From 1st July “Flexible Furlough” came into effect which allows more flexibility in re-introducing your staff back to the workplace.  It is designed to kick start the economy and re-open the UK.

The scheme allows you to bring employees back to work on a part-time basis to help get your business up and running again.

This scheme will only apply to workers who have been furloughed before 10th June – the exception to this is for any employee returning from a period of statutory parental leave who can then be furloughed for the first time.

Firms will have the flexibility to decide the hours and shift patterns of employees and the government will continue to pay 80% of salaries for the hours that are not worked.

For example, if your employee usually works a 30 hour week and returns to work part time for 10 hours a week, you are responsible for paying the 10 hours and the government will pay 80% of the remaining 20 hours which you can top up to 100% if you wish.

Employers should only claim for employees on flexible furlough once they have certainty about the number of hours the employees are working during the claim period. If they claim in advance and then the employee works for more hours than the employer has included in the claim, then the employer will need to repay the appropriate amount to HMRC.

Notify Employees Formally: Any employee placed on flexible furlough must be issued with a notification letter detailing the terms of their return to work – if you would like an example of this letter please let us know.

Furlough Payments Rule Changes (as previously advised):

The level of government grant provided will be tapered off to reflect that more people will be returning to work.  A reminder of the timeline:

  • July– HMRC will pay 80% of wages up to a maximum of £2,500, Employers National Insurance and minimum pension contributions, just the same as for March, April, May and June.
  • August – HMRC will pay 80% of wages up to a maximum of £2,500. The cost of Employers NI and Pensions will not be refunded
  • September – HMRC will pay 70% of wages up to a maximum of £2,187.50. The cost of Employers NI and Pensions will not be refunded
  • October – HMRC will pay 60% of wages up to a maximum of £1,875.00 The cost of Employers NI and Pensions will not be refunded

The scheme will end at the end of October.  We will continue to support our clients with their furlough claims.

CJRS Grants

The government has announced that businesses who no longer need the CJRS grants previously claimed can voluntarily return them.  Businesses are under no obligation to do this but should contact HMRC if it is something they would like to do.


We strongly advise you to seek appropriate advice before taking action on any of the points listed above. The legislation and regulations in support of business during the coronavirus pandemic are subject to constant revision and interpretation due to the rushed nature of legislation. We will keep you advised of any changes to the position stated above. 

If you are in any doubt, please call us for clarification 01763 289607 or email

About us:  Leggate Associates Limited was formed by Andrew Leggate LL.B FCMA FCA CGMA who has over 40 years of tax and accountancy experience in industry and practice, and the practice is managed by Joanne Leggate FMAAT ATT(Fellow).  Our clients range from building subcontractors to multi-million pound concerns and high net worth individuals nationally and internationally.  Please see our website  or follow @LeggateAssoc on Twitter for regular updates.