Job Support Scheme Expanded

The government’s Job Support Scheme (JSS) will be expanded to protect jobs and support businesses required to close their doors as a result of coronavirus restrictions

The Chancellor has announced that the Job Support Scheme will be expanded to offer support to businesses across the UK that have been required to close due to coronavirus restrictions. The government will pay two thirds of employees’ salaries over the coming months to protect jobs. Cash grants for businesses required to close in local lockdown areas has also been raised to £3,000 per month.

Under the expansion, firms whose premises are legally required to shut for some period over winter as part of local or national restrictions will receive grants to pay the wages of staff who cannot work. This is to protect jobs and enable businesses to reopen quickly once restrictions are lifted.

The government will support eligible businesses by paying two thirds of each employees’ salary (or 67%), up to a maximum of £2,100 a month.

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.

Rishi Sunak, Chancellor of the Exchequer

The scheme will begin on 1 November and will be available for six months, with a review point in January. In line with the rest of the JSS, payments to businesses will be made in arrears. This will be via a HMRC claims service that will be available from early December. Employees of firms that have been legally closed in the period before 1 November are eligible for the CJRS.

The scheme is UK wide and the UK Government will work with the devolved administrations to ensure the scheme operates effectively across all four nations.

This comes alongside intensive engagement with local leaders today on potential measures are coming in their areas.

In addition to expansion of the JSS, the government is increasing the cash grants to businesses in England shut in local lockdowns to support with fixed costs. These grants will be linked to rateable values. Up to £3,000 per month payable every two weeks, compared to the up to £1,500 every three weeks which was available previously. This could benefit hundreds of thousands of businesses, including restaurants, pubs, nightclubs, bowling alleys and many more.

Read more on the Job Support Scheme here or contact AJR & Co Ltd for further advice.

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