Extended Furlough – Extended Again!

Today the Chancellor again extended the furlough scheme which will now remain open until 31 March 2021. So it’s goodbye well and truly to the Job Support Scheme!

Some more clarification that has come out today from HMRC in advance of the governments’ guidance which is due to be published on 10 November 2020.

  • For claim periods up to January 2021 the government will pay up to 80% (£2500 per month) for hours not worked. The percentage contribution from the government will be reviewed for February and March 2021 and may change.
  • Employers don’t have to have claimed furlough before.
  • Flexi furlough will continue to operate.
  • Employees can be furloughed (but don’t have to be) if they are shielding or need to stay at home with someone who is shielding.
  • Employees that were on the payroll on 23 September 2020 and who were made redundant or stopped working for their employer after that date can be reemployed and claimed for.

Self-Employment Income Support Grant – extended.

The Self-Employment Income Support Scheme (SEISS) will be increased, with the third grant covering November to January calculated at 80% (an increase on the initial proposal of 55%) of average trading profits, up to a maximum of £7,500. The figures for the second grant February-April have not been announced at this stage. An individual must have been eligible previously under this scheme even if they did not claim. In addition an individual must make a declaration that they will continue to trade.

Job Retention Bonus

The Jobs Retention Bonus (JRB) will not be paid in February and the government will redeploy a retention incentive at the appropriate time. The purpose of the JRB was to encourage employers to keep people in work until the end of January. However, as the CJRS is being extended to the end of March 2021, the policy intent of the JRB falls away. 

For further details please see the government guidance here

For further details please contact;

or call;

0113 258 0033

This article was originally published on: 9 November 2020

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