Insights

17 July 20211 min read

Furlough scheme rules change: July 2021

A short update on July 2021 furlough changes, employer contributions, and claim deadlines.

The furlough scheme began in March 2020 and has been winding down. The rules changed again from July 2021.

July claims (filed by 16 August) covered 70% of gross pay, with employers funding the 10% difference. In August and September this reduced to 60%, with employers funding 20%. The £2,500 cap on gross salary remained.

Overall, this shifts the burden gradually back to the employer as trading conditions normalise and encourages employers to bring staff back where possible.

Employer and employee National Insurance and pension contributions continued broadly in line with the June claim position (employees still received 80% pay; the government/employer split changed).

Please remember to file claims on time.

J3 Accountants

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