The Chancellor has today confirmed that the Coronavirus Job Retention Scheme is to be extended beyond the November 2020 lockdown period.
Acknowledging that the financial ramifications of lockdown extends further than lockdown itself, the Chancellor has confirmed that the furlough scheme will be extended until 31st March 2021. Furlough will be paid at a rate of 80% of hours worked until at least January 2021, with employers only having to pay pension and National Insurance contributions during this period. The policy and rates will be reviewed in January 2021. This will now replace the recently announced Job Support Schemes. Employers do not need to have used the CJRS previously.
This extension now negates the requirement for the Job Retention Bonus which will now not be paid.
The Chancellor also confirmed that the third tranche of SEISS will also be increased to 80% of trading profits throughout this period (ending 31st January 2021), to a maximum of £7,500 per month. The details of the fourth grant will again be reviewed in January.
The full Government guidance on Coronavirus Job Retention Scheme can be found here.
The full Government guidance on the Self Employed Income Support Scheme can be found here.
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