Business Support
Falklands Islands Government currently has three support schemes in place to assist businesses with impacts associated with COVID-19. These have been extended until 30 September 2022.
The Job Retention (Furlough) and Income Supplement Scheme have also been amended to include temporary support measures in preparation for the removal of quarantine on arrival from 4 May 2022. These temporary measures will remain in effect until 30 September 2022. All payments are considered taxable in the hands of recipients.
The schemes are administrated by the Emergency Support Scheme Supervisor located in the Tax Office, St Mary’s Walk. Email:
Job Retention Furlough Scheme
Under this scheme, if an employer is unable to operate or has limited or no work for the employee because of COVID-19, and if the employer and employee both agree, the employer is able to keep the employee on the payroll with 80% of salary being paid from FIG. This is known as being ‘on furlough’.
With respect to employees, the scheme covers:
- 80% of salary for furloughed employees (up to £2,500 per month)
- 80% of salary for employees on reduced hours, proportional to the percentage of hours not worked (up to £2,500 per month)
Until 30 September 2022, this scheme also covers the following which are extended to cover employees who are unable to work and have been on the payroll for a minimum of 30 days:
- Up to a total of 5 days of paid leave for individuals who produce a positive COVID-19 test. Total payment for an individual is capped at 5 days leave paid at the employee’s basic salary.
- Up to a total of £300 allowance for individuals caring for a dependant under the age of 16 years who is unable to attend nursery or school due to a positive COVID-19 test. Allowance paid at a rate of £60 per day up to 5 days and can be claimed by employers for each employee taking leave to care for an eligible dependant. If the employee is eligible for paid leave, they would be expected to be paid at least their normal rate of pay for the leave taken. If the employee takes what would otherwise be unpaid leave, they should be paid at least £60 per day.
- Care for a dependant due to partial closure, full closure or reduced capacity of school/nursery has been included as a qualifying condition for furlough.
For further information, please see the Guidance Notes and FAQs.
Self-Employed Income Supplement Scheme
This scheme is designed to assist those in self-employment (including sole traders, partnerships, casual workers and others) who have experienced a significant reduction in income, with a non-repayable grant that is intended to supplement the funds they usually would take out of their business for personal use (also known as owner’s drawings).
With respect to self-employed workers, the scheme covers up to 80% of the applicant’s pre COVID-19 average income (up to £2,500 per month).
Until 30 September 2022, this scheme also covers the following, which are extended to cover business who have started since April 2020:
- Up to a total of 5 days of paid leave for individuals who produce a positive COVID-19 test. Total payment for an individual is capped at 5 days leave paid at the employee’s average income.
- Up to a total of £300 allowance for individuals caring for a dependant under the age of 16 years who is unable to attend nursery or school due to a positive COVID-19 test. Allowance paid at a rate of £60 per day up to 5 days.
- Care for a dependant due to closure of school/nursery has been included as a qualifying condition for the Income Supplement Scheme.
For further information, please see the Guidance Notes and FAQs.
COVID-19 Business Grants Scheme
As a result of the COVID-19 pandemic, some businesses may face high solvency risks due to a significant or critical reduction in demand for their goods or services. The government provides financial support with two different types of direct, non-repayable grants, at a rate of up to £10,000 per month.
These grants are targeted at:
- Micro and small sized businesses (below £500,000 in turnover)
- Micro, small and medium sized businesses in the hospitality, health and social work sectors (below £1,000,000 in turnover)
For further information, please see the Guidance Notes and FAQs.
