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GOVERNMENT SUPPORT MEASURES "COVID-19" IMPORTANT INFORMATION

We have provided this note on the government support measures available during the Coronavirus crisis for your general information only. This note is not intended to be advice that you rely on and we would encourage you to obtain your own independent advice before making any decisions or taking action on the basis of this note. Please note that this situation in relation to government assistance is evolving constantly and although we will try to issue regular updates, we recommend that you make your own inquiries as to the up to date position before you make any decisions.


SUMMARY OF GOVERNMENT MEASURES AS AT 19TH MAY 2020

ASSISTANCE

TYPE

WHO CAN BENEFIT

WHAT NEEDS DOING

TIMEFRAME

Small Business Bounce Back Loans (BBLS) – new fast track finance scheme providing loans with a 100% government-backed guarantee for lenders as well as fees and interest payed for the first 12 months. No repayments will be due in the first 12 months.

Businesses can borrow between £2,000 and up to 25% of their turnover. The maximum loan available is £50,000.

Small Businesses

Businesses can apply online through a short and simple form. There are 11 lenders participating in the scheme including many of the main retail banks.

Open for applications

Coronavirus Business Interruption Loan Scheme (CBILS) – access to loans, overdrafts, invoice finance and asset finance. The government will make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees.

Up to £5m per business, for up to 6 years

Businesses with <£45m turnover

Apply to accredited lenders (40 banks/lenders). You should check with your bank that they are one of the accredited lenders

Open for applications

Coronavirus Future Fund - This scheme will issue convertible loans between £125,000 to £5 million to innovative companies which are facing financing difficulties due to the coronavirus outbreak.

Government loans to UK-based companies ranging from £125,000 to £5 million, subject to at least equal match funding from private investors.

Businesses that typically rely on equity investment and are unable to access other government business support programmes because they are either pre-revenue or pre-profit.

The Future Fund is being delivered by the British Business Bank.

The Future Fund will open to applications from Wednesday 20 May 2020

80% government guarantee loans. Coronavirus Large Business Interruption Loan Scheme (CLBILS)

Up to £25m in loans per business, with an annual turnover of over £45 million. Firms with a turnover of more than £250 million can apply for up to £50 million of finance. From 26th May, larger businesses will be able to benefit from loans up to the lower of 25% of turnover, or £200m.

Mid-sized and larger businesses with a turnover above £45 million.

Apply to accredited lenders. You should check with your bank that they are one of the accredited lenders

The full rules of the scheme and guidance on how to apply is available on the British Business Bank website.

Rates

12 mths business rates relief

All retail, hospitality, and leisure properties

Your local authority should adjust your next council tax bill. Certain Local Authorities are providing additional detail on their process. You should check with your relevant local authority

From your next council tax bill

Job Retention Scheme

80% of “furloughed worker” wage costs, up to £2.5k per worker

All employees paid through PAYE

Contact HMRC

The scheme will continue in its current form until the end of July and changes to allow more flexibility will come in from the start of August. More specific details and information around its implementation will be made available by the end of May..

Self-employment Income Support Scheme (SEISS)

A taxable grant worth 80% of your trading profits up to a maximum of £2,500 per month for the next 3 months

Self-employed individual or a member of a partnership that satisfy qualifying conditions

You can check online to find out if you’re eligible to make a claim. If you are eligible HMRC will give you a date from which can make the claim.

The first payments are expected to be made before the end of May and within 6 working days of claims being made.

Grants (small business) (SBGF)

£10k for small businesses

Businesses that already receive small business rate relief

Your local authority will write to you if you are eligible. Certain Local Authorities have provided guidance on the subsequent process (contact your relevant local authority)

Some local authorities are providing more detail publicly

Grants (retail, hospitality and leisure) (RHLGF)

£25k for each property with rateable value of £15-51k
£10k for each property with rateable value of  <£15k

Retail, hospitality and leisure properties

Your local authority will write to you if you are eligible. Certain Local Authorities have provided guidance on the subsequent process (contact your relevant local authority)

Awaiting clarification. Some local authorities are providing more detail publicly

Sick pay relief

Refund for statutory sick pay for up to two weeks for COVID 19 absence

Businesses with <250 employees

Keep records of employee absences. No GP note required

Rebate scheme in development

Time to Pay Service

Ask HMRC to defer tax liabilities

All businesses in distress with outstanding tax liability and dealt with on a case by case basis

Contact HMRC’s Time To Pay service

Discuss with HMRC

Deferral of VAT

Defer VAT due between 20 March and 30 June 2020 to 31 March 2021 (no interest or penalties)

All businesses

No application required. No VAT payment during this period. Refunds as normal

Immediate

Deferral of income tax

Defer income tax due in July 2020 to January 2021

Those who are due to pay the second self-assessment payment on account on 31 July 2020

No application required. No tax payment during this period

Immediate

ARTS COUNCIL SUPPORT

ASSISTANCE

TYPE

WHO CAN BENEFIT

WHAT NEEDS DOING

TIMEFRAME

Immediate funding for National Portfolio Organisations (NPOs)

Relaxed funding conditions for up to six months and where possible advances of up to six months grant payments

NPOs

Additional guidance to be provided by Arts Council

Immediately

Longer term funding NPOs

Funds to help reboot creative programmes and support NPOs ability to operate

NPOs

Arts Council will be in contact

Arts Council will be in touch with a timeline

Funding for organisations outside of NPOs

Organisations in the cultural sector, who are not NPOs or Music Education Hubs, can apply for a maximum of £35,000

Organisations, who are not NPOs or Music Education Hubs, but have a track record in publicly funded culture

Register on the Arts Council application portal Grantium by Friday 3 April

Timetable will be published on Monday 30 March

Funding for artists, creative practitioners and freelancers

Grants of up to £2,500 if they have a track record in publicly funded culture

Artists, creative practitioners and freelancers

Register on the Arts Council application portal Grantium by Friday 3 April

Timetable will be published on Monday 30 March


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