To ask the Chancellor of the Exchequer, with reference to clauses 2.1 and 2.2 of the amendments to the Treasury Direction to the Jobs Retention Scheme, published on 25 June 2020, whether employers are prohibited from using grants from the Coronavirus Jobs Retention Scheme for employees placed on redundancy notice periods; and whether those grants must be repaid by employers if used during this period.

The CJRS is designed to protect jobs and to keep people in employment. Where employers must make redundancies, they should do so in accordance with the normal rules and with contractual obligations. This includes giving a notice period and consulting staff before a final decision is reached.

Employers may continue to claim under the scheme for a furloughed employee who is serving a statutory notice period subject to eligibility based on contact of employment.