Several constituents have sent me a copy of a
campaign email regarding sick pay and the outbreak of Covid-19 or Corona Virus
.
The Chancellor has announced measures in his budget
to mitigate the effect of the coronavirus outbreak. These include help and
support for:
- Public services
- Individuals
- Businesses
The very significant sum of £12 billion has been
allocated for these measures. Wider policy decisions to support the economy
will total £18 billion.
The Prime Minister has already said that statutory
sick pay will be paid from day one for those suffering from Coronavirus. The
budget has now set out further measures to widen the scope.
The budget document “Redbook” published following
the Chancellors statement in the House on Wednesday 11 March, sets out the
extensive measures the government will take including the following section:
The Budget announces measures to support people who
are unable to work because of COVID-19.
Eligibility for Statutory Sick Pay (SSP) – The
Prime Minister has already announced that the forthcoming COVID-19 Bill will
temporarily allow SSP to be paid from the first day
of sickness absence, rather than the fourth day,
for people who have COVID-19 or have to self-isolate, in accordance with
government guidelines. The Budget sets out a further package to widen the scope
of SSP and make it more accessible. The government will temporarily extend
SSP to cover:
• individuals who are unable to work because they
have been advised to self-isolate
• people caring for those within the same household
who display COVID-19 symptoms and
have been told to self-isolate
Medical Evidence for SSP – The government has
already issued guidance to employers,
advising them to use their discretion not to
require a GP fit note for COVID-19 related absences.
This Budget announces that the government and the
NHS will bring forward a temporary alternative to the fit note in the coming
weeks which can be used for the duration of the
COVID-19 outbreak. This system will enable people
who are advised to self-isolate to obtain a notification via NHS111 which they
can use as evidence for absence from work, where necessary.
This notification would meet employers’ need for
evidence, whilst taking pressure away from General Practices.
Support for those ineligible for SSP – The
government recognises that self-employed people and employees below the Lower
Earnings Limit are not entitled to SSP. The best system of financial support
for these people is the welfare system and, in particular, ‘new style’
Employment and Support Allowance and Universal Credit. The government is
committed to supporting these groups, and the Budget announces further support
by making it quicker and
easier to receive benefits:
• ‘New style’ Employment and Support Allowance will
be payable for people directly affected by COVID-19 or self-isolating according
to government advice for from the first day of sickness, rather than the eighth
day
• people will be able to claim Universal Credit and
access advance payments where they are directly affected by COVID-19 (or
self-isolating), without the current requirement to attend a jobcentre
• for the duration of the outbreak, the
requirements of the minimum income floor in Universal Credit will be
temporarily relaxed for those directly affected by COVID-19 or
self-isolating according to government advice for
duration of the outbreak, ensuring self-employed claimants will be compensated
for losses in income
Hardship Fund – The government will provide Local
Authorities in England with £500 million of new grant funding to support
economically vulnerable people and households
in their local area. The government expects most of
this funding to be used to provide more council tax relief, either through
existing Local Council Tax Support schemes, or through complementary reliefs.
Support for businesses
Some businesses may experience increased costs or
disruptions to their cash flow as a result of COVID-19. The Budget announces a
set of measures to provide support to businesses during this temporary period
by either reducing their costs or bridging cashflow problems arising from the
outbreak, and to protect people’s jobs.
Statutory Sick Pay – The government will support
small and medium-sized businesses and employers to cope with the extra costs of
paying COVID-19 related SSP by refunding eligible SSP costs. The eligibility
criteria for the scheme are as follows:
• this refund will be limited to two weeks per
employee
• employers with fewer than 250 employees will be
eligible. The size of an employer will be determined by the number of people
they employed as of 28 February 2020
• employers will be able to reclaim expenditure for
any employee who has claimed SSP
(according to the new eligibility criteria) as a
result of COVID-19
• employers should maintain records of staff
absences, but should not require employees to provide a GP fit note
• the eligible period for the scheme will commence
from the day on which the regulations extending SSP to self-isolators come into
force
• while existing systems are not designed to
facilitate such employer refunds for SSP, the government will work with
employers over the coming months to set up a repayment
mechanism for employers as soon as possible
The government is determined that the help needed
to see the nation through Coronavirus is made available and will continue to
monitor the situation and according to the Redbook “…stands ready to provide
further support should it be needed.”
