Coronavirus – Further Support for Self-Employed, Workers and Businesses
Further Support for Self-Employed, Workers and Businesses
Chancellor Rishi Sunak announced an unprecedented combination of measures to support workers, the self-employed and businesses at 5pm on Friday 20th March 2020.
Coronavirus Job Retention Scheme Grant
Employers will be able contact HMRC for a grant which will cover 80% of the salary of retained workers of up to £2,500 per person per month
This can be back dated to wages dated from 1st March 2020
The grant is initially open for three months and will be extended for longer if necessary
Any employer is eligible for the grant regardless of size
There is no limit to the funding
The first grants are to be paid within weeks, hopefully by 1st April 2020
Employers can top up the salaries to 100%, if they choose to.
Business Loan Interruption Scheme
Available from Monday 23rd March 2020
Interest free for 12 months (as the Government will pay it)
VAT liability deferred for the next quarter, from now until the end of June 2020.
Businesses will have until the end of the financial year to repay the VAT bills
Support for the Self-Employed (e.g. Sole Traders)
Suspension of the ‘minimum income floor’ which means the self-employed can now access Universal Credit in full, equivalent to SSP for employees. Apply here for Universal Credit https://www.gov.uk/universal-credit
Apply for ESA here https://www.gov.uk/employment-support-allowance/how-to-claim
The next Self-Assessment payments (due by 31st July 2020) will be deferred until January 2021.
SSP for Employees and Directors (of Limited Companies)
SSP refund will cover up to 2 weeks’ SSP per eligible employee or director (Directors are employees of Limited Companies) who have been off work because of COVID-19
The Government will confirm shortly how soon the refund will be available.
Universal Credit to be increased by £1,000 per annum
Working tax credit to be increased by £1,000 per annum
Housing benefit allowance will cover 30% of market rents in your area