As restrictions are lifted and we are all looking at ‘getting back to business’ there is still a lot of support available for you and your business.
However, a number of Government schemes are due to close or have already closed; including the Coronavirus Large Business Interruption Loan Scheme (CLBILS), the Coronavirus Business Interruption Loan Scheme (CBILS) and Bounce Back Loan Scheme (BBLS) (all closed to new applicants).
The VAT deferral also ended last month (June 20, 2021).
Support still available
The Additional Restrictions Grant (ARG)
This grant supports businesses that are not covered by other grant schemes or where additional funding is needed.
Local councils have the freedom to determine the eligibility criteria for these grants.
However, the government expect the funding to help businesses that are severely impacted by the restrictions.
Local councils are encouraged to support:
- businesses from all sectors that may have been severely impacted by restrictions but are not eligible for the Restart Grant scheme, including those which do not pay business rates
- businesses from sectors that remain closed or severely impacted by the extended restrictions, even if those businesses have already been in receipt of Restart Grants. This may include the travel and tourism sector, wedding industries, nightclubs, theatres, events industries, wholesalers, English language schools, breweries, freelance and mobile businesses including caterers, events, hair, beauty and wedding related businesses
Check if you are eligible here.
The Recovery Loan Scheme
The Recovery Loan Scheme supports access to finance for UK businesses as they grow and recover from the disruption of the COVID-19 pandemic.
Up to £10 million is available per business, the actual amount offered, and the terms are at the discretion of participating lenders.
The government guarantees 80% of the finance to the lender.
As the borrower, you are always 100% liable for the debt.
The scheme is open until December 31, 2021, subject to review.
You can apply for a loan if your business:
- is trading in the UK
You need to show that your business:
- would be viable were it not for the pandemic
- has been adversely impacted by the pandemic
- is not in collective insolvency proceedings (unless your business is in scope of the Northern Ireland Protocol in which case different eligibility rules may apply)
For further information click here.
Important dates for your diary
- The Coronavirus Job Retention Scheme - from July 1, 2021, the government will pay 70% of wages up to a maximum cap of £2,187.50 for the hours the employee is on furlough.
Employers will top up employees’ wages to make sure they receive 80% of wages (up to £2,500) in total for the hours the employee is on furlough.
The caps are proportional to the hours not worked.
- Business rate relief for retail, hospitality and leisure reduced to two-thirds discount.
- The Coronavirus Job Retention Scheme – in August the government will pay 60% of wages up to a maximum cap of £1,875.
- The Coronavirus Job Retention Scheme ends on September 30, 2021.
- Hospitality VAT rate changes from 5% to 12.5% on September 30, 2021
- The Recovery Loan Scheme closes.
- Hospitality VAT rate changes to standard rate on March 31, 2022.
- Partial business rates relief for retail, hospitality and leisure ends.
Ellis & Co Chartered Accountants and Business Advisers, Chester & Wrexham - 01244 343504, email@example.com