Budget Measures Announced to Support Businesses
Business owners in all sectors are rightly worried about how social distancing and isolation will impact trade. There were some important takeaways from the Chancellor’s statement last week and more are expected soon.
Here’s our summary of some of the key things business owners need to know from the Budget on 11 March 2020.
- Business rates for properties with a rateable value below £51,000 will attract a discount of 100% extended to leisure and hospitality sectors
- Businesses already claiming Small Business Rate Relief (rateable value up to £15,000) are eligible to receive a cash grant of up to £3,000 over the coming year
- In addition, pubs will receive a £5,000 discount on their business rates for properties with a rateable value below £100,000. Enquiries from businesses on their eligibility should be directed to the relevant local authority.
- Increased support will be provided to businesses that may be affected by Coronavirus. Time to pay arrangements can be setup with HMRC to spread the cash flow effect of VAT and PAYE/NI liabilities - these will be assessed on a case by case basis. The helpline is 0800 0159 559
- Coronavirus Business Interruption Loan Scheme will be ready within weeks to support businesses seeking overdrafts and loans. The Government will provide lenders with a guarantee of 80% of the value which should see lenders relaxing their lending criteria when providing finance to businesses.
- Statutory Sick Pay (SSP) will be payable to employees from day 1 rather than day 4, for those who are unable to work due to Coronavirus or are required to self-isolate due to Government guidance.
- Small and medium sized businesses will be able to reclaim up to two week’s of SSP per employee due to Coronavirus. This applies to businesses with up to 250 employees as at 28 February 2020.