We hope you are all keeping well and coping with the changes to CJRS.
Here is the latest edition of the IReeN Newsletter which covers the following items:
- Making adjustments to CJRS
- Job Retention Bonus legislation
- Test & Trace Payments
- ACAS redundancy guidance
- Deduction from Earnings Attachments (DEA)
- Employer Bulletin
- New type of Student Loan – Scotland
- New Guidance for Frontier Workers
- Pensions Regulator
- Fuel Advisory Rates
- Changes in the SSP rules
- Consultation – Call for evidence
- Off Payroll Working guidance updated
- Immigration rules change from January 2021
In future we will be posting the news onto our website to members to access www.ireen.net
You can set up an RSS feed via our website which will notify you when any further news is posted.
It is estimated that £3.5 billion CJRS has been incorrectly paid out, so members are advised to carefully check pass claims.
It is thought that some employers, particularly in the early days of lockdown, rushed to submit their claims and may have made genuine errors. Of course, there will always be a few employers who have deliberately over claimed and HMRC will be taking punitive action.
Next week we will be posting an article on the website which will provide IReeN members with some pointers on checking their CJRS claims and what action they should take if they have received a letter from HMRC.
As you are probably aware, the autumn Budget has been cancelled and we are waiting for the Government to confirm a new date. HMRC are aware that employers are particularly concerned about confirmation of the new statutory payment rates etc for 2021/22 which are usually confirmed at the same time as the Budget. We will keep you posted.
On behalf of the IReeN Committee
Making adjustments to CJRS
If you have discovered that you have claimed too much or too little Coronavirus Job Retention grant, the link below provides guidance on your next step.
Don’t forget that phase 2 of CJRS closes on 31 October and employers have until 30th November to make their claim or carry out any adjustments.
Job Retention Bonus
The Job Retention Bonus will be payable by HMRC of £1,000 per employee between 15 February 2021 and 31 March 2021 subject to certain qualifying conditions.
Details of the job retention bonus can be found in the Treasury Direction which can be viewed here:
Test & Trace Payments
Payments made under the Test and Trace Support Payment Scheme in England to employees who are on a low incomes (unable to work from home) and have been asked to self-isolate by NHS Test and Trace (NHSTT) will not be liable to employer or employee Class 1 National Insurance contributions. Employers will also not be liable to Class 1A National Insurance contributions in respect of the payments.
The Test and Trace Support Payment Scheme was initially piloted in Blackburn with Darwen, Pendle and Oldham with effect from 1 September 2020. From 28 September the pilot will be rolled out across England.
ACAS redundancy guidance
ACAS issued new guidance regarding redundancies. A copy of the new guide can be found here:
Direct Earnings Attachment (DEA)
The DWP have cancelled DEA orders as a result of Covid 19 and employers should await further instructions before resuming deductions.
3 April 2020: added explanation that benefit debt repayments have been temporarily stopped because of coronavirus (COVID-19). Employers should not make any DEA deductions to employees’ pay in April, May or June 2020
7 July 2020: Employers should continue to not make deductions from an employees pay for until told to so again by DWP.
28 August 2020: Removed call out explaining benefit debt repayments had been temporarily stopped because of coronavirus.
October’s issue of the Employer Bulletin is due out shortly and can be viewed or downloaded from
New type of Student Loan – Scotland
As mentioned in August’s issue of the Employer Bulletin, Scotland will be introducing a new type of student loan, which will be known as plan type 4 from April 2021.
New Guidance for Frontier Workers
Government guidance for frontier workers who want to enter the UK from 1 January 2021 has been updated. With effect from 1 January 2021 employers will need to apply for a frontier worker permit to enter the UK as a frontier worker (frontier workers are defined as EU, EEA or Swiss citizen and regularly commute to the UK because you are employed or self-employed here but live elsewhere.)
In the Pensions Regulator’s latest newsletter there is a reminder to employers about their auto enrolment duties:
Employers must continue to assess and put eligible staff into a pension, they must continue to make the correct contributions on time and they must complete re-enrolment duties and their declaration of compliance.
Since the beginning of August, employers have had to pay for their own pension contributions and National Insurance contributions for all staff. They will still be able to claim 70% of staff wages through the Coronavirus Job Retention Scheme in September, and 60% in October, before the scheme closes on 31st.
Fuel Advisory Rates
HMRC published the new fuel advisory rates for company car users at the end of August and the rates apply from 1 September:
SSP & self-isolating prior to surgery
With effect from 26 August, employers can pay SSP to employees who have been instructed to self isolate by NHS prior to surgery for up to 14 days. As this circumstance falls under the special rules for Covid 19, employers do not have to serve waiting days. They can reclaim SSP for up to two weeks per employee if they are a small or medium sized employer.
Consultation – Call for evidence
The Government has put out a Call for evidence in recognition of professional qualifications & regulation of professions. Further details can be found at:
The consultation closes on 23 October 2020 at 11.45 a.m.
Off Payroll Working guidance updated
The Government has updated the guidance employment status for employment intermediaries. Details of the guidance can be found at:
Immigration rules change from January 2021
From 1 January 2021, free movement will end and the UK will introduce a points-based immigration system. The new system will treat EU and non-EU citizens coming to the UK to work equally. Anyone coming to the UK to work, excluding Irish citizens, will need to apply for permission in advance. The guidance was updated on 28 September and can be viewed at: