What financial help is available as we enter another lockdown?

Gareth BuckleyBlog

Coronavirus job retention scheme extension (furlough)
  • The furlough scheme that was due to end of the 31st of October but has now been extended to cover the new lockdown. Those who are eligible will receive 80% of the usual salary up to £2,500 per month. The employer will have to cover NI and pension contributions.
  • The scheme must be claimed by employers for its employees. Employers can ‘top up’ employees wages by paying the 20% difference.
  • Find more information on the Government website here!
Job Support Scheme
  • Before the new lockdown, the Job Support Scheme was set to begin on the 1st November but this is now set to take place after lockdown.
  • Under this scheme employees who work 23% of their normal hours will receive at least 73% of their usual pay
  • Employers are required to pay 5% of unworked hours to top up wages
Coronavirus loans extended
  • Bounce Back Loan Scheme (BBLS), Coronavirus Business Interruption Loan Scheme (CBILS) and Coronavirus Large Business Interruption Loan Scheme (CLBILS) will now be open until 31 January.
  • Businesses who have not borrowed their maximum amount, less than 25% of their turnover, can benefit from further loans starting next week.
  • Find out more information on the Government website here!
Grants for closed businesses
  • The Treasury announced grants worth up to £3,000 per month would be available for businesses that were forced to close their premises.
  • Local authorities have also been given 1.1 billion for on-off payments to support businesses.
  • Some of this funding has already started being given out when local areas were placed in Tier 3.
  • Find more information on the Government website here!
Self-employed coronavirus grant
  • The existing Self-employed Income Support Scheme (SIESS) allowed eligible workers to claim 40% of their average earnings from the last year to cover a period of 3 months. This was capped at £3,750.
  • The new enhanced SEISS grant announced on 2nd November will allow self-employed workers to claim up to 80% of average monthly profits for November
  • There is a maximum cap of £5,160.
  • No deadline has been announced yet.
  • It is thought there will be a fourth grant that will cover a percentage of average income that will cover February to April 2021 but there is limited information on this currently.
  • This new enhanced scheme will still leave approximately 2.9 million freelancers, contractors and newly self-employed people with no support.
  • Find more information on the Government website here!