Chancellor extends furlough and loan schemes
Yesterday the government announced that the Chancellor Rishi Sunak will deliver his Budget for 2021 on 3 March and unveiled his plans to extend coronavirus business loan schemes to the end of March and furlough scheme until the end of April 2021 to support UK businesses as restrictions continue.
Through the extended furlough scheme, the government will continue to contribute 80% towards employee wages giving businesses and employees across the UK certainty into the New Year. Employers must still pay wages, NICS and pensions for hours worked and NICS and pensions for hours not worked and eligibility criteria will remain the same.
The Government-guaranteed COVID-19 business loan schemes will also be extended until the end of March 2021. This includes the Bounce Back Loan Scheme, Coronavirus Business Interruption Loan Scheme, and the Coronavirus Large Business Interruption Loan Scheme which had all been due to close in January.