The Government's 'Winter Economic Plan' - the Job Support Scheme, support for self employed, tax cuts and deferrals.

Find out more about the 'Job Support Scheme, 'Self-Employment Income Support Scheme and tax cuts and deferrals. Alloutlined by the Chancellor of the Exchequer, Rishi Sunak in the 'Winter Economy Plan' on the 24th September.

Headline Information - The Job Support Scheme is designed to protect viable jobs in businesses who are facing lower demand over the winter months due to Covid-19, to help keep their employees attached to the workforce. The scheme will open on 1 November 2020 and run for 6 months.

The company will continue to pay its employee for time worked, but the cost of hours not worked will be split between the employer, the Government (through wage support) and the employee (through a wage reduction), and the employee will keep their job.

The Government will pay a third of hours not worked up to a cap, with the employer also contributing a third. This will ensure employees earn a minimum of 77% of their normal wages, where the Government contribution has not been capped.

Employers using the Job Support Scheme will also be able to claim the Job Retention Bonus if they meet the eligibility criteria.

The 4 page PDF of the scheme details can be found here.

Headline Information - 'Self-Employment Income Support Scheme (SEISS) Grant Extension'

The SEISS Grant Extension provides critical support to the self-employed. The grant will be limited to self-employed individuals who are currently eligible for the SEISS and are actively continuing to trade but are facing reduced demand due to COVID-19.

The extension will provide two grants and will last for six months from November 2020 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.

The first grant will cover 3 months' worth of profits from the start of November until the end of January. It will be worth 20% of average monthly profits and will capped at £1,875 in total.

Further info about these schemes, the Tax Cuts and Deferrals click here.