How SMEs can reclaim coronavirus statutory sick pay

WE LVE NUMBERS!

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Small and medium-sized businesses will be able to recover coronavirus-related Statutory Sick Pay (SSP) with a new online portal. Here, payroll manager Don Mallett, explains how the service will work.

The online service will be launched on May 26 and allow employers, who have fewer than 250 employees, to recover the SSP payments they have made to their workers.

The Coronavirus Statutory Sick Pay Rebate Scheme was announced in the Budget as part of a package of support measures for businesses affected by the coronavirus pandemic.

Employers will be a to use their tax agents to make the claims through the portal to reclaim sick pay for staff who were unable to work due to Covid-19 on or after March 13.

The repayment will cover up to two weeks of SSP for all employees who have been enrolled on a PAYE payroll scheme prior to February 28 if they:

  • Have coronavirus
  • Are self-isolating and unable to work from home
  • Are shielding because they have been advised that they are at high risk of severe illness from coronavirus

To prepare to submit the claim, employers should keep records of all SSP payments that they need to reclaim from HMRC.

Work and Pensions Secretary Therese Coffey said: “This rebate will put money back into the pockets of millions of employers, ensuring they can hit the ground running as the economy re-opens.”

The current rate of SSP is £95.85 per week, however businesses may choose to pay their employees more than the statutory minimum – known as occupational or contractual sick pay. If the employer decides to do this, they can only reclaim the SSP rate.

The scheme covers all types of employment contracts including full-time, part-time, agency staff and employees on flexible or zero-hour contracts.

Employees are not required to provide a doctor’s certificate for their employer to make a claim.

Accountancy practices such as ours which run payroll for clients can access this portal and can file claims for you.

If you require advice, please get in touch via info@beatons.co.uk