Furlough scheme changes: Key dates for employers

Despite the delay in lifting the remaining lockdown restrictions, Chancellor Rishi Sunak has confirmed there is to be no further extension to the furlough scheme, putting employers in the most affected sectors under increased financial pressure and risking thousands of jobs.


More and more sectors are now able to operate safely, meaning the reliance on furlough payments is decreasing each month. However, for the most affected sectors, furlough has been a lifeline with many employers continuing to access the scheme.

As the furlough scheme starts to wind down, employers are left with  many questions; wondering when the scheme ends, when contributions change and what other support is available? We’re here to give you clear answers and point you in the right direction for further financial business support.

When does furlough end?

The furlough scheme, or Coronavirus Job Retention Scheme (CRJS), will officially come to an end on 30th September 2021. Between now and then, a number of changes to the scheme will take place.

From 1st July 2021, employers will be asked to contribute towards the cost of furloughed employees’ wages.

Whilst the furlough claim period ends on 30th September 2021, the scheme still allows claim submissions for that period up until 14th October 2021. Furlough claims must be submitted to HMRC within 14 days of the end of the calendar month being claimed for. So for example, the deadline for submission of claims relating to September is 14th October 2021.

When do government contributions to furlough change?

Although Government contributions to furlough will be changing in the coming months, employers who are able to can still top up their furloughed employees’ pay to 100%. Here’s when the key changes will take place…

June 2021

Until the end of June, the Government contribution remains at 80% (up to £2,500).

July 2021

From 1st July 2021, the Government contribution drops to 70% (up to £2,187.50) with employers now contributing the additional 10%, to total 80% of the employees’ wages.

August & September 2021

Throughout August and September, until the scheme ends on 30th September, Government contributions drop again to 60% (up to £1,875), with employers contributing the remaining 20% of the wages.

You’ll find a handy summary of the key dates and changes to furlough contributions below…

What other financial support is available for my business?

Government schemes like small business support grants and bounceback loans have been vital for many businesses to survive the financial impact of the pandemic, but many of those in the most affected industries are needing further financial support. There are a number of support schemes, at both local and national levels, that businesses may be eligible for.

Businesses in certain sectors may be eligible for the Restart Grant scheme through their local council. Eligible businesses in the non-essential retail sector may be entitled to a one off cash grant of up to £6,000 from their local council, whilst eligible hospitality, accommodation, leisure and personal care businesses could receive up to £18,000. Find out more information and how to apply, here.

Launched at the Spring Budget in April 2021, the UK wide Recovery Loan Scheme has been introduced to provide easy access to loans and other kinds of financial support to help businesses recover from the disruption of the COVID-19 pandemic. You can find out more about the Recovery Loan Scheme, and how DJH Mitten Clarke can provide support, on our latest blog.

If you’d like to talk it through with us and get some initial advice on the next steps, please give your Client Manager a call on 01782 279615.

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