Coronavirus Job Retention Scheme (CJRS)
The Coronavirus Job Retention Scheme (CJRS) will now run until the end of March with employees receiving 80% of their current salary for hours not worked.
There is currently no employer contribution to wages for hours not worked. Employers will only be asked to cover National Insurance and employer pension contributions for hours not worked. For an average claim, this accounts for just 5% of total employment costs or £70 per employee per month. The CJRS extension will be reviewed in January to examine whether the economic circumstances are improving enough for employers to be asked to increase contributions.
The Job Retention Bonus which was due to be paid in February will no longer be payable.
Businesses will have the flexibility to use the scheme for employees for any amount of time and shift pattern, including furloughing them full-time.
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). An employer can claim for employees who were employed and on their PAYE payroll on 30 October 2020. The employer must have made a PAYE Real Time Information (RTI) submission to HMRC between 20 March 2020 and 30 October 2020, notifying a payment of earnings for that employee.
Employees that were employed and on the payroll on 23 September 2020 (the day before the Job Support Scheme announcement) who were made redundant or stopped working afterwards can be re-employed and claimed for. The employer must have made an RTI submission to HMRC from 20 March 2020 to 23 September 2020, notifying a payment of earnings for those employees.
Claims can be made from 8 am Wednesday 11 November. Claims made for November must be submitted to HMRC by no later than 14 December 2020. Claims relating to each subsequent month should be submitted by day 14 of the following month, to ensure prompt claims following the end of the month which is the subject of the claim.
Self Employed Income Support Scheme (SEISS)
The next self-employed income support grant will also increase from 55% to 80% with the third grant covering November to January calculated at 80% of average trading profits, up to a maximum of £7,500.
The online service for the next grant will be available from 30 November 2020. HMRC will provide full details about claiming and applications in guidance on GOV.UK in due course.
Bounce Back Loan Scheme (BBLS)
The deadline for applications has been extended to 31 January 2021 this will give businesses two extra months to make loan applications. The rules will also be adjusted to allow those businesses who have borrowed less than their maximum (i.e. the lower of £50,000 or less than 25% of their turnover) to top-up their existing loan. Businesses will be able to take-up this option from next week; they can make use of this option once.
Local Restrictions Support Grant
In line with the grants given to businesses forced to close in tier 3 areas businesses in England that are forced to close due to national restrictions will receive up to £3,000 per month depending on their rateable value. Funding is due to be available from next week and will be administered by local authorities.
|Rateable Value||Tier 3 Restrictions/National Lockdown|
|£15k or under||Grant of £1,334 per month|
|Between £15k and £51k||Grant of £2,000 per month|
|£51k or more||Grant of £3,000 per month|
Test and Trace Support Payment scheme
If you have been told to self-isolate on or after 28 September 2020, you’re under a legal obligation to do so, and could be eligible for a £500 Test and Trace Support Payment if you live in England and meet all the following criteria:
- you have been told to stay at home and self-isolate by NHS Test and Trace, either because you have tested positive for coronavirus or have recently been in close contact with someone who has tested positive
- you’re employed or self-employed
- you’re unable to work from home and will lose income as a result of self-isolating
- you’re currently receiving at least one of the following:
- Universal Credit
- Working Tax Credit
- income-based Employment and Support Allowance
- income-based Jobseeker’s Allowance
- Income Support
- Housing Benefit
- Pension Credit
If you do not fulfil the above criteria for the Test and Trace Support Payment, you could be eligible for a £500 discretionary payment if you live in England.
You will receive the £500 payment on top of any benefits and Statutory Sick Pay that you currently receive. You should contact your local authority to find out how to apply.
The scheme will run until 31 January 2021.
Statutory Sick Pay (SSP)
You could get SSP if you’re self-isolating because:
- you or someone you live with has coronavirus symptoms or has tested positive for coronavirus
- you’ve been notified by the NHS or public health authorities that you’ve been in contact with someone with coronavirus
- someone in your ‘support bubble’ (or your ‘extended household’ if you live in Scotland or Wales has coronavirus symptoms or has tested positive for coronavirus
- you’ve been advised by a doctor or healthcare professional to self-isolate before going into hospital for surgery
You can also get SSP if both of the following apply:
- you live or work in an area with local restrictions in place, including advice to ‘shield’ (take extra precautions to reduce contact with others)
- you’ve been advised to shield because you’re at very high risk of severe illness from coronavirus
You cannot get SSP if you’re self-isolating after entering or returning to the UK and do not need to self-isolate for any other reason.
If you have a letter advising you to ‘shield’ (take extra precautions to reduce contact with others) because you’re at very high risk of severe illness from coronavirus, you can get SSP for the period specified in the letter.
If you are self-isolating for any other reason you will need to self-isolate for at least 4 days to be eligible for SSP; you will receive SSP for every day you self-isolate.