Emergency grant to cover wages and what this means for your business

The government has announced an emergency grant to pay employee wages. The grant is called the Coronavirus Job Retention Scheme, and it covers:

  • 80% of wages for any staff you retain but who can’t work because of COVID-19.
  • A maximum of £2,500 per employee, per month.
  • As much as three months, until otherwise advised.

You may have heard the term ‘Furlough’ used in yesterday’s speech and although details are yet to be confirmed, we believe this to be akin to lay-off, but paid, while retaining all employment rights.

The government have promised that, “Any employer in the country – small or large, charitable or non-profit – will be eligible for the scheme.” And, in addition to this;

  • You will pay no VAT until June 2020 at the earliest.

This financial grant from the government means that both the short and long-term stability of your business are secure.

The government is poised to reveal how to claim the grant, so we will continue to keep you updated and guide your business through this crisis.