Coronavirus Business Grants and Support

The Government announced on 31 October 2020 additional support for businesses which are forced to close due to local or national restrictions.

For the period 5 November 2020 to 2 December 2020 the following businesses and venues are required to close in England:

  • All non-essential retail, including, but not limited to clothing and electronics stores, vehicle showrooms, travel agents, betting shops, auction houses, tailors, car washes, tobacco and vape shops.
  • Indoor and outdoor leisure facilities such as bowling alleys, leisure centres and gyms, sports facilities including swimming pools, golf courses and driving ranges, dance studios, stables and riding centres, soft play facilities, climbing walls and climbing centres, archery and shooting ranges, water and theme parks.
  • Entertainment venues such as theatres, concert halls, cinemas, museums and galleries, casinos, adult gaming centres and arcades, bingo halls, bowling alleys, concert halls, zoos and other animal attractions, botanical gardens.
  • Personal care facilities such as hair, beauty and nail salons, tattoo parlours, spas, massage parlours, body and skin piercing services, non-medical acupuncture, and tanning salons.

Business Grants

Businesses required to close in England due to restrictions will be eligible for the following grants:

  • For properties with a rateable value of £15k or under, grants to be £1,334 per month, or £667 per two weeks;
  • For properties with a rateable value of between £15k-£51k grants to be £2,000 per month, or £1,000 per two weeks;
  • For properties with a rateable value of £51k or over grants to be £3,000 per month, or £1,500 per two weeks.

Tax payment support

VAT

The VAT cut for tourism and hospitality industries to 5% will be extended from January 2021 to 31 March 2021.

In addition, businesses who deferred their VAT liabilities which were due by 31 March 2021 will be able to pay this in 11 smaller interest free installments. This will have a significant impact on the cash flow of small and medium businesses.

PAYE and Corporation Tax

There are no changes to the due dates for PAYE and Corporation Tax. Interest is currently being charged by HM Revenue & Customs (HMRC) for late payment. However HMRC have indicated they will work with businesses regarding the payment of tax using payment plans.

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