WFM UK: CJRS Calculations for February 2021 Onwards

CJRS Calculations for February 2021 onwards

The UK Chancellor has made small amendments to section 71 and 76 of the Coronavirus Act 2020 to include the following changes.

Same Period Previous Year Calculation (February 2021)

HMRC have clarified how this calculation should apply for February, as the leap year in 2020 means fewer days in 2021 than 2020. HMRC confirm they will accept claims for employees with variable pay based on either 28 days or 29 days.  They will not challenge the approach used.

Same Period Previous Year Calculation (March & April 2021)

HMRC have noted that the periods for March and April 2021 might include periods for which a CJRS claim was submitted in 2020 leading to a lower reference salary. HMRC confirm that the periods used for March and April 2021 should be March and April 2019.

CJRS Claim Amount

The amount that he Government will contribute for February, March and April is:

The employer will only need to pay the wages for hours worked, along with the Employer's National Insurance and pension for both the hours worked and the amount claimed under the CJRS

Further information about the Coronavirus Job Retention Scheme can be found here

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