Just announced, the government is extending the CJRS to support individuals and businesses who are impacted by disruption caused by coronavirus (COVID-19) this winter. This is an extension of the CJRS and the scheme rules will remain the same except where HMRC state otherwise.
Coronavirus Job Retention Scheme remaining open until 31 March 2021
The CJRS (also known as the furlough scheme) will remain open until 31 March 2021. For claim periods running to January 2021, employees will receive 80% of their usual salary for hours not worked, up to a maximum of £2,500 per month. The employer will continue to pay employees pension and NICs. The £2,500 cap is proportional to the hours not worked.
How much will employers have to contribute to the CJRS after January?
The government will review the policy in January to decide whether economic circumstances are improving enough to ask employers to contribute more.
Can I claim CJRS (furlough)?
Claims can be made by employers across the UK that meet the eligibility criteria.
This policy paper sets out updated details on:
- eligibility criteria for employers and employees
- what employers will need in order to claim
- updated information on reference data to calculate those claims
Can I rehire a redundant employee and place them onto furlough?
Yes, you can – Employee Eligibility: Neither the employer nor the employee needs to have previously claimed or have been claimed for under CJRS to make a claim under the extended CJRS (if other eligibility criteria are met). Employees notified by RTI submission to HMRC on or before 30th October will be eligible. Employees employed as of 23 September and notified to HMRC by RTI on or before that date, who have since been made redundant can be rehired and placed on the Scheme.
Can employees continue to be flexi furloughed?
Yes employees can continue to be flexi furloughed.
I am employed and I am also a sole trader – can I claim SEISS & be furloughed by my employer?
Yes, if you are self employed and you are also furloughed by your employer you can still claim the SEISS if you business has been negatively affected financially by Covid19.
When are further details on furlough / CJRS going to be made available?
HB Accountants will publish further details as soon as they are published by Gov.UK (which we understand will be available on 10th November)
Will I still be able to claim to Job Retention Bonus for employees bought off of furlough?
No, the Job Retention Bonus (a £1,000 one-off payment to firms that had retained previously-furloughed staff until the end of January 2021) has now been scrapped and replaced with a new “retention incentive” that will be deployed at an “appropriate time“.
We hope this information helps you and we are here for you during this difficult time. We will continue to keep you updated as the Government releases new information. Our business contingency plan is in place and we will do everything we can to support our clients during this uncertain period, please do not hesitate to contact us here if you have any concerns or queries.
Latest blogs from HB Accountants
- Guide to Covid19 business grants available during Lockdown 2.0
- Extension to the Coronavirus Job Retention Scheme (CJRS) – will you now be eligible?
- Job Support Schemes explained – JSS Open & JSS Closed…
- All Change to the COVID19 Support Packages Offered by the Government – How will this affect you?
- Local Restrictions Support Grant Scheme
The information contained above is for general guidance purposes only. Whilst every effort has been made to ensure the contents are accurate, please note that each individual has different circumstances and it is essential that you seek appropriate professional advice before you act on any of the information contained herein. HB Accountants can accept no liability for any errors or omission or for any person acting on or refraining from acting on the information provided in the above