The government have announced a substantial package of financial assistance to help SMEs survive COVID-19. These circumstances are changing rapidly, and further measures are expected, but at the time of writing the following assistance is available.
Statutory Sick Pay (SSP)
Small and medium sized businesses employing less than 250 employees will be entitled to reclaim up to 2 weeks SSP per eligible employee paid for sickness absence after 13/03/20 due to COVID-19. Records of staff absences and payments of SSP must be kept but a doctor’s note will not be necessary.
Business Rates
- All businesses in the retail, hospitality or leisure sectors will be entitled to 100% Business Rates retail discount for the 2020/21 tax year.
- Properties below £51,000 rateable value will be provided with a cash grant of up to £25,000 per business to help support cashflow and fixed costs.
- Relief will be expanded to leisure and hospitality sectors.
Further information on eligibility will be available from your local council after 20/03/20, when the guidance for local authorities will be published.
Small Business Rate Relief (SBRR) One-Off Grant
If your business is eligible for SBBR or Rural Business Rate Relief you will be given a one-off grant of £10,000 to help meet on-going costs. You do not need to apply but will instead be contacted by your local authority. It is anticipated that the grants will be issued from late-April onwards.
Coronavirus Business Interruption Loan Scheme (CBILS)
Delivered by the British Business Bank, the scheme is intended to support UK based SMEs in an eligible sector to access bank lending and overdrafts. The SME must have a sound proposal but cannot meet normal borrowing criteria. Loans of up to £5m will be available with no interest payable for 6 months. Further details are available at https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-scheme-cbils/
Support from HMRC
A dedicated COVID-19 helpline is available on 0800 0159 559 to enable businesses concerned about paying their tax due to coronavirus to get practical help and advice. HMRC will discuss specific circumstances which could include agreeing instalment arrangements, suspending debt collection and cancelling penalties and interest.
You can keep up to date with the latest guidance – https://www.gov.uk/government/latest?topical_events%5B%5D=coronavirus-covid-19-uk-government-response
If you have any queries in respect of this article please do not hesitate to contact us