Posted: Tue 29th Jun 2021
From July, there are various changes to the government's coronavirus business support as schemes are wound down. Read our guide.
Coronavirus Job Retention Scheme
The Coronavirus Job Retention Scheme covers 80% of furloughed employees' wages. Up until June, the government's covered the full 80% but in July, the level of grant covered by the government reduces to 70%, up to a maximum £2,187.50 with employers covering the remaining 10%, up to £312.50.
The government contribution falls again in August and September to 60%, up to a maximum £1,875, and employers contributing 20%, up to £625.
The scheme is due to end completely on 30 September.
Business rates in England
Until June 2021, retail, leisure and hospitality businesses received a 100% discount on business rates. For the period from 1 July 2021 until 31 March 2022, the discount is 66% meaning that businesses need to pay 34% of their business rates bill.
Self-employment Income Support Scheme
The government has previously provided four grants to the self-employed. The fourth grant covered 80% of three months average trading profits, capped at £7,500 in total, for all eligible self-employed people.
The fifth grant will be available from late July and differs in the amount available depending on the level of impact of the pandemic on turnover. For eligible self-employed people suffering a loss in turnover of 30% or more, the grant will be worth 80% of three months average trading profits, capped at £7,500. For those experiencing a drop in turnover below 30%, the grant will be worth 30% of three months average trading profits, capped at £2,850.
VAT payment deferrals
Businesses were able to defer paying VAT in 2020. They had until 21 June 2021 to join a scheme to split repayments into instalments and until 30 June to make an arrangement to pay under HM Revenue & Custom's Time to Pay scheme.
Latest small business coronavirus support and help
We're keeping you updated on the latest information on how to access all of the government's coronavirus small business support here. You can also find advice on Enterprise Nation's coronavirus small business support hub.
If you have any questions or would like to share your experiences accessing the government's coronavirus business support, connect with Dan on Enterprise Nation.