COVID-19 update – 26 November – Support available in the new tier system
With the tier system set to resume, here is a summary of the main support measures available to businesses to help you survive this winter.
Coronavirus Job Retention Scheme
- 80% of employees’ monthly salary covered for hours not worked up to a maximum of £2,500.
- Employers have the flexibility to use this scheme for any amount of time for their employees, furloughing on either a full-time or part-time basis.
- Employers have to cover NI and employer pension contributions but are not required to top-up the amount for hours not worked.
Self-Employment Income Support Scheme
- Extended with 2 more grants covering November 2020 – January 2021 and February 2021 – March 2021.
- The November – January grant will be calculated at 80% of 3 months average trading profits up to a maximum £7,500
Business Rates Relief
- Businesses in the retail, hospitality and leisure sectors in England will not have to pay business rates for the 2020 to 2021 tax year
National Lockdown Support
- Businesses forced to close can claim a monthly grant of up to £3,000.
- Nightclubs, dance halls and other entertainment venues can claim an additional grant of up to £1,500 for each 14-day period the business is closed.
Local Lockdown Support
- For each 14-day period, your business is forced to close you can claim up to £1,500.
- A monthly grant of up to £2,100 can be claimed by businesses that are not forced to close but have been severely impacted by the local restrictions.
- Businesses in the hospitality, leisure and accommodation sector can get these grants backdated.
Additional Restrictions Grant
- Available where additional funding is needed, but other grant schemes do not cover the business.
Coronavirus Business Interruption Loan Scheme
- Loans of up to £5m available until the end of January 2021 for businesses with an annual turnover of up to £45m
- 80% of the loan is guaranteed by the Government
- Any interest and fees in the first 12 months will be paid by the Government.
Coronavirus Large Business Interruption Loan Scheme
- Loans of up to £200m available until the end of January 2021 for businesses with an annual turnover of more than £45m
- 80% of the loan is guaranteed by the Government
Future Fund
- Convertible loans between £125,000 and £5m offered to innovative companies which are facing financing difficulties
- Available until the end of January 2021
Bounce Back Loan Scheme
- Loans are available until the end of January 2021 between £2,000 and £50,000 up to 25% of turnover.
- 100% guaranteed by the Government with no fees or interest for the first 12 months. 2.5% interest a year after 12 months.
- Top-ups can be applied for if you did not borrow the full amount initially
Kickstart Scheme Grant
- Funding to create jobs for 16-24-year-olds who are on Universal Credit and at risk of long-term unemployment.
- Covers 100% of the National Minimum Wage or National Living Wage for 25 hours per week for 6 months and NI contributions.
- Applications must be for a minimum of 30 job placements, but it is possible to access funding through an intermediary
Find out what support is available to you here