Chancellor’s measures to safeguard firms and their staff
The Chancellor Rishi Sunak has announced a range of measures* for businesses and workers to protect them against the current economic emergency. Here are some examples.
The Coronavirus Job Retention Scheme has enabled businesses to put employees on a period of temporary leave (furlough) and apply for a government grant to cover 80 per cent of those workers’ usual monthly wage costs, up to a cap of £2,500 a month. The scheme available until the end of October has already protected 7.5 million workers and almost 1 million businesses
The Self-Employment Income Support Scheme will allow eligible selfemployed individuals to claim a taxable grant of 80 per cent of their average monthly profits, up to £7,500.
UK VAT-registered firms have been given the option to defer VAT payments until the end of June.
There will be no interest or penalties on any amount deferred.
The Government has introduced a business rates holiday for the retail, hospitality and leisure sectors and nurseries in England.
Other schemes are in place in the other nations within the UK.
Commercial tenants who cannot pay their rent because of coronavirus will be protected from eviction
The Government’s Bounce Back Loans Scheme provides loans of up to £50,000 to small businesses, with a 100 per cent government-backed guarantee for lenders.
The Coronavirus Business Interruption Loan Scheme is available for loans or finance of up to £5m.
The Government will provide the lender with an 80 per cent guarantee to support the lending. *Eligibility criteria applies.