Sunak ‘ready to target virus’

The Chancellor has said he is ready to take “targeted” measures to help businesses get through the coronavirus outbreak as he prepares to deliver his first Budget amid the crisis.

Rishi Sunak suggested his financial plan would focus on the “economic security” of the country, as he warned that the economy could suffer a “supply shock” if lots of people fall ill.

Mr Sunak, who has been in office for less than a month, said he was “not daunted” by the challenge of protecting the UK’S finances in the event of a major Covid-19 outbreak.

Instead he said the country is “well prepared” and would “emerge on the other side stronger”.

Outlining his plan to help businesses cope with the virus, the MP for Richmond in Yorkshire said: “You have to look at the nature of what the economic impact might be, so that we can design an appropriate response.

“The main issue is lots of people might be ill, and therefore not be able to be at work. And that impacts the productive capacity of your economy if you’ve got a manufacturing plant and they can’t make their widgets.”

He added: “We need to look at what are the interventions that we need to help bridge a difficult period.

“That’s where we might look at some targeted options to help ease the strain on cash flows for a certain period to help them get through to the other side.

“Obviously, alongside the supply shock there will likely be an impact on demand if people are at home.”

Mr Sunak also said the NHS will get “whatever resources it needs” to cope with a coronavirus epidemic.

He told the BBC’S Andrew Marr Show “strong” economic foundations meant he could provide additional funding, adding: “I can say absolutely, categorically, the NHS will get whatever resources it needs.”