The UK government has recently made available more information on the extension of CJRS and SEIS Schemes. This is a summary.
Extension of CJRS (the Coronavirus Job Retention Scheme)
The Chancellor has announced that CJRS will be extended until the end of March 2021 for all parts of the UK. For claim periods running to the 31st of January 2021, the UK Government will pay 80% of employees’ usual wages for hours not worked, up to a cap of £2,500 per month. The UK Government will review the policy in January to decide whether economic circumstances are improving enough to ask employers to contribute more.
It was also confirmed that the Job Retention Bonus will no longer be paid in February 2021, as CJRS will be available at that time. An alternative retention incentive will be put in place at the appropriate time.
What you need to do now
If you intend to claim under the CJRS, please look at information published today on how you can check if you’re eligible to claim, and what you need to agree with your employees. You can find this on GOV.UK by searching ‘Extension to the Coronavirus Job Retention Scheme’.
This latest information applies for CJRS claim periods from the 1st of November 2020. The final date for claims for the period up to the 31st of October is still the 30th of November 2020.
The full guidance for claims from November onwards, including more information on how to calculate a claim is now on GOV.UK. Claims can be made from the 11th of November 2020.
Self-Employment Income Support Scheme (SEISS) Grant Extension
The UK Government is increasing the overall level of the next SEISS grant from 55% to 80% of trading profits.
This grant will cover a three-month period from the start of November until the end of January. The UK Government will pay a taxable grant which is based on 80% of three months’ average trading profits, paid out in a single instalment and capped at £7,500.
The SEISS Grant Extension will last for six months in total, from the 1st of November 2020 to the 30th of April 2021. A further grant will cover February to April, as grants will be paid in two lump sum instalments each covering a three-month period. The Government will set out further details, including the level of that grant, in due course.
Full details on checking if you are eligible for the current grant and how to claim will be published on GOV.UK week commencing the 23rd of November.
More information on the extension of CJRS and SEIS Schemes
Guidance and live webinars offering more information on the extension of CJRS and SEIS Schemes, and how they impact you, are available to book online – go to GOV.UK and search ‘help and support if your business is affected by coronavirus’.
Help and support
If you need more information on the extension of CJRS and SEIS Schemes or any aspect of your Payroll contact me now.