Monday, 2 August 2021

Changes to CJRS “Furlough” effective from 1 August 2021


From 1 August 2021, government contributions will reduce to 60%, (up to a maximum of £2,187.50), for hours not worked by furloughed employees.  To continue receiving this grant, employers will be required to contribute the additional 20% to ensure furloughed employees continue to receive 80% of their wages up to the £2500 cap.   Employers must also continue to pay the employees’ national insurance and pension contributions for the hours the employees are on furlough.


In order to be eligible for the CJRS grant, employers must have confirmed to their employee in a written furlough agreement that they have been furloughed, when their period of furlough shall begin and how much they are likely to be paid.


At Martin Kaye Solicitors, our Employment Team have been successfully supporting businesses throughout the Coronavirus pandemic.  If you would like further guidance on the scheme, require up to date “furlough agreements”, or would like to discuss the options your business may have once furlough has ended, then please call the team on 01952 566920 or email us at