Job Retention Scheme Extended
The government have announced today that the Coronavirus Job Retention Scheme will be extended until October 31st 2020 with further changes and flexibility commencing in August.
- Workers who have been furloughed will continue to receive 80% of their current salary, up to £2,500
- From the start of August, furloughed employees will be able to return to work part-time and their employers will pay a percentage towards their salary
Chancellor Rishi Sunak said; “Our Coronavirus Job Retention Scheme has protected millions of jobs and businesses across the UK during the outbreak – and I’ve been clear that I want to avoid a cliff edge and get people back to work in a measured way.
This extension and the changes we are making to the scheme will give flexibility to businesses while protecting the livelihoods of the British people and our future economic prospects.”
The government have also released new statistics to show how they have supported businesses through loans and cash flow guarantees.
The £14 billion contribution includes 268,000 Bounce Back Loans worth £8.3 billion plus 36,000 loans worth over £6 billion and £359 million through the Coronavirus Business, and Large Business, Interruption Loan Schemes respectively. According to the statistics, the job retention scheme has also protected 7.5 million workers and almost 1 million businesses.
The guidance goes on to say that the extended scheme "will continue to apply across all regions and sectors in the UK economy" and part of the next stage in the government’s pandemic response plan.
For more information you can read the government’s press release here.