Category: Coronavirus

The economic support schemes available during the second lockdown

By Wendy McNulty

04 Nov 2020

The UK will be heading into a second lockdown on Thursday 5 November until Wednesday 2 December. To support businesses during this period, changes have been made to the government support schemes.


Furlough scheme extended

The Coronavirus Job Retention Scheme (CJRS) has been extend until the end of March 2021. Employees will receive 80% of their current salary for hours not worked, up to a maximum of £2,500. Employees must have been on the payroll on 30 October 2020, but they do not need to have been furloughed before.

Under the extended scheme, employers will only need to pay pension and national insurance contributions. 

The flexibility of the furlough scheme will also remain, with employers still being able to bring back employees part-time and claiming the grant for the hours not worked by their employees. 

Claims for the extended scheme can be made now. Read more about how to claim here.

Job Support Scheme

The scheme has been postponed until the extension of the furlough scheme ends.

Self-Employment Income Support Scheme (SEISS)

The government has increased the third instalment of the SEISS, which will allow those eligible to claim 80% of their average monthly profits for November to January. The maximum grant will be capped at £7,500. The grants will also be paid faster, with the claims window opening at the end of November.

Loan schemes and The Future Fund

Deadlines for applications for loan schemes and the Future Fund have been extended until 31 January 2021.

Business grants

Businesses required to close will be eligible for the following:

  • For properties with a rateable value of £15k or under, grants to be £1,334 per month, or £667 per two weeks;
  • For properties with a rateable value of between £15k-£51k grants to be £2,000 per month, or £1,000 per two weeks;
  • For properties with a rateable value of £51k or over grants to be £3,000 per month, or £1,500 per two weeks.

Mortgage payment holidays

These will remain available. Borrowers impacted by the coronavirus and who have not had a mortgage holiday will be entitled to a six month holiday. Those that have already started a mortgage holiday will be able to top up to six months.

Read further information here, or contact one of our relationship partners for further advice.

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