• Date

    02 Nov 2020
  • Category


Job Retention Scheme - From 1 November 2020

On 31 October 2020, the Prime Minister announced a second lockdown for England. To support businesses through this, he confirmed that the Job Retention Scheme (CJRS or the furlough scheme) which was due to end on 31 October will now continue for a further month through to December. In summary;

  • The scheme extension will revert back to the support levels which applied in August, so the Government will pay 80% of employees’ unworked hours up to a cap of £2,500 per month. Employers are required to fund the employers NIC and pension contributions.
  • Interestingly, there is no requirement for employers and employees to have previously used the scheme to claim for periods from 1 November.
  • Employers with a UK bank account and UK PAYE will be eligible, and employees must have been on their employer’s payroll scheme by 30 October.
  • Employees can be fully furloughed and/or flexibly furloughed.
  • Employers are permitted to top-up employee wages if they wish.

The implementation of the Job Support Scheme will therefore be deferred until the end of the furlough scheme.

We are expecting the way in which reference pay and usual hours are calculated will follow the same method as before. However, the nature of this immediate announcement means the finer detailed guidance is yet to be released, and we will of course provide further updates as soon as we can.

In addition, a Local Restrictions Support Grant of £3,000 will be given to businesses where their premises are forced to close in England.


We are here to help

We are of course here to help and we will provide further updates as and when more information is published. If you would like to discuss the support available, or have any other queries, please get in touch with your usual Azets contact.


You might also be interested in