Updated: Aug 5
So, we have news of new business support packages being made available on the back of yesterday's announcement.
Furlough - was supposed to die on Hallowe'en, but came back to life like Frankenstein's monster....What we know is that it has gone back to August levels - it's 80% of the wages paid up to £2,500, but unlike Furlough scheme version 1, the employer bears the cost of Employers' NIC and pension. As before, employers pay the wages and claim back the furlough grant at the end of the month.
Flexible (part time) furloughing will continue, and directors will continue to be able to be inside the scheme.
Importantly, the November furlough scheme can be used by businesses and for employees who have not previously taken advantage of furlough as well as those that have. Employees affected must have been on a payroll return to HMRC by 31st October.
Given that businesses open in recent months will be forced to close (eg pubs, restaurants, hairdressers), we're expecting more furlough claims now than we've seen of late.
The Job Support Scheme - which was supposed to start today as a furlough replacement - has been postponed until December
Business Grants -
Businesses required to close in England due to local or national restrictions will be eligible for the following:
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.
Reading the guidance on this, it seems that it is aimed at the business required to close - eg hairdressers, hospitality - not the business that has to close its office and work from home. These grants will be administered by the local authority to whom rates are paid.
Self Employed - The SEISS scheme announced a couple of weeks ago is unchanged. The third grant is designed to cover November - January and is based on 40% of average monthly trading profits up to £3,750. No word yet on whether the 40% will be taken up to 80% to mirror furlough
I'm sure things will develop.
I could use many words to describe being a Chartered Accountant at times like this. However, remaining positive, had I made an alternative, but entirely possible, career choice I could now be living in a bubble with a former Labour Home Secretary. So that's a definite positive.
Which leads me on very neatly to the second positive of the day, Strictly's back on TV to cheer us all up (or something like that)
Stay safe, stay positive.
Does anyone remember these things in a place called, if memory serves me right, London. There were Black Taxis there, they were good at U turns.
Not sure why one has sprung to mind just now