Covid-19

Chancellor Rishi Sunak has announced changes to the government’s Job Retention Scheme (JRS), which will be slowly wound down over the next few months. The changes mean businesses will be able to bring furloughed employees back on a part-time basis from 1 July. Furloughed staff will continue to get 80% of their salary throughout until the scheme finishes at the end of October. However, employers will be expected to gradually contribute more towards furloughed employees’ salaries. In August, the taxpayer…

The government’s decision to extend COVID-19 support for self-employed workers has met with a cautious welcome from the Association of Independent Professionals and the Self-Employed (IPSE). Chancellor Rishi Sunak has announced that the Self-Employment Income Support Scheme (SEISS) will run again in August. In August, those eligible under the SEISS will be able to claim a second and final grant. The grant will be worth 70% of their average monthly trading profits, paid out in a single instalment covering three…

Research carried out by insurer Canada Life has revealed that 5.2 million people in the UK have fallen victim to scams during the coronavirus (COVID-19) pandemic. Canada Life’s research showed that the most common financial scams are banking scams, followed by insurance scams and pensions scams. Victims lost an average of £566 per scam, the research found. 48% of people surveyed said that the scams are so convincing they are difficult to spot. 55% stated that falling victim to a…

On 26 May, HMRC opened up its Statutory Sick Pay (SSP) rebate claim service. Eligible employers are able to recoup up to two weeks’ worth of SSP payments made to employees off work for coronavirus (COVID-19)-related reasons since 13 March 2020 (16 March 2020 if the employee was shielding). This is an ongoing scheme for which an end date has not yet been announced. The scheme is potentially worth up to £191.70 per employee that an employer has made SSP…

The government recently published revised legislation on the Coronavirus Job Retention Scheme (CJRS). On 22 May, Chancellor Rishi Sunak altered CJRS legislation to reflect the extension of the scheme. On 12 May, the Chancellor announced an extension to the CJRS until the end of October and confirmed that employees will continue to receive 80% of their monthly wages, up to £2,500. However, Mr Sunak said companies will need to start sharing the cost of the scheme from August. The changes…

A survey carried out by the British Chambers of Commerce (BCC) has suggested that one in ten UK businesses feel they cannot implement government coronavirus (COVID-19) guidance safely. Results from the BCC’s latest Coronavirus Business Impact Tracker revealed that 83% of businesses polled know some or a lot of details about government guidance on working safely. 37% of firms said that they can implement the guidance and restart business operations, whilst 45% stated that they can partially restart. 85% of…

The government is being urged to extend its coronavirus (COVID-19) Self-employment Income Support Scheme (SEISS) for as long as self-employed individuals require it. The Association of Independent Professionals and the Self-Employed (IPSE) said that the difference between the SEISS and the Coronavirus Job Retention Scheme (CJRS) for employees is a ‘glaring injustice’. It warned that the self-employed could be forced to work in unsafe conditions. Chancellor Rishi Sunak recently extended the CJRS until the end of October. However, the SEISS…

The government has launched its Future Fund package, which aims to support start-up businesses not eligible for other coronavirus (COVID-19) rescue measures. The Future Fund offers government loans of between £125,000 and £5 million to UK-incorporated companies, provided private investors at least match the funding supplied by the state. The package is aimed at innovative early stage companies not eligible for existing COVID-19 support, and overall the fund will match up to £250 million of private investment. Chancellor Rishi Sunak…

The government is set to launch an online service to allow employers to recover the Statutory Sick Pay (SSP) payments they have made to their employees during the coronavirus (COVID-19) pandemic. The Coronavirus Statutory Sick Pay Rebate Scheme, which was announced at the 2020 Budget as part of a package of support measures for businesses affected by the COVID-19 outbreak, will launch on 26 May. It will allow small and medium-sized employers to apply to HMRC to recover the costs…

The government is extending the maximum loan size available through the Coronavirus Large Business Interruption Loan Scheme (CLBILS) from £50 million to £200 million. The loans will be made available to large businesses affected by the coronavirus (COVID-19) from 26 May. However, companies borrowing more than £50 million through the CLBILS will be subject to restrictions on dividend payments, senior pay and share buy-backs during the period of the loan. This will include a ban on dividend payments and cash bonuses, except…