On 17 December 2020, Chancellor Rishi Sunak announced a further extension to the Coronavirus Job Retention Scheme (CJRS).
What are the new CJRS changes?
The furlough scheme will now be extended until 30 April 2021, allowing employees to receive up to 80% of their current salary. The Scheme will pay up to 80% of wages for hours not worked up to £2,500 a month, with employers covering National Insurance and pension contributions.
Who is eligible?
The furlough scheme extension will apply across the whole of the UK, as long as employers meet the eligibility criteria.
Extension to business loan schemes
The Chancellor also confirmed that he would be extending the government-guaranteed COVID-19 business loan schemes until 31 March 2021, beyond their original closing date in January 2021. These include:
- Bounce Back Loan Scheme
- Coronavirus Business Interruption Loan Scheme
- Coronavirus Large Business Interruption Loan Scheme
The Government has already announced there is to be a successor loan scheme which will be available beyond March.
When will the Budget take place?
The Chancellor also confirmed that the Budget will take place on 3 March 2021, where the next phase of the plan to tackle the virus and protect jobs will be announced.
How can we help?
If you’re looking for further advice on the furlough scheme, please get in touch with Andrew Noton (firstname.lastname@example.org), or click here to contact us.