The Chancellor has announced the CJRS has been extended until the end of April 2021 with the government continuing to contribute 80% towards wages – giving businesses and employees across the UK certainty into the New Year, the Chancellor has announced today.
These changes come ahead of the Budget, which the Chancellor has confirmed will take place on 3 March 2021.
The government has already announced that more support will be available beyond March, through a successor loan scheme. More details of the scheme will be announced in due course, with the government providing a further update on wider Covid-19 economic support at the Budget on 3 March.
The furlough and loan schemes are part of the government’s wider plan to support, create and protect jobs through its Plan for Jobs. This includes the Kickstart Scheme, more investment in training and skills as well as the Self Employment Income Support Scheme grant, with a fourth grant being made available from February to April 2021.
- extending the CJRS until the end of April gives businesses certainty well ahead of the 45 day redundancy notice period, with Budget setting out the next phase of support more than 45 days before the new end date of the scheme.