The Coronavirus Job Retention scheme has been launched to support businesses who cannot maintain their current workforce because their operations have been severely affected by coronavirus. The scheme permits businesses to furlough employees and apply for a grant that covers 80% of their usual monthly wage costs, up to £2,500 a month.
On Monday 20th April 2020 the Job Retention Scheme online claim service will be launched.
The following information is direct from HMRC and will outline how and when to access the system, but first some important information relating to changes to employee eligibility.
Important changes have been made to the scheme relating to employee eligibility:
- you can claim for employees that were employed as of 19 March 2020 and were on your PAYE payroll on or before that date; this means that you will have made an RTI submission notifying us of payment of that employee on or before 19 March 2020
- employees that were employed as of 28 February 2020 and on payroll (i.e. notified to us on an RTI submission on or before 28 February) and were made redundant or stopped working for you after that, and prior to 19 March 2020, can also qualify for the scheme if you re-employ them and put them on furlough.
How businesses can claim furlough
Important information to note:
- the system launches on Monday 20th April 2020
- the only way to make a claim is online
- you can make the claim yourself even if you usually use an agent
- claims will be paid within 6 working days;
- HMRC cannot answer any queries from your employees – they will need to raise these with you, as their employer, directly.
Information you will need before you make a claim
- a Government Gateway (GG) ID and password – if you don’t already have a Government Gateway account, visit the government website and search for ‘HMRC services: sign in or register’
- be enrolled for PAYE online – if you aren’t registered yet you can do so or by visiting the government website and searching for ‘PAYE Online for employers’
- the following information for each furloughed employee you will be claiming for:
- National Insurance number.
- Claim period and claim amount.
- PAYE/employee number (optional).
- if you have fewer than 100 furloughed staff – you will need to input information directly into the system for each employee
- if you have 100 or more furloughed staff – you will need to upload a file with information for each employee; we will accept the following file types: .xls .xlsx .csv .ods.
If you want an agent to act for you
- agents authorised to act for you on PAYE matters can make the claim on your behalf using their ID and password
- you will need to tell your agent which UK bank account you want the grant to be paid into, in order to ensure funds are paid as quickly as possible to you.
You should retain all records and calculations in respect of your claims.
Guidance on GOV.UK is being regularly updated so please review it frequently.