A PILOT scheme in Southampton for youngsters to earn as they learn is to be extended nationwide.

From September all 16-year-olds from low income families who decide to continue with their studies will be entitled to a weekly payment of between £10 and £30.

For the past three years teenagers attending Southampton's colleges have already enjoyed the privilege.

The government chose the city to pilot the payments, known as education maintenance allowances.

Now 78 per cent of Southampton's 18-year-olds are in full-time education or training, compared with the national average of 75 per cent.

Taunton College's principal Jenny Fitton said: "The allowances have been extremely helpful to a significant number of students who can access up to £30 a week to support them in college or sixth form."

Mrs Fitton said the allowances meant youngsters could spend more time on their studies and less time on part-time jobs.

"The importance of the education maintenance allowance is less about encouraging more youngsters to stay on but more about encouraging them to stay in education.

"They have helped with retention and achievement."

The earn as you learn scheme is being extended nationwide at an annual cost of £500m, representing ten per cent of the government's annual further education budget.

They are designed to reduce the UK's post 16 drop out rate.

Research by the Department of Education and Skills suggests that EMAs increase participation by six to seven per cent.

The government expects just over half (around 353,000) of the 16-year-old population to be eligible for payments during the next academic year.

WHAT ARE EMAS?

They were first piloted in 1999.

Eligibility is based on parental income, which must not be more than £30,000.

The allowance is normally paid weekly into the student's bank account, providing they attend all their classes at a college or sixth form.

Students also receive bonuses of £50 for having a good attendance record over a term and for completing their course successfully.

From September all eligible 16-year-olds will be able to collect EMAs.

The national scheme will be administered by the private sector firm Capita -also responsible for collecting the London congestion charge.

The maximum EMA will be a weekly payment of £30