Further information on the Job Retention Bonus Scheme

Earlier this month, HM Treasury published more guidance on the Job Retention Bonus.

Employers who bring back employees from furlough and keep them continuously employed until 31 January 2021 can be entitled to a £1,000 one off taxable payment.

It’s hoped that the scheme will continue to support jobs by encouraging and helping employers to keep as many employees who have been on furlough as possible.

Who is eligible?

Employers can claim the bonus if they have furloughed employees and made an eligible claim for those employees through the Coronavirus Job Retention Scheme (CJRS). Eligible employees must have been continuously employed from the end of the last CJRS claim until 31 January 2021.

Is there a minimum income threshold?

Yes – to meet this threshold, an employer must have paid the employee at least £1,560 (gross) throughout the tax months:

  • 6 November to 5 December 2020
  • 6 December 2020 to 5 January 2021
  • 6 January to 5 February 2021

How do I claim?

The earliest that this bonus can be claimed by businesses is 15 February 2021 and government guidance on how to claim will be updated prior to the opening of the scheme.

Before it can be claimed, employers must:

  • be enrolled for PAYE online
  • comply with PAYE obligations to file PAYE accurately and on time under Real Time Information reporting for all employees between 6 April 2020 and 5 February 2021
  • keep payroll up to date and make sure the leaving date for any employees that stop working before the end of the pay period that they leave in has been reported
  • use the irregular payment pattern indicator in Real Time Information (RTI) for any employees not being paid regularly
  • comply with all requests from HMRC to provide any employee data for past Coronavirus Job Retention Scheme claims

Employers can make a claim up until 31 March 2021.

Further guidance

There is further information on the government website https://www.gov.uk/guidance/steps-to-take-before-calculating-your-claim-using-the-coronavirus-job-retention-scheme

For further advice please get in touch.


This article is for general guidance only. It provides an outline, and may not include points which are important to your situation. You should not depend on this blog without taking advice based on the full facts of your case. The information given was correct at the time of publication.

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