Extension of Furlough Scheme – The Latest Position November 2020
On 5 November, the chancellor, Rishi Sunak, announced that the Coronavirus
Job Retention (furlough) Scheme has been extended until the end of March
2021. For claim periods up to January 2021, employees will receive 80% of
their usual salary for hours not worked, up to a maximum of £2,500 per
month. This percentage may be reviewed for February and March 2021.
Employers will only have to cover national insurance and pension
contributions for employees who have been furloughed under the extended
Coronavirus Job Retention Scheme.
Flexible furloughing wlll be allowed, in addition to full-time furloughing.
Employers will need to report and claim for a minimum of 7 calendar days.
The planned Job Support Scheme and the £1,000 Job Retention Bonus have been
put on hold for the time being. Sunak advised that a new "retention
incentive" would be deployed at an "appropriate time".
In respect of the self-employed, the employment support scheme for the
self-employed has been increased and will be worth 80% of average trading
profits, instead of 55%, up to £7,500.
Simply-docs will be updating its furlough scheme guidance and documentation
over the upcoming weeks.