Additional Support for Self Employed and a Further Update on Flexible Furlough
Posted on 1st June 2020 at 16:27
Self-Employment Income Support Scheme (SEISS)
On Friday 29th May, the Chancellor announced that the SEISS Scheme will be extended with a second and final payment for the self employed who have been adversely affected by the Coronavirus. Those eligible will be able to claim a second grant worth 70% of their average monthly trading profits. This grant will again be paid out in a single instalment covering 3 months’ worth of profits and capped at £6570. Claims will be able to be made in August.
Individuals are still able to apply for the first grant until 13th July. For both grants the eligibility is the same and individuals will need to confirm that their business has been adversely affected. You are still able to apply for the second grant if you have not applied for the first grant, as your business may not have been adversely affected during the first phase.
Further details will be published on Friday 12th June.
Coronavirus Job Retention Scheme (CJRS)
From 1st July businesses will be able to bring furloughed employees back on a part time basis. It will be up to the employer, what hours and shift patterns that their employees return part time. The employer will also be responsible for paying the employee for the hours that that work.
From August 2020, the CJRS will start to be tapered to reflect that employees are returning to work.
In June and July the Government will continue to pay 80% of wages up to £2500 as well as ER NICs and pension contributions.
In August, the Government will pay 80% of wages up to £2500 and employers will pay the ER NICs and pension contributions.
In September, the Government will pay 70% of wages up to £2187.50. Employers will pay the ER NICs and pension contributions and 10% of wages to make up to 80% total up to a cap of £2500
In October, the government will pay 60% of wages up to a cap of £1,875. Employers will pay ER NICs and pension contributions and 20% of wages to make up 80% total up to a cap of £2,500.
The scheme will close to new entrants on 30th June
For more information on this update, please click here
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