Business Restart Support

New grants for High Street businesses and hospitality sector

Businesses forced to close due to the Coronavirus lockdown will be eligible to apply for grants of up to £18,000 depending upon the rateable value of their business premises. Pubs, restaurants, hotels, gyms and hairdressers will be eligible for a grant of up to £18,000 per premises whilst non-essential retail businesses will be eligible to apply for a grant up to a maximum of £6,000.

The grants are intended to be a contribution towards the fixed costs of the business during the period that they have been unable to trade normally. Staff costs continue to be covered by the CJRS furlough scheme.

The government will also continue to provide eligible retail, hospitality and leisure properties in England with 100% business rates relief from 1 April 2021 to 30 June 2021. This will be followed by 66% business rates relief for the period from 1 July 2021 to 31 March 2022, capped at £2 million per business for properties that were required to be closed on 5 January 2021.

Unfortunately, the “Eat out to Help Out” scheme will not be reintroduced this Summer.

New recovery loan scheme

The government have already announced a longer repayment period for “Bounce-back” and CBIL loans. From 6 April 2021 a new Recovery Loan Scheme will provide lenders with a guarantee of 80% on eligible loans between £25,000 and £10 million to give them confidence in continuing to provide finance to UK businesses. The scheme will be open to all businesses, including those who have already received support under the existing COVID-19 guaranteed loan schemes.

5% mortgage schemes extended

Another measure announced to stimulate the housing sector is a new 95% mortgage scheme guaranteed by the government that will mean that people buying a house will only need a 5% deposit where the purchase price is no more than £600,000.

Apprenticeship schemes extended

The current apprenticeship scheme will be improved with payments of £3,000 to employers in England for each new apprentice they hire aged under 25 and continue to pay the employer £1,500 for each new apprentice they hire aged over 25. The schemes will now run until 30 September 2021.

Starting in January 2022 there will be a new “flexi-job” apprenticeship which will allow individuals to work for more than one company via an agency.

The “Kickstart” Scheme announced in the Summer 2020 Plan for Jobs will continue to be available for the 2021/22 academic year to create 6-month work placements aimed at those aged 16-24 who are on Universal Credit and at risk of long-term unemployment. Employers who provide trainees with work experience will continue to be funded at a rate of £1,000 per trainee.

Eight new freeports announced

In eight locations around England there will be generous tax breaks to encourage businesses to locate there. These tax breaks include an exemption from SDLT, 100% first year allowances on plant and a 10% per annum structures and buildings allowance.

Related Posts

Local companies that e...
In a new government scheme that started yesterday, employers...
Business Taxation
Corporation tax rates to increase to 25% but not for all com...
Ongoing support for COVID...
CJRS furlough scheme extended to 30 September The current v...
Further Additional Restri...
A new Additional Restrictions (Discretionary) Grant for cer...
COVID -19 : CJRS Extended
HM Treasury has made a Direction under the Coronavirus Act 2...
HMRC alters penalty rules...
No penalties for those filing by 28th February SELF ASSESSM...

Recent Posts

Local companies that e...
In a new government scheme that started yesterday, employers...
Do this now to reduce you...
Up to half the UK population could reduce their taxes by tak...
Business Restart Support
New grants for High Street businesses and hospitality sector...
Personal Taxation
SDLT thresholds extended Last March in order to stimulate t...
Business Taxation
Corporation tax rates to increase to 25% but not for all com...
Ongoing support for COVID...
CJRS furlough scheme extended to 30 September The current v...