Government Announce Coronavirus Job Retention Scheme

The Government have announced a new Coronavirus Job Retention Scheme which will provide Government grants to cover 80% of the salary of retained workers up to a total of £2,500 a month.

The scheme is open to any employer in the country and will be backdated to 1 March. There is no limit on the funding for the scheme, as its aim is to support as many jobs as needed.

In addition, it was announced that:

  • the Coronavirus Business Interruption Loan Scheme will now be interest free for 12 months
  • Business VAT payments will be deferred until the end of June
  • Universal Credit Standard Allowance is increased by £1000 a year for the next 12 months
  • Working Tax Credit basic element has been increased by the same amount
  • The minimum income floor has been suspended, meaning self employed people can access Universal Credit at a rate equivalent to Statutory Sick Pay
  • The next self assessment tax payments will be deferred until January 2021
  • £1 billion support for renters will be provided  by increasing housing benefit and Universal Credit, so the Local Housing Allowance will cover at least 30% of market rents

Further details will be provided here shortly.