The government has announced a range of support for businesses and employees.
Extension of Coronavirus Job Retention Scheme
The Coronavirus Job Retention Scheme, known as the furlough scheme, which was due to end on 31 October will now remain open until December. Under the scheme, eligible employees will receive 80% of their current salary for hours not worked, up to a maximum of £2,500.
Further support for the self employed
The Self-Employment Income Support Scheme will be extended, in the form of two grants, each available for three month periods. Eligible self employed people will now receive 80 per cent of their average trading profits for November 2020. This increase, alongside the 40 per cent level of trading profits available for December and January, means the first grant, covering 1 November 2020 to 31 January 2021, will provide a total of 55 per cent of trading profits, paid out in a single instalment, capped at £5,160 in total. Payments will also be made more quickly, with the application window now opening on 30 November, rather than 14 December as previously stated. The second grant will cover a three-month period from 1 February 2021 until 30 April 2021 and the level of this second grant will be reviewed by government and confirmed in due course.
Grants available for closed businesses
Businesses required to close due to local or national restrictions will be eligible for the following grants:
- Properties with a rateable value of £15k or under, could be eligible for grants of £1,334 per month, or £667 per two weeks.
- Properties with a rateable value of between £15k-£51k could be eligible for grants of £2,000 per month, or £1,000 per two weeks.
- Properties with a rateable value of £51k or over grants could be eligible for grants of £3,000 per month, or £1,500 per two weeks.
Details of how to apply for these grants will be available on our website soon.
Help for smaller businesses
The government is extending the Bounce Back Loan Scheme, to help smaller businesses access finances more quickly. The scheme has been extended until 31 January 2021 and helps small and medium-sized businesses borrow between £2,000 and up to 25% of their turnover, with the maximum loan available at £50,000.
Job Support Scheme postponed
The Job Support Scheme, which was due to launch on 1 November, will now not be introduced until after Coronavirus Job Retention Scheme ends