It would appear that ‘yes’ is the short answer, but…
Positive moves for UK businesses
Big, big strides forward today, good to see the following announced to help support businesses and employees:
- There’s a new job retention scheme and any employer is eligible – where individuals are not working but – most importantly – are kept on – the scheme will cover 80% of their salary up to £2.5k per month. This runs from March 1st 2020 for 3 months, but is extendable.
- To help individuals cash flows, for those due to pay an income tax payment on account in July, the payment is deferred (not cancelled) until January 2021.
- To help business cash flows, the next quarters VAT will be deferred, with nothing due until June: and we’re given until the end of the year to repay. That’s being interpreted as a VAT holiday by some but deferred to me means it needs to be paid at some stage, so in effect it’s a loan.
- The new loan scheme, CBILS, launches Monday and is interest free for 12 months. As per the EFG scheme it has replaced a personal guarantee would be needed.
- Remember that those in the hospitality sector have no rates to pay in 2020/21.
A bit of a caveat here. This is based on…
If income is dropping, slowly or quickly, you’ll need to…