Changes to the CJRS from July

Here’s the latest information about changes to the CJRS from July.

The UK Government will continue to pay 80% of furloughed employees’ usual wages for the hours not worked, up to a cap of £2,500 per month, to the end of June.

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.

Employers will need to pay the 10% difference in July (20% in August and September), so that they can continue to pay their furloughed employees at least 80% of their usual wages for the hours they do not work during this time, up to a cap of £2,500 per month.

For the hours not worked employers can continue to choose to top up their employees’ wages above the 80% level or cap for each month, at their own expense.

To help you and plan ahead for all future claim periods, the CJRS calculator is available to help you work out how much you can claim for employees. To find this and everything you need to know about the CJRS, go to claim for wages on GOV‌‌‌.UK.

Conditions of claiming CJRS grants

You must pay the associated employee tax and National Insurance contributions to HMRC. This is a condition of applying for the grant, so not doing so will mean you’ll need to repay the whole of the CJRS grant and may not be able to claim for future CJRS grants.

If you are having difficulties paying any of your tax liabilities to HMRC, they will work with you to explore affordable payment options – for example, through a payment plan where you can pay over time, in instalments. To find out more go to GOV.UK.

What you need to do now

If you haven’t submitted your claim for April but believe that you have a reasonable excuse for missing the 14‌‌‌ ‌April deadline, check if you can make a late claim by searching ‘claim for wages’ on GOV‌‌‌‌‌‌‌‌‌‌‌.UK.
Submit any claims for May no later than Monday‌‌‌ ‌14^th of‌‌ June.
Keep records that support the amount of CJRS grants you claim, in case HMRC needs to check them.
Make sure you‘re paying employee tax and National Insurance contributions to HMRC and contact us if they’re struggling to pay.