New Covid support measures - October 2020

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Daniel McAllister | 22nd October 2020

New Covid support measures - October 2020

The Chancellor Rishi Sunak today announced a new raft of measures to help businesses affected by coronavirus in Tier 2 lockdown. Whilst we await full details of these, the headlines were as follows:

Grants

A new grant scheme for hospitality, leisure and accommodation businesses impacted by Tier 2 restrictions even if not closed.

Direct grant will be up to £2,100 for every month in Tier 2 restrictions and will apply retrospectively for periods from August.

As for the previous scheme eligibility criteria will be determined by local councils so grant applications will be made directly to them online.

Job Support Scheme

Job Support scheme is to be made more generous.

If businesses are legally required to close the government will fund the full cost of two-thirds of salary.

If businesses can open it has been made easier to keep staff on, with required hours worked reduced from 33% to 20%. Employer contribution will reduce from 33% to 5% of hours not worked with government paying 62%.

 Scheme will be for businesses in all tiers

Self Employed Income Support Scheme

Self-employed income support doubled from 20% to 40% meaning maximum grant will increase from £1,875 to £3,750 for those who have stopped trading or had a significant fall in trade.

 

Once full details of how these new measures will work have been published, we will let you know more.

To see all our updates on Coronavirus click here

To go to the government website on business support click here