Coronavirus (COVID-19): support for businesses. Read more

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COVID-19: Coronavirus Job Retention Scheme

Many businesses find themselves struggling after the COVID-19 outbreak.
Do you experience similar problems?
These articles will summarise the measures the UK Government has taken to support businesses.

 

Coronavirus Job Retention Scheme

Under the Coronavirus Job Retention Scheme, all UK employers will be able to access support to continue paying part of their employees’ salary for those employees that would otherwise have been laid off during this crisis.

 

How does it help?

HMRC will reimburse 80% of ‘furloughed workers’ wages, up to a cap of £2,500 per month. The scheme is initially launched for 3 months, but might be extended if it’s required. The claim can be backdated to 1 March 2020.

 

Who classifies as ‘furloughed worker’?

HMRC has not published a clear definition yet. It is a measure to avoid redundancies, so it will apply to all employees, who will be asked to stay at home.
The furloughed worker should not undertake any work for an employer for the duration of the scheme.

 

Can I change my employee salary to £2,500 a month?

The employer can choose to fund the difference between this payment and a full salary but is not required to do so.

 

Who will be eligible?

All UK businesses are eligible.

 

How to apply?

Information about the selected employees will have to be submitted to HMRC via a new online portal. The portal is not set up yet – once it is available HMRC will publish more information.