Professional May 2021

The Chartered Institute is pleased to have received the following letter addressed to the CIPP and its members.

Dear all,

As we near the first anniversary of the launch of the coronavirus job retention scheme (CJRS), I wanted to reflect on some of the successes and challenges of delivering the scheme, as well as pay tribute to both CIPP and you, CIPP’s members, for all your help in designing and delivering what has been an unprecedented level of support across the United Kingdom. CIPP, along with other stakeholders, has been involved with the CJRS from the very start – whether advising us on aspects of scheme deliverability, or helping us to hone and improve our scheme guidance on your behalf. There is no doubt that the Covid-19 pandemic has resulted in HM Revenue & Customs working more closely with our trusted partners and stakeholders and it has allowed us to build on our longstanding relationships, well into the future. I wanted to take the time to write in Professional this month because it’s you, the payroll professionals across the UK, who I want to say an especially big thank you to. I know it’s fallen to many of you to submit the CJRS claims to us, so we can pay out grants to support and protect jobs.

You have made a real difference to employers and employees alike and we are extremely grateful of your support.

As announced in the 2021 Spring Budget, the CJRS has been extended until the end of September 2021.

For periods from 1 May 2021 onwards, employers will be able to claim for eligible employees who were on your PAYE payroll on 2 March 2021. This means they must have made a PAYE real time information (RTI) submission between 20 March 2020 and 2 March 2021, notifying HMRC of earnings for that employee.

Until the end of June 2021, the UK government will continue to pay 80% of employees’ usual wages for the hours not worked, up to a cap of £2,500 per month.

For periods in July, CJRS grants will cover 70% of employees’ usual wages for the hours not worked, up to a cap of £2,187.50. In August and September, this will then reduce to 60% of employees’ usual wages up to a cap of £1,875.

The next CJRS deadline is 15 May for employees furloughed in April. Monthly deadlines have been introduced so the government can more regularly and accurately see and react to the impact of coronavirus on businesses and individuals, and the cost of the scheme to taxpayers. I’m proud of the way my colleagues in HMRC have risen to the challenge of delivering the CJRS. CIPP and CIPP’s members should be proud of the contribution you have made too. Going forward, there is much work for us all to do. We value our strong working relationship with CIPP, and we’ll carry on consulting closely with you as we do all we can to deliver support to employers and employees, as well as the self-employed, as set out in the chancellor’s Plan for Jobs.

Angela MacDonald CBE HMRC deputy chief executive and second permanent secretary

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| Professional in Payroll, Pensions and Reward |

Issue 70 | May 2021

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