The Prime Minister and Chancellor have just set out government economic measures to help support our businesses and our economy through the Coronavirus pandemic.
This is an unprecedented package of measures outlined below:
BUSINESS CONTINUITY:
The Chancellor will make available £330bn of Government guaranteed business continuity loans – equivalent to 15% of our GDP
FOR SMEs:
The Business Interruption Loan Scheme announced at the Budget will be extended, allowing loans of up to £5m with no interest for the first six months.
SHOPS, PUBS, RESTAURANTS, ETC:
ALL businesses in the retail, leisure, and hospitality sectors will pay ZERO business rates for 12 months - every single shop, pub, theatre, music venue, restaurant, and any other business in the retail, hospitality or leisure sectors.
Provide small businesses in these sectors with an additional grant scheme of up to £25,000. Any business with a rateable value of less than £51,000 can now get access to a government grant.
For businesses that DO have pandemic cover within their insurance, the Government has said categorically that they will be eligible to make claims against their insurance for Coronavirus
SMALL BUSINESSES:
For the smallest businesses in any sector who are already business rates exempt, the Chancellor announced grants of £3k at the Budget. This will be extended, providing grants of £10k.
HOMEOWNERS:
Mortgage lenders to offer a 3-month mortgage payment holiday
THESE NEW SCHEMES WILL BE IN PLACE BY THE START OF NEXT WEEK AT THE LATEST
Any business who needs access to cash will be able to access a government-backed loan, on attractive terms.
If demand is greater than the initial £330bn being made available, the Treasury will go further and provide as much capacity as required.
The Chancellor will go much further to support people’s financial security. In particular, working with trade unions and businesses to urgently develop new forms of employment support to help protect people’s jobs and incomes through this period.
