Chancellor Rishi Sunak has announced a further extension to the Coronavirus Job Retention Scheme (CJRS).
The CJRS was due to be replaced back in November by a new Job Support Scheme, but with extended measures being taken by the government in response to increasing COVID-19 cases, the 'furlough' scheme has been extended until the end of April 2021.
With several more areas across the UK being placed under Tier 3 measures, and many businesses in the hospitality and leisure industry being asked to close or restrict their services, the government's aim is to try and protect as many jobs as possible during this period. This further development according to Sunak will provide "certainty for millions of jobs and businesses."
The CJRS therefore will continue to help subsidise wages - with those furloughed receiving 80% of their wage, up to a maximum of £2,500 a month. Employers will now only have to cover pension and national insurance contributions for this time.
In a statement the Chancellor confirms the next UK Budget will take place on the 3rd March 2021 and explains: "We know the premium businesses place on certainty, so it is right that we enable businesses to plan ahead regardless of the path the virus takes, which is why we're providing certainty and clarity by extending this support, as well as implementing our Plan for Jobs."
The eligibility criteria for the UK-wide scheme will remain unchanged and these changes will continue to apply to all Devolved Administrations.
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