Employees will receive 80% of their current salary for hours not worked, up to a maximum of £2,500. The extended furlough scheme is more generous for employers than it was in October. The level of grant will mirror levels available under the CJRS in August, the employer will still be required to pay employer National Insurance contributions and pension contributions.

The Chancellor has also announced a doubling of the self-employment grant to 80%, worth up to a maximum of £7,500, for December and January.

The latest extension to support measures will be reviewed in January, with the Job Support Scheme , originally scheduled to come in on Sunday 1st November, now being postponed until the furlough scheme ends. The Job Retention Bonus for retained employees has also been postponed for the time being.

To be eligible to be claimed for under the furlough extension, employees must be on an employer’s PAYE by 23.59pm 30th October 2020.

As with the original CJRS, employers are still able to choose to top up employee wages above the scheme grant at their own expense if they wish.

If you have any questions regarding the furlough changes, please get in touch with your usual payroll contact.

Our team are of course here to help if you wish to discuss any of the above in more detail. We remain committed to our clients to provide support to get you through the difficult climate we currently find ourselves in, so please do not hesitate to contact your normal Rickard Luckin contact.