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New Job Support Scheme

  • To be eligible, an employee must work at least 33% of their normal hours. For the other two thirds of the hours, the Government will pay a third and the employer will pay a third, so in total, an employee will receive 77% of the full pay (ie, the government will be paying 22.5% of wages)
  • The scheme will run from six months from 1st November
  • Large businesses will have to prove that they’ve been adversely affected by Covid to be eligible for the Job Support Scheme.
  • The scheme will be available to all businesses and all employees, regardless of whether they have been part of the CJRS in the past

Self-Employment

  • The Self Employment Scheme will be extended on similar terms, covering 20 % of average monthly trading profits via a government grant.

Coronavirus Business Interruption Loans 

  • The application deadline for all coronavirus loan schemes – including the future fund – has been extended to 30 November
  • Bounce back loans can be extended from 6 to 10 years under a Pay as You Grow scheme
  • Businesses also move to interest only payments or suspend payments if they are “in real trouble” for up to six months.
  • A new successor loan scheme will be launched in January

VAT

  • The reduction in VAT to 5% from accommodation, hospitality and attractions is being extended to the end of the financial year.
  • Businesses who deferred their VAT will no longer have to pay a lump sum at the end of March next year. They will have the option of splitting it into smaller, interest free payments over the course of 11 months

Here’s a link to the HM Treasury Announcement on the Support package which has a few more details:

https://www.gov.uk/government/news/chancellor-outlines-winter-economy-plan