What financial support is available under the Job Support Scheme for businesses that are required to close under coronavirus restrictions?

On 9 October 2020, the Chancellor announced that the Job Support Scheme would be expanded to provide financial support to businesses that are legally required to close under coronavirus (COVID-19) restrictions, in a local or national lockdown. For details of the support previously announced under the scheme for businesses that are able to remain open, see What is the Job Support Scheme?.

Under the scheme for businesses that are required to close (which the Government refers to as the "JSS Closed"), employers will be able to claim a grant from HM Revenue and Customs (HMRC) to cover 67% of employees' wages, up to a maximum of £2,083.33 a month per employee. Employers will be able to claim for employees who do not work for at least seven consecutive days due to the closure of the business.

The employer will be responsible for paying national insurance contributions and pension contributions but will not be required to contribute towards employees' wages. As with the previously announced support, this extension to the Job Support Scheme will run from 1 November 2020 for six months. It will be reviewed in January 2021.

Employers will be able to claim for payments in arrears through an online claim service, which is due to be available from 8 December 2020. The Government has said that HMRC will publish guidance on the scheme in due course.