skip to navigationskip to main content

Changes to furlough scheme from 1 July 2021

The Coronavirus Job Retention Scheme (CJRS) commonly known as the furlough scheme is open to all UK employers to access support to continue paying part of their employees’ salary for employees that would otherwise have been laid off during this crisis.

The end date for CJRS has been extended multiple times since the scheme was launched and in the Spring Budget 2021, the Chancellor announced a final extension until 30 September 2021. Employees can receive up to 80% of their salary for hours not worked subject to a monthly maximum of £2,500 until the scheme ends.

Since 1 July 2021, employer contributions towards the cost of unworked hours have been put in place. Employers are required to contribute 10% towards wages for hours not worked during July rising to 20% in August and September 2021.

This means that since 1 July 2021, government support has been lowered to 70% of wages up to a reduced £2,187.50 cap. Employers will pay employers’ NIC, pension costs plus 10% of wages for hours not worked (up to £312.50) to a total cap of £2,500 for hours not worked.

From 1 August until 30 September 2021, government support will be lowered further to 60% of wages up to a reduced £1,875 cap and employers paying 20% of wages for hours not worked up to £625.

Working with you

Whether you're starting from scratch or have been in business for years you'll benefit from working with D.R.E. & Co. advice on how to take you to the next level.

fixed-quote-man.jpg

About us

We work closely with our clients and act for a broad range of business....

business-advice-couple.jpg

Get in touch

Simple way to contact us. Just fill in a simple form.

free-consultation-couple.jpg

Our services

Find out details about what we can do
for you.