Extension of Job Retention Scheme (JRS), Furlough - what you need to know (updated 5.11.20)
With the second lockdown now underway, the Government has extended the Job Retention Scheme (Furlough).
Here's a summary of the changes:
Job Retention Scheme
The Furlough Job Retention Scheme (JRS) has been extended until 31 March 2021.
For an employee to be eligible, they need to have been on a submitted RTI report (payroll run) before 23:59 on 30 October 2020.
Employers will receive 80% of employees wages up to £2,500 per month.
Employers will have to pay the pension and employers NI costs.
The scheme covers directors.
The scheme includes 'flexible furlough'. This allows furloughed employees to work part-time hours, which are paid as usual by the employer. Any furloughed hours are covered under the JRS.
JRS claims can be submitted from mid November 2020.
Payments will be received around 6 working days after submitting a claim.
HMRC are going to publish a list of employers who have submitted JRS claims. We understand this is to prevent fraud.
Employees made redundant or stopped working for the business after 23 September 2020, can be re-employed and claimed for (at the discretion of the employer). The employee must have been on a PAYE return between 20 March 2020 and 23 September 2020.
We can submit JRS claims on behalf of our payroll clients as usual. We'll provide this service free of charge, as we have done since March 2020.
If your business is registered for business rates, take a look at the support you'll receive if you've been forced to close.