The UK Government has announced extra support to businesses based in all UK areas with local lockdowns that must close to combat a rise in coronavirus infection cases. Businesses will be offered two-thirds of workers’ wages in the form of a grant from 1 November for six months, with a review in January. With the Coronavirus Job Retention Scheme due to close at the end of October, the new scheme effectively replaces this with some key differences.
The new plan is for the Government to support eligible businesses by paying two thirds of each employees’ salary, up to a maximum of £2,100 a month. This is a higher rate than is currently offered via the furlough scheme. The Chancellor has confirmed that business will only be eligible to claim the grant while they are subject to restrictions and employees must be off work for a minimum of seven consecutive days.
Further details will be announced in due course.