, volunteer or travel in participating countries for a limited period. While the final details have yet to be agreed, the proposal could create new opportunities for employers seeking to attract talent, develop future leaders and strengthen international connections.

What could the UK–EU youth experience scheme mean for employers?

For businesses, a targeted youth mobility route could help organisations access a wider talent pool, support employee development and benefit from new skills, language capabilities and international experience.

Opportunities for SMEs and Family Businesses

While large organisations often have established international mobility programmes, SMEs and family-owned businesses may also benefit from the opportunities the scheme could create.

Many businesses continue to face recruitment challenges, particularly in specialist and skilled roles. Access to talented young people from across Europe could help address skills gaps, support growth plans and bring valuable language capabilities and cultural awareness into organisations with international customers, suppliers or operations.

For family businesses, there is also the potential for future leaders to gain experience overseas before taking on greater responsibilities. Exposure to different markets, cultures and ways of doing business can provide valuable commercial and leadership experience, helping to prepare the next generation for succession and long-term growth.

What about UK employees going abroad?

The scheme is expected to be reciprocal, meaning UK citizens could also have opportunities to live and work in participating EU countries for a set period. Exact participating countries, caps and durations are not yet known.

For individuals, overseas work experience can be an excellent way to develop new skills, broaden professional networks and gain international exposure. For employers, it can help build more commercially aware and globally minded teams while supporting employee retention and development.

However, cross-border working can bring additional complexities. Questions around tax residence, social security contributions, payroll reporting, pension arrangements and employment law obligations can arise when employees spend time working in another country. Understanding these issues at an early stage can help employers avoid unexpected costs, compliance obligations and administrative burdens.

Looking ahead

Although the final shape and timing of the scheme remain uncertain, the proposals reflect a shared ambition to increase opportunities for young people while strengthening links between the UK and Europe.

For employers, now is a good time to start thinking about how greater youth mobility could support recruitment, talent development and succession planning. Businesses that understand both the opportunities and the practical considerations will be best placed to take advantage of any future arrangements as more details emerge.

How we can help

Our tax and international advisory specialists support businesses and individuals with a wide range of cross-border matters. We can help assess whether a proposed arrangement creates UK or overseas payroll obligations, tax residence issues, social security liabilities or employer reporting requirements, and put the right processes in place to support your plans.

To discuss this in further detail, please get in touch with our Global Mobility Tax team here.