Key CJRS dates to bear in mind
As part of changes to the Coronavirus Job Retention Scheme (CJRS), we have outlined important dates that may impact employers in the coming weeks.
Important dates – what you need to know now
- The scheme will close to employees who have not been furloughed for three weeks by 30 June, so you will only be able to claim for employees after that if they have been furloughed for a full three-week period at any time before the end of June.
- So, if you intend to furlough an employee who hasn’t been furloughed before, you will need to agree that with them and start their period of furlough on or before Wednesday June 10 – this is the last day on which someone who has never been furloughed before can start a period of furlough and qualify for the scheme. This is ensures the minimum three-week period is complete by June 30.
- You will then have until July 31 to make a claim for any periods of furlough up until June 30 – this applies to both employees furloughed for the first time and those you have previously furloughed and claimed for.
The future of the scheme
- The rules of the scheme are changing from July 1
- On June 12, HMRC will publish further guidance on all the scheme changes on GOV.UK – search for ‘Coronavirus Job Retention Scheme’ to find this – webinars offering more support on the changes will also be available to book online
- From July 1, you will have the flexibility to bring previously furloughed employees back to work part time, you can decide the hours and shift patterns they work to suit the needs of your business – you will pay their wages for the time they are in work and can apply for a scheme grant for 80% of their salary capped at £2,500 per month pro rata to cover their normal hours that they are still furloughed for.
- Also, from July 1, the maximum number of employees included in a claim cannot be higher than the highest number you have claimed for under the current scheme. For example, if your highest single claim up to June 30 was for 100 people, you cannot claim for more than this number after July 1.
- From August 1, 2020, employers will no longer be able to claim the grant in respect of any employers’ NIC and pension contributions
- From September 1, 2020, the grant will fall to cover 70% of wages while employers will take on the other 10%
- From October 1, 2020, the grant will fall to cover 60% of wages while employers will take on the other 20%.
Making changes to your claims if you have over-claimed
If you have made an error in a CJRS claim that means you received too much money, you must pay this back to HMRC.
The application system has been updated so you can tell HMRC if you have over-claimed in a previous claim – when you apply you will be asked if you need to reduce the amount to take account of a previous error. Your new claim amount will be reduced to reflect this. You should then keep a record of this adjustment for six years.
If you have made an error in a CJRS claim and do not plan to submit further claims, HMRC has said it is working on a process that will allow you to let them know about your error and pay back any amounts you have over-claimed.
Protect yourself from scams
You need to stay vigilant about scams, which may mimic government messages as a way of appearing authentic and unthreatening. Search ‘scams’ on GOV.UK for information on how to recognise genuine HMRC contact. You can also forward suspicious emails claiming to be from HMRC to phishing@hmrc.gov.uk and texts to 60599.
