Coronavirus Update -
19th March 2020
Update from Chancellors statement on 17 March 2020
Most budgets last a year – this one hasn’t lasted 7 days!
I’ve included some further information as far as we have it. My comments in red.
The situation is highly fluid, and seems to be changing day by day.
Here is a summary:-
- Government guaranteed Bank Loans to be in place by week commencing 23rd March. - Speak to your bank as soon as possible
Grants
This is a direct transcript from the statement, with my comments in red
- I announced last week that for businesses in the retail, hospitality and leisure sectors, with a rateable value of less than £51,000, they will pay no business rates this year. This indicates manufacturing, wholesale, construction and business services are not covered !
- Today, I can go further and provide those businesses with an additional cash grant of up to £25,000 per business – to help bridge through this period. This indicates to claim this grant, you must have business premises, that are subject to business rates.
- Additionally, I also am today extending the business rates holiday to all businesses in those sectors, irrespective of their rateable value.
- That means every single shop, pub, theatre, music venue, restaurant - and any other business in the retail, hospitality or leisure sector – will pay no business rates whatsoever for 12 months, and if they have a rateable value of less than £51,000, they can now get a cash grant as well.
- I also announced last week that we would be providing £3,000 cash grants to the 700,000 of our smallest businesses.
- In light of the new circumstances, and to support their cash flow, today I can increase those grants to £10,000. £3k increased to £10k
I have no current information as to how the grants are to be accessed, who will pay them - the Local Authority or HMRC and how to apply for them.
I have read that the grants and loans are dependent upon continuing to pay wages , rents and taxes. As soon as I know more, I will pass on the information.
Staff
If there is a situation were you need to consider employee matters, I recommend that you contact ACAS on 0800 001 4410. https://www.employment-advice-bureau.org/employers/
If you are a member of a trade association, the FSB, or subscribe to an employment support provider, please also contact them.
Mortgages
Domestic mortgage payers are to get up to 3 months repayment holiday , if they are under financial strain due to coronavirus ( I don’t know how this is defined, but I suspect this is pretty much everybody ). There has been no announcements of help for people who rent, although an announcement will be made shortly, also no information if this covers buy-to-let mortgages.
