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Government expands Job Support Scheme

By Rachel LawlerRishi Sunak

The Chancellor has announced an expansion to the Job Support Scheme that will pay up to two-thirds of staff wages for businesses forced to close by coronavirus restrictions.

The scheme will cover up to £2,100 a month in wages, with employers expected to cover national insurance and pension contributions.

This is an expanded version of the Job Support Scheme, which is open to all businesses – not just those forced to close by coronavirus restrictions.

The scheme will open on 1 November 2020 and will remain open for six months, although it will be reviewed in January 2021.

Employees will need to be furloughed for a minimum of seven consecutive days to access the scheme. Employers will be paid monthly in arrears.

The Chancellor also announced the start of a new policy offering businesses closed by coronavirus restrictions cash grants of up to £3,000 a month, depending on the rateable value of their premises. These grants will not need to be repaid.

Chancellor Rishi Sunak commented: “Throughout the crisis the driving force of our economic policy has not changed. I have always said that we will do whatever is necessary to protect jobs and livelihoods as the situation evolves.

“The expansion of the Job Support Scheme will provide a safety net for businesses across the UK who are required to temporarily close their doors, giving them the right support at the right time.”

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