Overclaimed furlough? Government explains how to pay it back

The government has today issued guidance to help employers repay HMRC if they've overclaimed through the Coronavirus Job Retention Scheme.

26.06.2020

If you're continuing to claim you should correct the over payment in your next claim. But, if you're not planning on making any other claims, you should make a payment to HMRC. You'll need your 14 or 15 digit payment reference number and can pay by Faster Payments, CHAPS or Bacs to HMRC's account which is set out in the guidance.

This appears to be the first stage of the government's plans to recover over payments from employers. Those that take advantage of it are likely to avoid fines and other more serious penalties that are being planned where employers have deliberately overclaimed for staff who haven't been furloughed at all, or have been working for part of the their normal hours.

Details of the enforcement scheme likely to come into force soon are available in our previous blog.

Our Coronavirus updates

We're working hard to keep you up to date with legal developments around Coronavirus. We've set up a portal which includes lots of helpful articles and advice to help you.

If you have a query, that we haven't answered, please contact us.

https://www.gov.uk/guidance/pay-coronavirus-job-retention-scheme-grants-back

Key Contacts

Related Articles

  • KCSIE: new guidance on gender questioning children
    Expert Comment
    KCSIE: new guidance on gender questioning children
    The Keeping Children Safe in Education 2026 guidance is now available. It comes into force on 1 September and contains a number of significant changes schools and colleges need to be aware of.
  • KCSIE: new guidance on gender questioning children
    Expert Comment
    KCSIE: new guidance on gender questioning children
    The Keeping Children Safe in Education 2026 guidance is now available. It comes into force on 1 September and contains a number of significant changes schools and colleges need to be aware of.
  • April–March holiday years: the hidden bank holiday problem
    Expert Comment
    April–March holiday years: the hidden bank holiday problem
    All workers are entitled to at least 5.6 weeks holiday a year under the Working Time Regulations. Some employers include bank holidays within that allowance, others don't.

Recognised for excellence. Chosen for care.

  • Legal 500 Top Tier Firm UK 202
  • alt tzt
  • Sunday Times Best Places to Work 2025