Extending furlough until the end of March 2021. The Coronavirus Job Retention Scheme – known as the furlough scheme – will be extended until the end of November to cover the new restrictions with employees receiving 80 per cent of their current salary for hours not worked, up to £2,500 a month. Businesses will have flexibility to bring furloughed employees back to work on a part time basis or furlough them full-time. For those who have recently been made redundant (since 23 September), they can be rehired and furloughed by their employer.
Providing more support for self-employed people. Support through the Self-Employment Income Support Scheme (SEISS) will be increased, with the third grant covering November to January calculated at 80% of average trading profits, up to a maximum of £7,500.
Extending the application deadline for loan guarantee schemes – that is, the Bounce Back Loan Scheme, Coronavirus Business Interruption Loan Scheme, and Coronavirus Large Business Interruption Loan Scheme – to the end of January 2021. This will give businesses two extra months to make loan applications (relative to the current deadline of 30 November 2020).
Adjusting the Bounce Back Loan Scheme rules to allow those businesses who have borrowed less than their maximum (i.e. less than 25 per cent of their turnover) to top-up their existing loan. Businesses will be able to take-up this option from next week; they can make use of this option once.
Extending mortgage holidays. Mortgage holiday will be extended to reassure homeowners. These were due to end on 31 October, but borrowers who have been impacted by coronavirus and have not yet had a mortgage payment holiday will be entitled to a six month holiday, and those that have already started a mortgage payment holiday will be able to top up to six months without this being recorded on their credit file.
Supporting businesses forced to close. Business premises which are legally forced to close to receive grants worth up to £3,000 per month in England. £1.1 billion will also be provided to Local Authorities to enable them to support businesses which are not forced to close but are facing reduced demand due to the new national restrictions.
Last updated 16th November 2020.