There is a phased change to reduce the financial support over a three months period before the furlough scheme ends on 31st October 2020. I will get a more detailed update out early next week when I’ve gone through the details to make sure nothing is different to what has been stated in the 5pm briefing today, so this is the hits & headlines for now.
NOTE: the ability to have employees on part furlough and part working will be available from 1st July 2020 not 1st August 2020 as previously stated. This means you can start to consider how to get your employees back to work, at least in part to help you bring some employees back a little earlier than expected.
- CJRS remains available until 31st October 2020 when it WILL close.
- NO CHANGE: until 31st July 2020 – so still 80% + NI + Pension contributions claimable back from HMRC.
- Current scheme will close on 30th June and any employees that you wish to be eligible OR any new employees you wish to claim back for will need to be on furlough by 10th June to be eligible.
- From 1st July you may have employees part furloughed and part working but you must pay 100% of wages when they are at work and claim the remainder of their normal wages at 80% from HMRC.
- CHANGE 1: from 1st August 2020 you will have to pay the NI + Pension contributions of furloughed employees, 80% of wages is still claimable from HMRC.
- CHANGE 2: from 1st September 2020, on top of the NI + Pension amounts, you will have to start paying a proportion of the furlough claim so you pay 10% of the employees’ wages and you can claim 70% from HMRC.
- CHANGE 3: from 1st October 2020, you will have to start paying more of the furlough claim so you pay 20% of the employees’ wages and you can claim 60% from HMRC.
In August those who are Self Employed will also be able to submit a second claim for a grant of 70% of their monthly trading profits.