Virus support hit £13bn in last month

Thousands of workers and firms received more than £ 1 3 b n i n th e l a s t m o nth through five Government support schemes, even as the support is slowly wound down.

New figures show that businesses have borrowed £2.55bn through the Bounce Back Loans Scheme between August 16 and September 20.

The new money was paid to more than 86,000 companies by the high street banks that are administering the Government-backed support scheme.

M ea nwh i l e t wo s i m i - lar schemes, the Coronavirus Business Interruption Loan Scheme (CBILS) and its equivalent for large businesses called CLBILS, paid out £1.77bn and £340m respectively.

The figures show that the Government also paid out a total £3.9bn in furlough cash to workers during the same period, and that £4.8bn was also paid to 1.9 million selfemployed people who mad claims.

The new data was released as pressure builds on Chancellor Rishi Sunak to extend the furlough scheme in some form past the current October 31 cut-off date.

Bank of England governor Andrew B a i l e y s a i d t h at it is time to "stop and rethink" the programme – favouring a targeted approach which helps specific sectors.

Labour leader Sir Keir Starmer has called on the Government not to remove all support in one move at the end of next month.

TradebodyUKHospitality has already called for an extension to the VAT cut until the end of next year, a continuation of the business rates holiday, and more employment support for hospitality.