Coronavirus Job Retention Scheme (CJRS) and Self-Employment Income Support Scheme (SEISS) - Extension
We are now able to provide further information regarding the announcements made last week, covering the extension of the Coronavirus Job Retention Scheme (CJRS) and the Self-Employed Income Support Scheme (SEISS).
As always, we are here to support you and your business throughout this uncertain time, so please get in touch if we can assist you further.
Extension to the Coronavirus Job Retention Scheme
On 5 November, it was announced by the Chancellor that the CJRS will be extended until the end of March 2021 for all parts of the UK.
For claim periods running to 31 January 2021, the UK Government will pay 80% of employees’ usual wages for hours not worked (subject to a cap of £2,500 per month). The UK Government will review the policy in January and decide whether economic circumstances are improving enough to ask employers to contribute more.
It has also been confirmed that the Job Retention Bonus will no longer be paid in February 2021, as CJRS will be made available at that time. An alternative retention incentive will be put in place at the appropriate time.
The final date for making claims for the period up to 31 October, is still 30 November 2020.
The full guidance for claims from November onwards, including more information on how to calculate a claim, will be published on GOV.UK on Tuesday 10 November and we will update you with the details when they’re announced.
You can find further Government guidance by clicking the following link – https://www.gov.uk/government/publications/extension-to-the-coronavirus-job-retention-scheme/extension-of-the-coronavirus-job-retention-scheme
Self-Employment Income Support Scheme (SEISS) Grant Extension
The Chancellor also announced that the UK Government is increasing the overall level of the next SEISS grant from 55% to 80% of trading profits.
The SEISS grant will cover a three-month period which will begin at the start of November until the end of January.
- UK Government will pay a taxable grant which is based on 80% of three months’ average trading profits, paid out in a single instalment and will be capped at £7,500
- The SEISS Grant Extension will last for six months in total, starting 1 November 2020 to 30 April 2021.
- A further grant will cover February to April, as grants will be paid in two lump sum instalments each covering a three-month period. The Government will set out further details, including the level of this grant, in due course.
Full details on checking if you are eligible for the current grant and how to claim will be published on GOV.UK week commencing 23 November.
We will continue to assist and carry out the necessary calculations for payroll and also make claims for the CJRS on behalf of our clients.
However, if you have not asked us to assist with this before, or if you are a non-client who would like some additional information, please get in touch with James Andrews or myself on 0113 257 4506.