Update – CJRS extended until end of March, job retention bonus halted and increased support to the self-employed

11th November 2020

The Government has extended its coronavirus job retention scheme (CJRS) until the end of March. This change of tack replaces the earlier decision of initially extending only until 2 December and will mean a whole year of furlough. The scheme update confirms the government’s pledge to pay 80% of the wages of furloughed staff up to a cap of £2,500 per month and employers paying only for employer National Insurance contributions (NICs) and pension payments for the hours not worked.

As a result of the extension of CJRS, the job retention bonus which was supposed to support employers who retained previously furloughed staff until January, has been halted with the promise that it would be released incrementally ‘at the appropriate time’.

There is also increased support do the self-employed, with the third self-employed income support scheme (SEISS) grant covering November to January calculated at 80% of average trading profits, up from 55%, to a maximum cap of £7,500.

The coronavirus job retention scheme extension will be reviewed in January to examine whether the economic circumstances are improving enough amid the COVID-19 pandemic.

For further detail read our updated Covid Guides here.