We know a lot of you are desperate for some financial support so we are hoping that many of you will be able to access something from the governments new support package.
Information is still coming out so it’s a bit light on detail, but hopefully it is enough to help you make initial enquires.
Although they have listed specific businesses, they have stated that the decision of who to give the support to has been pushed down to the local councils. If you can put forward a case as to how you have been impacted – if you work in the events sector for example, then they can still offer funds to you. It is worth putting your case forward if you are struggling.
Businesses in Retail, Hospitality and Leisure can receive one off top up grant of up to 9K. The grant is provided on a per property basis.
The one-off top-ups will be granted to closed businesses as follows:
- £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
- £9,000 for businesses with a rateable value of over £51,000
- Any business which is legally required to close, and which cannot operate effectively remotely, is eligible for a grant of up to 3K
You can apply to any of these grants by visiting your local councils’ website.
Each council may have a different process.
This scheme runs until April initially and will be reviewed in January
On top of this the Government has again tried to assist with payment deadlines to reduce the cash pressures on business.
VAT deferral
If you’re a UK VAT registered business and had a VAT payment due between 20 March 2020 and 30 June 2020, you can defer payment until 31 March 2021.
https://www.gov.uk/guidance/deferral-of-vat-payments-due-to-coronavirus-covid-19
Statutory Sick Pay rebate
You can reclaim Statutory Sick Pay you’ve paid for employees who are off sick, self-isolating or shielding because of coronavirus. This scheme will cover up to 2 weeks of SSP for every eligible employee.
You’re eligible if both of the following apply to your business:
- it’s based in the UK
- it has had fewer than 250 employees since 28 February 2020
Coronavirus Business Interruption Loan Scheme
You can get loans and other kinds of finance of up to £5 million for small or medium-sized enterprises or if you’re self-employed.
You’re eligible for this scheme if both the following apply to your business:
- it’s based in the UK
- it has a turnover of £45 million or less per year
You also need to show your business:
- would be considered viable by a lender, if not for the current pandemic
- has been negatively affected by coronavirus
The scheme is open until 31 January 2021.
https://www.gov.uk/guidance/apply-for-the-coronavirus-business-interruption-loan-scheme
Coronavirus Bounce Back Loan
You might be able to borrow between £2,000 and £50,000 for a small or medium-sized enterprise, or if you’re self employed.
The government will guarantee 100% of the loan and for the first 12 months you will not have to pay any fees or interest, or make repayments. If you already have a Bounce Back Loan but borrowed less than you were entitled to, you can top up your existing loan to your maximum amount. You must apply for the top-up by 31 January 2021.
You’re eligible for this scheme if your business:
- is based in the UK
- was established before 1 March 2020
- has been negatively affected by coronavirus
- The scheme is open until 31 January 2021.
https://www.gov.uk/guidance/apply-for-a-coronavirus-bounce-back-loan
Support for businesses paying tax: Time To Pay Service
If you cannot pay your tax bill on time because of coronavirus, you may be able to delay it without penalty using HMRC’s Time to Pay service.
You might be eligible if your UK business:
- pays tax to the UK government
- has outstanding tax liabilities
https://www.gov.uk/difficulties-paying-hmrc
Grants available from your local council
You might be eligible for grants from your council. There are schemes for businesses that were closed by law and schemes for businesses that stayed open.
Local Restrictions Support Grant (Open)
You might be able to get a grant from your local council if your business stayed open between 1 August and 5 November 2020 in a ‘high’ (tier 2) or ‘very high’ (tier 3) local alert level. Check with your council if you do not know what alert level your area was in. You’ll need to demonstrate to the council that your business was negatively affected by coronavirus.
How much you get is decided by your council and will be based on the rateable value of your property.
Additional Restrictions Grant
You might be able to get this grant from your local council if your business has been negatively affected by coronavirus. Your local council will decide which businesses are eligible and how much they are entitled to.
Examples of what makes a business eligible could include:
- you do not pay business rates and your business was closed by law
- you supply an industry that had to close because of coronavirus, for example the retail, hospitality or leisure sector
- your business is in the events sector
Furlough
and of course the Furlough for employees is still running until the end of April 2021
https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme
Self employed grant
and the self employed grants are also extended.
https://www.gov.uk/guidance/claim-a-grant-through-the-self-employment-income-support-scheme
In most cases you can apply for more than one type of support. Follow the questionnaire to find what could apply to your circumstances
https://www.gov.uk/business-coronavirus-support-finder
Stay up to date – get the latest up dates on support from HMRC direct
https://www.gov.uk/email-signup/?topic=/coronavirus-taxon/funding-and-support
If you would like any further information on these grants and how these apply to yourself or business. Then please get in touch with a member of the WardWilliam’s Creative team and we will be able to assist.
