Lucy Allan MP today welcomed the Chancellor's announcement that the furlough scheme will be extended for a further 5 months, until March 2021.
Employees will continue to receive 80% of their current salary for hours not worked. There are currently no employer contributions required to wages these hours, and employers will instead only be asked to cover National Insurance and employer pension contributions for hours not worked.
Additionally, millions of self-employed workers will now be able to see their support through the Self Employed Income Support Scheme (SEISS) increased, with the third grant to cover the period November-January. The grant will be calculated at 80% (rather than the previous 55%) of average trading profits, up to a maximum of £7,500.
Furthermore, the Government has announced:
- cash grants of up to £3,000 per month for businesses which are closed worth more than £1 billion every month.
- £1.1 billion is being given to Local Authorities, distributed on the basis of £20 per head, for one-off payments to enable them to support businesses more broadly.
- plans to extend existing government-backed loan schemes and the Future Fund to the end of January, and an ability to top-up Bounce Back Loans.
- an extension to the mortgage payment holiday for homeowners.
- up to £500 million of funding for councils to support the local public health response.
You can read more about financial support you or your employees may be entitled to here.
Lucy Allan MP said:
"I am very pleased to see that the Government continues to deliver on its promise to my constituents that it would stand by them at every step of this crisis. The economic effects of the pandemic have been far reaching and deeply troubling for many businesses and their employees.
I welcome the Chancellor's statement today which goes further yet again and gives the residents of Telford greater security as we enter the winter months."