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Extension to the Coronavirus Job Retention Scheme


    The Coronavirus Job Retention Scheme (CJRS) has provided financial support to millions of UK workers, with 7.5 million claims so far. On Tuesday (12th May) the Chancellor announced an extension to the scheme which will now remain open until the end of October, four months longer than previously expected.

    Summary of the Change

    • The CJRS has been given an extension and will continue until the end of October.
    • The scheme will allow for more flexibility as of August to help get workers back to work and boost the UK economy.
    • Those already furloughed will continue to receive 80% of their current salary, up to £2,500.

    Further Information

    The intention behind this extension is to support workers and employers enough so that they can return to work when it is safe to do so.  The chancellor has announced that as of the start of August, those furloughed will be able to phase back into work, part-time, with employers being asked to pay a percentage towards their salaries.

    The employer payments will substitute the contribution the government is currently making. This will ensure that employees continue to receive 80% of their salary, up to £2,500 a month. The idea is to avoid a “cliff edge” and get the millions of people who have been furloughed through the scheme back to work in a measured and manageable way.

    The scheme will continue as it has been until the end of July, at which point the changes will begin to allow more flexibility from the start of August. There will be more specific details about this released at the end of May. The extension will not change the fact that the scheme applies across all regions and sectors in the UK economy.

    We are more than happy to answer any questions you may have regarding the scheme and the changes made to it. If you are considering making use of the scheme please feel free to contact us.