The Chancellor has today (5.11.20) confirmed that the Coronavirus Job Retention Scheme is to be extended until 31st March 2021.
Furlough will continue to be paid at a rate of 80% of hours worked, up to a maximum of £2,500 per month, until at least January 2021, with employers only having to pay pension and National Insurance contributions until this date.
The policy and percentage rates will be reviewed in January 2021.
The scheme remains flexible so employees can undertake some work under this scheme.
Employers do not need to have used the CJRS previously to be able to claim and the scheme is open to “new entrant” employees, so those who have not been previously furloughed.
Again employees who were made redundant or stopped working for their employer after the 23rd September 2020 can be re-employed and claimed for under this scheme.
Employees can be furloughed if they are shielding in line with public health guidance (or need to stay at home with someone who is shielding).
They do not need a revised shielding letter to be eligible.
This extension will now replace the recently announced Job Support Schemes and the Job Retention Bonus has now been postponed.
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