Furlough and Loan Schemes Extended and UK Budget Date Announced
The Chancellor has announced the extension of the Furlough and various loan schemes.
Furlough/Coronavirus Job Retention Scheme
The Furlough Scheme, otherwise known as the Coronavirus Job Retention Scheme (CJRS), will be extended until the end of April 2021.
The government will continue to pay 80% of the salary of employees for hours not worked, up to a maximum of £2,500 per month, until the end of April. The Government had previously advised that it would review the level of its contributions in January.
Employers will only be required to pay wages, National Insurance Contributions (NICS) and pensions for hours worked; and NICS and pensions for hours not worked.
The eligibility criteria will remain unchanged.
https://jsca.co.uk/covid-19-updated-furlough-guidance/
https://jsca.co.uk/uk-government-extends-furlough-to-end-of-march/
Loan Schemes
The government-guaranteed Covid-19 business loan schemes will now remain open until the end of March 2021. They were originally due for closure on 31 January 2021.
The loan schemes available until the end of March 2021 include: –
- The Bounce Back Loan Scheme
- The Coronavirus Business Interruption Loan Scheme
- The Coronavirus Large Business Interruption Loan Scheme
https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-schemes/
The Government has already indicated that more support will be available beyond March via a successor loan scheme. More details about this will be announced in due course
UK Budget date
The Chancellor also confirmed that the Budget has been scheduled for 3 March 2021 and will include details of the next phase of the plan to tackle the virus and protect jobs
The information in this blog provides only an overview of HMRC guidance and legislation in force at the date of publication and no action should be taken without consulting the detailed HMRC guidance and legislation or seeking professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this blog can be accepted by the firm.
Photo by Carolina Marinelli on Unsplash
