Furlough Scheme

QASSS welcomes the news that thousands more employees will able to receive support through the Coronavirus Job Retention Scheme (CJRS) after the eligibility date was extended to the 19th of March 2020.

Under the scheme announced by Chancellor Rishi Sunak last month, employers can claim a grant covering 80% of the wages for a furloughed employee, subject to a cap of £2,500 a month.

To qualify and to protect against fraudulent claims, individuals originally had to be employed on February 28th 2020.

But following a review of the delivery system and to ensure the scheme helps as many people as possible, new guidance published today has confirmed the eligibility date has been extended to March 19th – the day before the scheme was announced.

Employers can claim for furloughed employees that were employed and on their PAYE payroll on or before 19 March 2020. This means that the employee must have been notified to HMRC through an RTI submission notifying payment in respect of that employee on or before the 19th of March 2020.

This change makes the scheme more generous while keeping the substantial fraud risks under control and is expected to benefit over 200,000 employees.

HMRC has been working at pace to delivering the scheme, which is due to be fully operational next week.

For more business advice, take a look at our Coronavirus Business Round-Up covering:

  • Business Finance
    – VAT & Income Tax Payments Deferral
    – Business Interruption Loans
    – Job Retention Scheme
    – Statutory Sick Pay
    – Self-Employed Income Support Scheme
  • Business Interruption Insurance
  • Cyber Security
  • Support Services

 

 

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