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Expansion of the Job Support Scheme

Expansion of the Job Support Scheme

By Ben Smith - 9 October 2020

Today Chancellor Rishi Sunak announced an expansion of the Job Support Scheme to include support for employees who work for UK firms which are required to close premises by law due to COVID-19 restrictions this winter. Under this new version of the Job Support Scheme, the government will reimburse eligible employers for two thirds of wage costs (or 67%), up to a maximum of £2,100 per employee each month. Its format is similar to the original Coronavirus Job Retention Scheme (commonly referred to as the furlough scheme) which is due to come to an end on 31 October.

Employers will not be required to contribute towards wage costs but will have to pay employer National Insurance Contributions and mandatory minimum employer pensions contributions. The Job Support Scheme will begin on 1 November and will be available for six months. Further detailed guidance on eligibility and how to claim is expected in the coming weeks.

For details on the Job Support Scheme click here.