As the second wave of COVID-19 strikes United Kingdom, and the infection rates rise and restrictions has increased across the nation, the UK Chancellor Rishi Sunak has announced an extension of the Job Support Scheme (again).• Employees must work at least 20% of their usual hours every month (previously it was 33%) and the employer’s contribution for non-worked hours is 5% (previously it was 33%), capped at £125 every month.
• According to the new announcements, the government will pay 61.67% of hours not worked, up to a cap of £1,541.75 every month (for businesses in tier 3 that are forced to shut, the government will pay 67%) so that employees can earn minimum of 73% of their usual salary (based on the cap of a monthly reference salary of £3,125).
• The government is providing support to the self-employed that has been increased with the taxable grants now covering 40% of average monthly trading profits over a 3 months period (previously it was 20%) with a maximum grant of £3,750.
• Additional grant is being announced for the Local Authorities to support businesses in tier 2 areas which are badly affected (but are not legally bound to close) by the restrictions on household mixing. The level of grants received by the Local Authorities will be subject to the number of hospitality businesses, B&B, leisure businesses and hotels in their area. It is supposed that these types of businesses get grants equal to 70% of the grants that tier 3 businesses needed to close are entitled.