HM Insights

Coronavirus Job Retention Scheme extended until April 2021

Correct as of 18 December 2020

We have provided various updates on the Coronavirus Job Retention Scheme (the Scheme) including when the scheme was first announced, when further guidance was issued on 26 March 2020on 6 April 2020, on 8 April 2020 as further details were announcedon 9 April 2020on 15 April 2020 as the scheme expanded in scope when the scheme went live on 20 April 2020when the scheme was extended until the end of October, when the Treasury Directions were updatedon 29 May 2020 when changes to the scheme were announced, when further details of the Flexible Furlough scheme were announced, when Flexible Furlough Scheme went livewhen the Scheme was extended beyond October 31st,  when the extension was announced up to March 2021 and when further amendments to the guidance were made

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The UK Government has now extended the Scheme for a further month, until the end of April 2021. The guidance published in relation to the Scheme has also removed reference to the previously announced review of the Scheme in January 2021. It was envisaged that this review may introduce contributions from employers, likely similar to those during summer, when employers contributed up to 20% of the payments to employees. However, given the continuing stringent controls on businesses as a result of the pandemic and with limited likelihood of any respite from these early next year, it would seem that this review has been abandoned. This, combined with the month's extension, may give employers some cause for cheer in these difficult times.

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