The chancellor has recently announced further support to businesses and self-employed workers in 2021, as well as extending the coronavirus job retention scheme to 30th September 2021.
Below are a few helpful links and key notes on the changes:
- Support for businesses during coronavirus (COVID-19)
- Budget 2021 sets path for recovery
- Check if you can claim a grant through the Self-Employment Income Support scheme
Other key announcements:
- Time to pay taxes – the government have urged HMRC to enhance their existing time to pay service. HMRC are reportedly asking for minimal evidence in order to agree an arrangement to pay by instalments
- Ability to claim back SSP from the government for up to 2 weeks per employee (who is off work due to Covid-19)
- Find further guidance from acas regarding working from home, employees rights etc. here
Below is a summary of the changes to the level of grant for the coronavirus job retention scheme (furlough payments) from 1 July 2021
From 1 July 2021, the level of grant will be reduced and employers will be asked to contribute towards the cost of their furloughed employees’ wages. To be eligible for the grant employers must continue to pay their furloughed employees 80% of their wages, up to a cap of £2,500 per month for the time they spend on furlough.
The table below shows the level of government contribution available in the coming months, the required employer contribution and the amount that the employee receives per month where the employee is furloughed 100% of the time.
Wage caps are proportional to the hours not worked.
You can continue to choose to top up your employees’ wages above the 80% total and £2,500 cap for the hours not worked at your own expense.
More information is available on the Gov. UK website: https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme