On Thursday 5 November, Chancellor Rishi Sunak announced an extension to the furlough scheme to support businesses across the United Kingdom.
How will the furlough scheme extension work?
Following on from our previous update (click here), the Coronavirus Job Retention Scheme (CJRS) will now be extended until 31 March 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, until January 2021 when the Government will review whether to increase the employer contribution to the scheme.
Who is eligible for the furlough scheme extension?
The furlough scheme extension will apply across the whole of the UK, as long as employers meet the eligibility criteria.
When will the extension be reviewed?
The government will review the policy in January 2021. Any changes to the level of employer contribtion will be dependent on the economic circumstances.
How does this impact other coronavirus support schemes?
The Job Support Scheme (JSS) and the Job Retention Bonus (JRB) will both be postponed to a later (undefined) date due to the above developments.
How can we help?
If you are looking for further advice on the furlough extension, please get in touch with Andrew Noton (email@example.com). Alternatively, feel free to contact your usual Lubbock Fine contact.