Financial support for Lockdown 3.0

Another lockdown can mean more worrying times ahead for many business owners. Unlike the first lockdown, a variety of businesses are able to keep their doors open. However, the volume of business for the majority will still be affected.

So, what are the latest grants and loans available?

Well, Chancellor Rishi Sunak announced a further £4.6 billion in grants to the retail, hospitality and leisure sectors. This is by far the worst hit sector throughout the pandemic. This new round of support follows extensions to the job retention and loan schemes revealed on 17th December 2020.

The new grants in England will be:

  • £4,000 for businesses with a rateable value of £15,000 or under;
  • £6,000 for businesses with a rateable value between £15,000 and £51,000; and
  • £9,000 for businesses with a rateable value of over £51,000.

The below schemes are still available but some with changes since there first launch:

Coronavirus Job Retention Scheme (CJRS)

On 17th December 2020 the Chancellor announced a further one-month extension of financial support under the Coronavirus Job Retention Scheme (CJRS) to the end of April 2021. As currently, the government will pay 80% of the salary of employees for hours not worked up to a maximum of £2,500. Employers will only be required to pay wages, National Insurance Contributions (NICs) and pensions for hours worked; and NICs and pensions for hours not worked.

Self-Employed Income Support Scheme (SEISS)

No changes were announced for this scheme alongside the CJRS extension, as the SEISS already runs through to the end of April 2021.

Loan schemes

Loan schemes that we have mentioned in previous blogs such as the Bounce Back Loan Scheme (BBLS), Coronavirus Business Interruption Loan Scheme (CBILS), and the Coronavirus Large Business Interruption Loan Scheme (CLBILS) have been extended until the end of March 2021.

All of the above are there to be taken advantage of during this unsettling time. We understand the application process can feel daunting which is why we are here to offer a helping hand.

For further guidance and support please contact one of our trusted advisors:

Phone – 01284 770427 | Email – accounts@abbeygateaccountancy.co.uk

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