HMRC investigations into suspected abuse of the furlough scheme

The government’s coronavirus job retention scheme (CJRS) colloquially known as the ‘furlough scheme’ first announced on 20 March 2020 to help protect UK jobs during the global coronavirus pandemic and originally set to end on 30 June 2020 is now due to end on 30 September 2021. Under the CJRS businesses have been able to furlough staff rather than make them redundant with furloughed staff receiving up to 80% of their wages capped at a maximum of £2 500 a month. This is a payout from the government in the form of a grant to employers.

HMRC has reported that as at 13 December 2020 the total number of jobs furloughed in the UK was 9.9 million with 1.2 million employers furloughing staff members at a cost of some £46.4bn.

‘High risk’ furlough claims

The furlough scheme while achieving its...