Further extension to the furlough scheme

The Chancellor has announced the extension of the CJRS by four months to the end of October. Furloughed workers will continue to receive 80% of their current salary, up to current maximum of £2,500.

From the start of August, furloughed workers will be able to return to work part-time, with employers being asked to pay a percentage towards the salaries of their furloughed staff.

Also from the start of August, employers will have to start meeting part of the cost of the scheme.

More details and information around the implementation of the August changes will be made available by the end of May.

The CJRS has been a greater success than the government anticipated. According to HM Treasury, as at close of business on 11 May:

  • 5 million employees had been furloughed;
  • Claims had been made by 935,000 employers; and
  • The total claimed amounted to £10.1 billion.