The Chancellor, Rishi Sunak, yesterday (Thursday) announced that he would be extending the furlough scheme until Spring 2021.
The Coronavirus Job Retention Scheme (CJRS) will now run until the end of March with employees receiving 80% of their current salary for hours not worked.
Sunak says the CJRS extension will be reviewed in January, “to examine whether the economic circumstances are improving enough for employers to be asked to increase contributions”.
Support for the self-employed
In addition, the Self-Employment Income Support Scheme (SEISS) will be increased, with the third grant covering November to January calculated at 80% of average trading profits, up to a maximum of £7,500.
To be eligible for this you must have filed a tax return for 2018/19 and earn more than 50% of your total income from self-employment.
Who has not been supported
Directors/owners of small limited companies who cannot furlough themselves because they must continue operating their business – but have seen a dramatic drop in income due to Covid-19 – have still not been offered any support from the Government, apart from the suggestion they take out bank loans.
Directors/owners of small limited companies are still awaiting a debate in Parliament to hear their petition which attracted over 100,000 signatures.
Find out more
Money Saving Expert have produced a detailed article setting out what employers .
For more information visit the Government Website.
Image: NordWood Themes under CC BY 2.0
