Please note that we close at 5pm on Friday 22/12/23 and re-open at 9am on Tuesday 2/1/24. Merry Christmas and a very HAPPY NEW YEAR!!

Furlough scheme extended into 2021

by Michael Blaken

Published on 6th November 2020

The Government has announced an extension to the furlough scheme into spring 2021, offering further support to employed people

The Coronavirus Job Retention Scheme (CJRS) will now run until the end of March with employees receiving 80% of their current salary for hours not worked.

Similarly, support for workers through the Self-Employment Income Support Scheme (SEISS) will be increased, with the third grant covering November to January calculated at 80% of average trading profits, up to a maximum of £7,500.

The furlough scheme was initially extended until 2 December, but the Government says it is now going further so that support can be put in place for long enough to help businesses recover and get back on their feet – as well as giving them the certainty they need in coming months.

There are currently no employer contribution to wages for hours not worked. Employers will only be asked to cover National Insurance and employer pension contributions for hours not worked.

The CJRS extension will be reviewed in January to examine whether the economic circumstances are improving enough for employers to be asked to increase contributions.

To talk through any tax of business issues with the team here at Optimum, please get in touch.

Next post...

C19 Business News Update

ENGLAND – NEW NATIONAL RESTRICTIONS FROM 5 NOVEMBER The Government has issued information on the new...

Read more

Previous post...

SEISS: two more rounds of support for self-employed

Following the announcement of a second national lockdown, due to Coronavirus, not only has the Government...

Read more

Stay up to date