- From August, small businesses will be expected to cover national insurance and pension contributions of workers on the Coranvirus Job Retention Scheme
- From September, businesses will have to cover 10 per cent of the wage costs of furloughed workers on top of NI and pension contributions
- From October, businesses will have to cover 20 per cent of furloughed workers wage costs plus NI and pension contributions
>See also: Small businesses will have to cover a quarter of cost of furlough
In the heavily trailed move, chancellor Sunak will allow furloughed workers to come back on July 1 and work part time. The Treasury will maintain the old 80 per cent scheme for those days when staff are back on furlough.
Self-employed scheme extended again
As before, a single grant – this time at a reduced level of £6,570 – will be paid to self-employed workers covering a three-month period. This is equivalent to 70 per cent of the previous level of payment at £7,500.
However, some companies have already warned that they will struggle to cover even the 20 per cent of furloughed workers’ wages, however. A quarter of company directors surveyed by the Institute of Directors say they won’t be able to afford to pay even the 20 per cent of the furlough scheme if asked – as well as having to pay national insurance and pensions, a combined 10 per cent, on top.
Self-employed Income Support Scheme what it means for you