Government reimplements SSP Rebate scheme for SMEs
In response to the Omicron variant of COVID-19 currently proliferating across the nation, the Chancellor of the Exchequer, Rishi Sunak, has announced the revival of the Statutory Sick Pay Rebate scheme, which came to an end on 30 September 2021.
Usually, the cost of Statutory Sick Pay (SSP) (currently £96.35 per week), is covered by the employer; however, economic uncertainties across many industries and the high level of COVID-related absences within workforces have made the burden of SSP a major concern for businesses. The revived scheme is the Government’s attempt to alleviate these concerns by allowing businesses with less than 250 employees to claim back the cost of two-weeks’ SSP per employee, for absences relating to COVID-19 occurring from 21 December 2021 onwards.
In order to be eligible for the rebate, in addition to having less than 250 employees, SMEs must also: be UK-based; have had a PAYE payroll system as of 30 November 2021; and have already paid their employees’ COVID-related SSP. Eligible businesses will then be able to submit a retrospective claim for a rebate from mid-January 2022 onwards. Whilst the scheme is intended to be temporary, the duration that it will be open for has not yet been announced.
Given the straightened financial circumstances many businesses find themselves in (as cashflows are restricted and workforces depleted) we can only recommend that eligible employers seek to utilise the scheme wherever possible.
If you have any questions about the SSP Rebate scheme, please email or call our Employment Law team today on 0113 207 0000.
Partner and Head of Employment
Employment Law
PKelly@LawBlacks.com
0113 227 9249
@PaulLawBlacks
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Paul Kelly
