Coronavirus business support changes announced yesterday 22nd October 2020

 

If your business has to close and you live in a tier 3 area:

  • Workers will be paid up to 67% of their wages (up to £2,100 per month) through JSS
  • To be eligible you must be off work for min 7 days
  • Your employer doesn’t have to pay towards your wages

If you are still open and only have enough work for employees to be part time:

  • Staff must be paid by their employer to work a min of 20% of their hours per month
  • Employer must pay an extra 5% of total wages to cover some of the hours not worked
  • The government will pay 62% for hours not worked
  • Overall, 73% of salary to a maximum of £1,541.75
  • Must be on payroll as at 23rd September
  • Each arrangement must cover at least 7 days
  • Cannot be made redundant or given notice until JSS estops being claimed
  • Scheme will run from 1 November for 6 months then reviewed

 

Self-employed grant doubled to 40% of profits to a maximum of £3,750 over 3 months.

  • A first taxable grant at the start of November will cover 40% of average monthly trading profits, with a limit of £3,750 in total. It will be paid out in a single instalment covering three months’ worth of profits.
  • The second grant, with the same terms, will cover a three-month period from the start of February 2021 until the end of April.
  • HMRC will use existing information to identify those eligible and invited applications
  • The application requires them to confirm that they meet the eligibility requirements
  • It will be paid straight into a bank account, which eligible taxpayers will need to confirm on their application form
  • HMRC should have directly contacted those eligible

 

Additional Support for businesses

Tier 3 businesses qualify for a grant of up to £3,000 a month

Hospitality, accommodation and leisure firms in tier 2 and 3 areas will be eligible for a backdated grant of £2,100 per month

£1,000 for every furlough employee kept on until at least end of January

£1,500 for every out of work 16-24-year-old given a high quality 6 month work placement

£2,000 for every under 25’s apprentice taken on until end of January or £1,500 for over 25’s

 

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