COVID-19 Business Updates to 30 May 2020

Coronavirus Job Retention Scheme (CJRS)

Extension details released

A few weeks ago the Chancellor announced that the furlough scheme payments would be extended until 31 October, but with the employer being required to fund gradually increasing percentages of these payments, between 1 August and 31 October.

We’ve been waiting for confirmation of the precise details of the extension rules, which came at the weekend.

However, to our surprise, this gradual withdrawal of the scheme will be more gradual than we were originally lead to believe.

From 1 August employers must pay the employers NI and pension contributions, currently being covered by the government.
From 1 September employers must also pay 10% of the furloughed employees salary, plus the NI and pension costs and then from 1 October this will rise to a 20% salary payment, plus the NI and pension costs.

There are also rules around bringing employees back part time whilst being able to furlough them for the remainder of their normal working hours.

As there are quite detailed guidance of the new rules we have put together a fact sheet to provide you with further details.

Job Retention Scheme Factsheet

Self Employed Income Support Scheme

The government this weekend also confirmed that they will be extending the self employed income support scheme.

This will be extended for another 3 months and will be based on the same average profit calculation as the previous claim, but payments will be lowered to 70% of this calculation and limited to a total of £6,570 for the 3 months.

Applications for the second grant claim will open in August, with information available on gov.uk from 12 June.

If you haven’t already made your claim for the first 3 month grant then applications for this will close on 13 July.

For further details we have put together a factsheet here

Local Authority Discretionary Business Grant

Earlier last month we announced a new discretionary grant for businesses with ongoing, fixed building-related costs, that were not eligible for the original small business rates cash grant etc

Fylde Council have now announced that these businesses can check whether they are eligible and apply via their website.

Check and apply here

Applications will close at 5pm on Monday 8th June, 2020.