There is Support for You
Who would have thought just a month ago, we would be where we are now? We didn’t expect to be locked indoors with many businesses’ unable to trade. With businesses that have taken years to build at risk, the government has stepped in and offered many potential ways of supporting you through this period of uncertainty. No matter what size or industry, there is support for you. This article will briefly outline some readily available help for local businesses but it’s up to you take the next step and take advantage.
Job Retention Scheme
Rishi Sunak launched one of the most proactive steps in securing employment in UK with this scheme. With employees that are unable to work, employers have been given the opportunity to “furlough” and claim 80% back from the government each month (capped at £2,500 per employee). This scheme is an incentive to stay loyal to employees, ensure they are still paid, mitigate the potential rise in unemployment and safeguard employees. More info for that here – Job Retention Scheme.
VAT Payment Deferrals
If you are a UK VAT registered business and have a payment due between 20th March and 30th June 2020, you can defer the payment until a later date if you wish. This is great as it means, you won’t be penalised for clients paying slower. It also means, if you have been prudent and put money away, you can utilise that for the Job Retention Scheme until the government grants come in. You do not need to tell HMRC that you are deferring but check here for more info – VAT deferral.
Business Rates Holidays & Cash Grants
If you are in the retail, hospitality or leisure industry, you are in a for some luck as there will be business rate holidays for 2020 to 2021 tax year. You do not even need to do anything. Your local authority should contact you and re-issue you with a new bill.
There are also cash grants available for businesses in these sectors. It is tiered depending on the rateable value of your property but you could be entitled to a grant of £25,000. As long as you are based in England, in retail, hospitality or leisure and have a rateable value of under £51,000 then you are eligible. Check here for more info – Cash Grants.
Conclusion
It’s tough out there for everyone; the elderly, children away from school, employers, employees and key workers on the frontline. The government are doing everything they can to support though. We need to be united and forward thinking, taking advantage of any and every scheme available to ensure we have businesses’ when this is over. This article has looked just a few schemes available, there are others available to so be sure to check out the government website.