Expansion of the Job Support Scheme
The Job Support Scheme will be expanded to protect jobs and support businesses required to close their doors as a result of Coronavirus restrictions.
Government will pay two thirds of employees’ salaries to protect jobs over the coming months.
Cash grants for businesses required to close in local lockdowns are also increased to up to £3,000 per month
Under the expansion, firms whose premises are legally required to shut for some period over winter as part of local or national restrictions will receive grants to pay the wages of staff who cannot work; protecting jobs and enabling businesses to reopen quickly once restrictions are lifted.
The Government will support eligible businesses by paying two thirds of each employees’ salary (or 67%), up to a maximum of £2,100 a month.
Under the scheme, employers will not be required to contribute towards wages and only asked to cover NICs and pension contributions; a very small proportion of overall employment costs.
Businesses will only be eligible to claim the grant while they are subject to restrictions and employees must be off work for a minimum of seven consecutive days.
The scheme will begin on 1 November and will be available for six months, with a review point in January. Payments to businesses will be made in arrears, via a HMRC claims service that will be available from early December. Employees of firms that have been legally closed in the period before 1 November are eligible for the CJRS.
These measures will sit alongside the original Job Support Scheme and the £1,000 Job Retention Bonus (JRB) which encourages employers to keep staff on payroll.