The Coronavirus (Covid-19) pandemic is having a profound and unprecedented effect on all aspects of our lives. The situation seems to be changing on a daily basis. In respect of how this affects small businesses, since the Budget on 11th March, there have been further announcements in respect of assistance. There were a raft of announcements on 17th March (which included increasing an initial grant of £3,000 to £10,000), and also on 20th March (where employees’ wages were underwritten to 80%).
The latest announcement was lock down announced yesterday (23rd March).
We have had a huge number of enquiries from clients in respect of help available from the Government. The following is a summary of the measures announced so far:
- a Coronavirus Job Retention Scheme
- deferring VAT and Income Tax payments
- a Statutory Sick Pay relief package for small and medium sized businesses (SMEs)
- a 12-month business rates holiday for all retail, hospitality, leisure and nursery businesses in England
- small business grant funding of £10,000 for all business in receipt of small business rate relief or rural rate relief
- grant funding of £25,000 for retail, hospitality and leisure businesses with property with a rateable value between £15,001 and £51,000
- the Coronavirus Business Interruption Loan Scheme offering loans of up to £5 million for SMEs through the British Business Bank
- a new lending facility from the Bank of England to help support liquidity among larger firms, helping them bridge Coronavirus disruption to their cash flows through loans
- the HMRC Time To Pay Scheme
The full document is here. It is correct as at time of writing (Tuesday afternoon, 24th March 2020).
It is expected that further announcements will be made, particularly in respect of anyone who’s self employed. We will communicate this information when it is available. In the meantime, if you have any questions,please feel free to contact us.