The Job Help Scheme adjustments what it means on your firm
Originally written by Timothy Adler about small business
Chancellor Rishi Sunak has changed the more generous job support program, offering grants to companies in tier 2 regions whose business is restricted due to Covid restrictions, and doubling help for the self-employed.
Mr Sunak this morning announced the announcement of changes to the job support program, grants for restricted businesses in Tier 2 and increased support for the self-employed in the House of Commons to respond to the worsening Covid pandemic.
Changes to the Job Support Scheme
- The Job Support Scheme has been made more generous, as employers only contribute 5 percent of the labor costs for employees on non-working days. And instead of working at least half of the usual working hours, employees only have to work 20 percent of the minimum hours, so those who only work one day a week are eligible
- The Self-Employed Income Support (SEISS) scheme will be more generous, with the government covering an average of 40 percent of lost profits compared to the current 20 percent, meaning the maximum grant will be increased from £ 1,875 to £ 3,750
- Any Tier 2 company whose business is restricted, such as B. Hospitality, Housing and Leisure, can now apply for a monthly grant of £ 2,100 postponed to August. This is 70 percent of the £ 3,000 grant available for deals closed at the top level 3. With hospitality, leisure and tourism business grants postponing until August, businesses with restrictions can claim up to £ 4,200 as of today.
Tier 2 means that only households can meet indoors for a drink or meal, outdoor gatherings are limited to six, and businesses must close at 10 p.m.
Mr. Sunak said he spoke to hospitality executives and “the impact is worse than hoped as customer demand has plummeted.”
This is the fourth time in so many months that the Chancellor has had to revise his Covid Business Support package.
“I do not apologize for reacting to changing circumstances,” said Sunak. “A regionally graduated approach to Covid restrictions is the right one.”
However, Mike Cherry of the Federation of Small Businesses said that today’s announcement did nothing to help the company’s directors and the new self-employed, both of whom are still excluded from support.
Cherry said the company’s directors and those who recently became self-employed “are now facing a significant trade crisis caused by these new restrictions and in many cases having no business at all”.
Shakespeare Martineau’s labor attorney Rhys Wyborn commented on the new measures: “The Chancellor may have just saved Christmas for companies large and small with open but difficult terms.”
However, Musab Hemsi, a partner at LexLeyton, said there was only a week left to go live with a “sad lack of clarity and guidance” regarding changes to the Job Support Scheme.
Hemsi said, “The government urgently needs to publish flexible and clear guidelines on the Job Support Scheme to give businesses much-needed security at this crucial time.”
Job Support Scheme, what it means for your small business
The Job Support Scheme changes what it means for your company