Health and wellbeing Government’s Winter Economy Plan

The Government has announced a Winter economy plan to provide extra support for businesses and workers in winter due to Coronavirus.

  • The new Job Support Scheme will be introduced for six months from November 1 will support workers who are working for fewer hours than normal. Companies will continue to pay employees for the hours they work, while two thirds of the cost of hours not worked will be split between the employer and the government. 

  • The Self Employment Income Support Scheme Grant (SEISS) for people who are self-employed will be extended. Two grants, each covering a three month period, will be provided between November 2020 and April 2021.

  • The 15% VAT cut for the tourism and hospitality sectors is being extended until the end of March 2021. 

  • The VAT deferral ‘New Payment Scheme’ gives businesses that deferred their VAT bills the option to pay back in smaller instalments, rather than paying a full lump sum at the end of March 2021.

  • Self-assessment taxpayers will be able to benefit from a separate additional 12-month extension from HMRC on the “Time to Pay” self-service facility, meaning payments deferred from July 2020, and those due in January 2021, will now not need to be paid until January 2022.

  • Businesses that took out a Bounce Back Loan will have the option to use the new Pay as you Grow flexible repayment system to extend the length of the loan from six years to ten, cutting monthly repayments by nearly half. Interest-only periods of up to six months and payment holidays will also be available. Coronavirus Business Interruption Loan Scheme lenders will also be able to extend the length of loans from a maximum of six years to ten years.

  • The deadline for applications for the Coronavirus Business Interruption Loan Scheme, the Bounce Back Loan Scheme, and the Future Fund has been extended until the end of November.

You can find more information on the Winter Economy Plan on the Government’s webpage.

 

 

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