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  • Catherine Stork

Latest Statement and Update From Rishi Sunak

Rishi Sunak has set out new measures to help workers and businesses hit by new coronavirus restrictions. Here is a summary of the main points.



Job Support Scheme

  • Under the scheme, the government will subsidise the pay of employees who are working fewer than normal hours due to lower demand

  • Workers must do at least a third of their normal hours

  • Employers will pay staff for the hours they work

  • The government and the employer will pay a third each for the hours they can't work

  • It means someone working a third of their hours would receive 77% of their pay

  • The grant will be capped at £697.92 per month

  • All small and medium sized businesses will be eligible for the scheme

  • Larger business will be eligible if their turnover has fallen during the crisis

  • It will be open to employers across the UK even if they have not previously used the furlough scheme

  • The scheme will run for six months starting in November and replaces the "furlough" scheme

  • It means the government will pay a maximum of 22% of someone's wages, down from 80% at the start of the furlough policy


Support for the self-employed

  • The chancellor is extending the self-employed grant on similar terms to the Job Support Scheme

  • A grant will be available to those eligible for the Self Employment Income Support Scheme Grant

  • The grant will cover three months' worth of profits for the period from November to the end of January

  • It will cover 20% of average monthly profits up to a total of £1,875

  • A further grant may be available to the self-employed to cover February 2021 to the end of April, depending on circumstances


Further points


  • Bounce back loans will be extended from 6 years to 10

  • CBIL loans will also be able to be extended up to 10 years

  • The deadline for applying for the loans will be extended to the end of November

  • The 15% emergency VAT cut for the tourism and hospitality industries will be extended from January 2021 to 31 March

  • Businesses who deferred their VAT bills will be able to pay back their taxes in 11 smaller interest-free instalments

  • Self-assessment income taxpayers who need to will be given more time to pay


For more information and advice, get in touch with Catherine today. Give her a call on 01423 431889 or email catherine@bctaccountants.co.uk.

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