Furlough scheme extended to the end of April 2021

The Chancellor has announced that the Coronavirus Job Retention Scheme (also known as the furlough scheme) will be extended once again and will now be in place until 30 April 2021. A review of the scheme was supposed to take place in January but a decision was made to bring forward the review in order to allow businesses to plan ahead for the New Year. The announcement also confirmed that employers will continue to be able to claim 80% of employees’ wages, capped at £2,500 per month for hours not worked. Employers must continue to pay the national insurance and employer pension contributions on employees’ furlough pay. The eligibility requirements for the scheme will not be changed.

HM Treasury also announced that it would be extending the government-guaranteed Covid-19 business loan schemes until the end of March 2021.

Please do not hesitate to get in touch with our Employment Team if you need any advice about the furlough scheme or any other employment law matters.


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