Coronavirus Job Retention Scheme (CJRS) Support Extended
The Chancellor announced earlier this month an extension to the Coronavirus Job Retention Scheme. The Government have recognised the need to keep the furlough scheme in place so businesses can continue to keep staff employed while they are "re-starting" their businesses.
The details are:
The UK government will continue to pay 80% of employees’ usual wages for the hours not worked, up to a cap of £2,500 per month, up to the end of June 2021.
For periods in July, CJRS grants will cover 70% of employees’ usual wages for the hours not worked, up to a cap of £2,187.50.
In August and September, this will then reduce to 60% of employees’ usual wages up to a cap of £1,875.
As usual, there are caveats:
There is a cap of £2,500 per month.
Employers still need to pay NIC and pension contributions.
For periods from May 1st 2021 onwards you can claim for eligible employee's who were employed by you and were on your payroll on 2nd March 2021. There are specific dates when the RTI (Real Time Information) submission to HMRC needed to be made.
The Chancellor always has challenges with the budget in trying to balance the needs of the Country to survive and continue to grow the economy at the same time. The furlough scheme has been one of the real plus points for many businesses and their employee’s. Getting back to "normal working practices” is the next step to our economic recovery.
Geoff Selby, Managing Director
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