Chancellor announces further business financial support
23 October 2020
Chancellor Rishi Sunak has announced substantial additions to the Winter Support package, with increased support to businesses through the forthcoming Job Support and Self-employed Schemes.
The Job Support Scheme (JSS)
When originally announced, the JSS – which will come into effect on 1 November – required employees to work at least 33% of their normal hours and employers to pay a third of wages for hours not worked. Yesterday’s announcement reduces the minimum hours requirements to 20%, so those working only one day a week will become eligible. It also reduces the employer contribution for unworked hours to just 5%.
Note: separately from the JSS, employers are still eligible to claim a £1,000 Job Retention Bonus for all previously furloughed employees who are still employed at the end of January 2021.
For more information visit the Government’s summary webpage or go to the Job Support Scheme Open Factsheet.
Self-employed grant (SEISS)
SEISS will also be amended so that the amount of profits covered by the two forthcoming self-employed grants will rise from 20 to 40 per cent (e.g. the maximum grant will increase from £1,875 to £3,750).
For more information on SEISS visit the Commercial section of the ECA Business Recovery page or see SEISS on the HMRC website.