At the end of an extraordinary week for British businesses, the Chancellor has announced another raft of unprecedented measures to support businesses and employees through the Coronavirus crisis.A summary of the announcements is as follows:
- Bars; restaurants; cafes; pubs; leisure centres; theatres; and cinemas will be asked to close indefinitely tonight.
- The Government will pay 80% of wages payable to “retained employees”, up to a maximum of £2,500 per employee per month, backdated to 1 March 2020. Businesses of any size and industry will be eligible and the HMRC scheme is expected to be up and running within weeks. This will initially be open for 3 months, but is likely to be reviewed.
- Funding accessed through the Business Interruption Loan scheme will now be interest-free for 12 months, not 6. These loans will now be available from 23 March.
- Payment of VAT liabilities due before 30 June will be deferred until the end of the year.
- 2020/21 self-assessment tax payments on account, originally payable by 31 July 2020, will now not be payable until 31 January 2021.
- Working tax credits will be extended to self-employed individuals.
If you have any questions regarding these measures or any of those previously announced, please feel free to contact us