UK GOVERNMENT RESPONSE TO COVID-19: SUPPORT FOR BUSINESS

Published on: 17/03/2020

The Greater Lincolnshire LEP is committed to bringing you the most relevant and important information direct from Government and supporting our business community.

Public safety is the Government’s top priority to the COVID-19 outbreak. The Government recognises that people will be concerned about the effect it will have on their businesses and employment and about reduced demand and potential disruptions to supply chains, export markets and their workforce during this unprecedented period.

The Chancellor announced in the Budget a £12 billion plan to provide support for public services, individuals and businesses whose finances are affected by COVID-19.

With the rapid pace of change, this figure is already considered to be insufficient. In response to the situation, the Greater Lincolnshire LEP are implementing a single contact point to collate business intelligence and to assist us in feeding the needs of our business community into Government as a consolidated and impactful evidence base with a single, united voice. 

Please email any comments and concerns you have to greaterlincslep@lincolnshire.gov.uk.

The Government is also calling for any businesses currently making or able to switch production to ventilators to please call the BEIS Business Support helpline on 0300 456 3565 where a specific team is in place from 17th March 2020.

Latest announcements

The Government will support businesses that experience increased costs or disruptions to their cashflow. There will be a £3,000 cash grant to 700,000 of our smallest businesses, delivered by local authorities, together worth a total of £2 billion. Government will increase the Business Rates retail discount in England to 100% for the 2020 to 2021 tax year for properties below £51,000 rateable value.

The relief will also be expanded to the leisure and hospitality sectors in response to COVID-19.

A new temporary Coronavirus Business Interruption Loan Scheme, delivered by the British Business Bank, will also launch in a matter of weeks to support businesses to access bank lending and overdrafts. The Government will provide lenders with a guarantee of 80% on each loan (subject to a per-lender cap on claims) to give lenders further confidence in continuing to provide finance to SMEs. The Government will not charge businesses or banks for this guarantee, and the scheme will support loans of up to £1.2 million in value. This new guarantee will initially support up to £1 billion of lending on top of current support offered through the British Business Bank.

Statutory Sick Pay (SSP) will be extended for those advised to self-isolate and for those caring for others who self-isolate, and there will be support through the welfare system for those who cannot claim SSP, as well as a hardship fund

The Local Economies Contingency Team is working at speed to action the announcement in the Budget that the Government would provide £3,000 cash support to all businesses in receipt of Small Business Rates Relief in recognition of pressures they will face as a result of COVID-19.

For more information visit: https://www.gov.uk/government/publications/support-for-those-affected-by-covid-19/support-for-those-affected-by-covid-19.

 

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