Changes to the Job Retention Scheme

From 1 July 2021, employers are being asked to contribute towards the cost of your furloughed employee’ wages and as such, the level of the grant received will be reduced. Employers must continue to pay their furloughed employees 80% of their wages, up to a cap of £2,500 per month in order to be eligible for the grant.

The table below shows the changes that will occur in the next few months, including the change in the contribution required by the employer, the amount payable by the government and the amount the employee should receive per months (if they are still fully furloughed):

	May	June	July	August	September
Government contribution: wages for hours not worked	80% up to £2,500	80% up to £2,500	70% up to £2,187.50	60% up to £1,875	60% up to £1,875
Employer contribution: employer National Insurance contributions and pension contributions	Yes	Yes	Yes	Yes	Yes
Employer contribution wages for hours not worked	No	No	10% up to £312.50	20% up to £625	20% up to £625
For hours not worked employee receives	80% up to £2,500 per month	80% up to £2,500 per month	80% up to £2,500 per month	80% up to £2,500 per month	80% up to £2,500 per month