Latest: Chancellor has unveiled increased support for jobs and workers hit by Covid

Earlier today, the Chancellor announced big changes to the Job Support Scheme (JSS) – set to replace furlough in November. He told the Commons that even businesses not forced to shut were facing “profound economic uncertainty”. Under the revised scheme, employers will pay less and staff can work fewer hours before they qualify.

Businesses in tier two areas, particularly in the hospitality sector, had complained that they would be better off if they were under tier three restrictions. Businesses have argued that although they would be forced to close, they would benefit from greater government support.

The Chancellor has now changed the terms of the Job Support Scheme to reflect this.

Changes include:

  • The Job Support Scheme which replaces the furlough scheme at the end of the month is made more generous for businesses
  • Employees must work a minimum of 20% of hours to get help
  • Businesses will pay just 5% of wages for hours not worked – down from around 33%
  • Grants for self-employed people raised up to £3,750
  • New grants for businesses in high-alert areas in Tier 2 and 3

 

Grants for self-employed workers will also double to cover 40% of previous earnings, up to £3,750, and new grants for businesses in high alert areas.

For full details, see the government website.

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