Please find below a number of important new initiatives launched by Government to support a wider swathe of businesses in the UK and also a number of key updates to existing schemes.
New Corporate Insolvency and Governance Act open for applications to rescue businesses in financial distress due to Coronavirus
At the link below you will find detailed information on how to apply for breathing space to consider a rescue plan for your company, under measures to support companies and other types of business in financial difficulty.
Detailed new guidance released on increased flexibility to the Coronavirus Job Retention (Furlough) Scheme, how to administer it and how to claim for it
Employers now have the flexibility to bring furloughed employees back to work on a part time basis.
Individual firms will decide the hours and shift patterns their employees will work on their return, so that they can decide on the best approach for them – and will be responsible for paying their wages while in work.
Find out more information here
Find detailed new guidance here
Chancellor unveils three-point plan for jobs
On 8 July, Chancellor Rishi Sunak announced a three-point plan to support jobs in the wake of the COVID-19 pandemic when he delivered a Summer Economic Update to Parliament.
Watch the Chancellor setting out his plan for the next phase of critical business support
Stamp duty temporarily reduced
Chancellor Rishi Sunak announced a temporary cut in the rate of Stamp Duty Land Tax (SDLT) in order to boost confidence in the flagging housing market in his Summer Economic Update.
Government’s FutureFund opened up to more businesses
To date, more than 320 companies have benefitted from £320 million of Future Fund support. Under the scheme, early-stage, high-growth businesses from a diverse range of sectors can apply for a convertible loan of between £125,000 and £5m to help them through the Coronavirus outbreak.
Find out more information here
£200m package to help innovative businesses bounce back
The Sustainable Innovation Fund will help companies recovering from the impact of coronavirus (COVID-19) keep their cutting-edge projects and ideas alive.
Funding totalling almost £200 million could go towards developing new technologies focused on making homes and offices more energy efficient to cut bills, creating ground-breaking medical technologies to treat infections and diseases, or reducing the carbon footprint of public transport in our towns and cities.
Find out more information here
Updates to guidance and Coronavirus Job Retention Scheme
- New guidance issued on what to do if your have overclaimed
- New case study examples have been published for calculating an employee’s furlough payments if they take statutory adoption leave
- How to treat statutory payments received in the claim period
- A new YouTube video has been added about the Coronavirus Job Retention Scheme, including flexible furloughing
- Flexibly furloughed employees status unchanged when on holiday
HM Treasury extends tax cut to PPE costs
The temporary scrapping of VAT on PPE has been extended until the end of October – saving care homes and businesses dealing with the coronavirus outbreak £155 million, the government announced today.
Updated Guidance on PPE Expenses and Mandatory Provision
If your employees are working in a situation where the risk of coronavirus (COVID-19) transmission is very high, then you must provide PPE to your employees free of charge. If your employee requires PPE to carry out their role and you are unable to provide this, you must reimburse employees who purchase PPE themselves. Both are non-taxable and employees cannot claim tax relief on these expenses from HMRC.
Find out more information here
Paying employee taxes and pension contributions
Your employees will still pay the taxes they normally pay out of their wages. You must deduct income tax and National Insurance contributions on the full amount, including any scheme grant, that you pay the employee. You must pay the income tax and National Insurance contributions to HMRC and report the payments via a Full Payment Submission to HMRC on or before the pay date.
Find out more information here
Further important information:
