Extended Furlough Update

The details of Coronavirus Government support is constantly shifting. Below are the most up-to-date (as of this morning…) details we have.

The Coronavirus Job Retention Scheme

  • The Coronavirus Job Retention Scheme (‘CJRS’ or ‘furlough’) is extended from 31 October to the end of March 2021. (Fingers crossed the vaccine will make further extensions unnecessary.)
  • Employers can claim CJRS for employees who were employed on 30 October as long as a PAYE RTI submission was made to HMRC between 20 March and 30 October.
  • There is no maximum number of employees an employer may claim under the new CJRS rules.
  • From 1 November 2020 employers can claim 80% of an employee’s usual salary for hours not worked, up to a maximum of £2,500 per month.
  • Employers can retrospectively furlough someone with effect from 1 November so long as the agreement occurs on or before 13 November(tomorrow!)
  • Claims need to be filed by the 14th of the following month.
  • As before employers must continue to confirm in writing to the employee that they have been furloughed and keep documentation for five years.

Self-Employment Income Support Scheme

  • The Self-Employment Income Support Scheme (‘SEISS’) grant scheme for the self-employed is extended and increased.
  • The current stage covers from November to January with an additional stage for February to April.
  • The eligibility criteria remain fairly broad.
  • The current SEISS is at 80% of average profits, with a maximum of £7,500 for the period.

Much of the previously announced support is still available, with extended deadlines in some cases, including:

  • Cash grants for businesses closed due to lockdown or local restrictions
  • Business loans (Bounce-back and CBILS) with very favourable terms, payment and interest holidays. etc
  • Mortgage and loan payment holidays remain extended

The Job Support Scheme (‘JSS’) is deferred indefinitely.

The Job Retention Bonus of £1,000 per retained employee is cancelled but may be replaced down the line…

Contact Info

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info@dlp.org.uk

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