As you will all be aware we are in unprecedented times of recent due to the outbreak and spreading of the Coronavirus (COVID-19). We will do all we can to ensure you as a business can get through these tough times. In light of this and the government's response we write to set out the current funding & support offered by the Government.
The Government have announced the following support packages as a result:
-For employers, statutory sick pay fully recoverable from HMRC for the first 2 weeks where any employee is off sick/self isolating due to COVID-19.
No need for a sick note from the employee from the doctor!
- In addition, the Employment Allowance for Employers previously set at £3,000 is to rise to £4,000 as of 6 April 2020.
- For all businesses there will be Government backed loans for ANY business affected by COVID-19 to cover costs such as Rent, Stock, Salary & Supplier Costs. Loans of up £5 million with no interest for the first 6 to 12 months. Available from high street banks and Bank of Wales!
- Non Repayable Cash Grants typically of up to £10,000 (and for Leisure, Hospitality & Retail Sector up to £25,000) to assist in Cash flow to again cover fixed costs such as rent, staff costs and overheads. At present local government is paying these out based on businesses that are registered for Business Rates (even if you don’t pay business rates as a result of Small Business Rates Relief).
- Businesses not registered for Rates in Wales should, once the scheme is opened have access to further Grants even if not owning or renting business premises.
- ALL businesses in Leisure, Hospitality & Retail Sectors to pay no Business Rates for 12 months.
- Interest Rates cut to 0.10%.
- Easier access to support for those Self Employed & in the 'gig' economy to Employment Support Allowance and Universal Credits by online claims, phone claims and instant approval as well as advanced payments to you for Universal Credit.
- Self Employed who will have lost profits as a result of COVID-19 can now claim 80% of their averaged profits over the last 3 years as support from the Government. The scheme has not as yet been released but will be by end of April 2020 to the beginning of May 2020 and payouts expected in early June 2020 or sooner. Such claims are taxable grants and will be backdated to when first affected. Self employed will be able to take paid employment jobs and still be able to receive this grant!
- Deferred Tax payment scheme via HMRC's 'time to pay' scheme assisting those with delaying Personal Tax Payments on Account that are due on 31 July 2020.
- VAT Payments due between now and 30 June 2020 can be deferred to assist with cash flow and will not need to be paid until 31 March 2021. You MUST still file your VAT return on time though!
- A 3 month Mortgage payment holiday to assist those with reduced income as a result of COVID-19.
- In Carmarthenshire there is also a support Grant of up to £3,000 (restricted to £3,000 or x3 month’s rent) to assist with commercial rent payments for business struggling to pay their rent due to COVID-19. Please check your local Council website as am sure others will have or will be releasing similar Grants shortly.
- Wages support for Employers to keep people in jobs for ALL employees who qualify. Each employee must in effect be ‘Furloughed’, must not work for that employer once furloughed and will get 80% of their average Salary. Applies to all employees included on the PAYE system as of 28 February 2020 even if part time or on zero hour contracts. The scheme for applications is due to be released 2nd week of April 2020 with claims being paid out shortly thereafter. Employees ARE allowed to have paid jobs elsewhere but must not do any work for the Employer whom has furloughed them.
- Tenants – guaranteed no evictions over the next 3 months where you are unable to pay your rent to private landlords as a result of loss of income due to COVID-19.
- COVID-19 classified as a ‘Notifiable Disease’ which means some businesses will be able to claim on their Insurance policies under ‘Business Interruption’.
PLEASE NOTE THERE WILL BE FURTHER ANNOUNCEMENTS MADE IN THE COMING DAYS FOR ADDITIONAL SUPPORT - IN ORDER FOR US TO KEEP YOU UPDATED IN A MORE TIMELY MANNER WE CAN ADD YOU TO OUR WHATSAPP GROUP SO PLEASE IF YOU WISH TO BE KEPT UPDATED PLEASE CALL OR TEXT SIMON ON 07540 364096 WITH YOUR MOBILE NUMBER AND CONFIRMATION THAT YOU WISH TO BE ADDED TO OUR WHATSAPP GROUP (If unsure please call us anyway and we can assist)!
Stay safe all........
Information supplied by Bro Simon Jeremy - Senior Warden, St Peter's Lodge
Simon Jeremy - Director
Telephone: 01267 236637
Mobile: 07540 364096