Financial Scheme information
This is an unprecedented time for all large businesses across Somerset. To mitigate the financial hardships caused by Coronavirus (Covid 19), the government have created tailored financial support packages. Details of these can be found below.
The government has also launched a Business Coronavirus Support Finder to quickly help businesses determine what financial support is available for themselves or their business.
Coronavirus Large Business Interruption Loan Scheme
This scheme will help large businesses affected by coronavirus (COVID-19) to access loans of up to £25 million. It’s available for viable companies with a turnover of more than £45m, including those which take in more than £500m. Find out more about this scheme here
Covid (Coronavirus) Corporate Financing Facility
Large companies based in the UK, or that have their headquarters here, and employ or provide goods or services to people in the country, whose annual turnover is more than £45m, could be entitled to the Bank of England’s new Covid Corporate Financing Facility. The finance facility can be for any period between one week and 12 months. You can find out more about how the scheme will work and how to apply here.
Businesses who deferred VAT due from 20 March to 30 June 2020 will now have the option to pay in smaller payments over a longer period. You can find out more here.
Coronavirus Job Retention Scheme
Under the Coronavirus Job Retention Scheme, all UK employers with a PAYE scheme will be able to access support to continue paying part of their employees’ salary for those that would otherwise have been laid off during this crisis. This applies to employees who have been asked to stop working, but who are being kept on the pay roll. HMRC will reimburse 80% of their wages, up to £2,500 per month.
Extension of furlough and loan schemes – The furlough scheme has been extended until the end of April 2021 with the government continuing to contribute 80% towards wages.
Claims for furlough days in December 2020 must be made by 14 January 2021.You can no longer submit claims for claim periods ending on or before 31 October 2020.
Apprentices can be furloughed in the same way as other employees and continue to train. They must be paid at least the Apprenticeship Minimum Wage, National Living Wage or National Minimum Wage as appropriate, for all of the time spent training, even if this is more than 80% of normal wages. You can find out more here
Time to Pay
Businesses in financial distress, and with outstanding tax liabilities, may be eligible to receive support with their tax affairs through HMRC’s Time To Pay service. Arrangements are agreed on a case-by-case basis and tailored to individual circumstances and liabilities. You can find out more here.
Information and assistance
Free information, support and advice for those needing help during Coronavirus can be obtained from:
The Heart of the South West Growth Hub
You can also find free support, advice and information on sources of finance, along with assistance on working from home through your local Heart of the South West Growth Hub.
GOV.UK Business Support
Get coronavirus (COVID-19) support for your business or if you’re self-employed, and find out how to keep your business and your employees safe on the GOV.UK Business Support website
HMRC Covid Helpline
HMRC have additional helplines, including one set up to support businesses concerned about not being able to pay their tax due to coronavirus on 0800 0159 559. You can find more details about contacting HMRC online.
The charity Mind provide advice on how to support your mental wellbeing during this difficult period. The Mind website includes practical advice on coping with staying at home and updates on how the new coronavirus laws could affect your rights. There is also useful information for any young person who is currently struggling.
Contact the debt charity Step Change to get expert debt advice and fee-free debt management to help you tackle your debts.
You can find out more on their website or phone 0800 138 1111