In line with phased changes to the government’s Coronavirus Job Retention Scheme, employers should review the updated employer guidanceprovided by The Pensions Regulator.
The guidance includes information on how to treat furloughed workers who are returning to work part-time and what to do if an employer is struggling to pay contributions.
From August, employers will need to fund pension contributions and National Insurance contributions for staff.
The Government have provided funding to help support some of the businesses and charities that did not qualify under the Small Business Grant Fund and the Retail, Hospitality and Leisure Grant Fund.
Government have requested that Local Authorities prioritise certain types of businesses and charities from this fund, and have set out guidance under which there are some criteria that a local scheme must comply with. However, local councils are also able to support businesses that are important to the local economy and are able to set their own criteria for these. Subject to the criteria your business may be eligible for support.
This scheme cannot help all businesses who are likely to seek support and Local Authorities are inviting applications for the local discretionary grant with a fixed time period for applications.
Both South Norfolk and Broadland District Councils have now begun taking applications for the fund. You can find out more details for each here:
A new code provides support to shops and local firms planning their future recovery with their landlord.
The UK government has extended measures to prevent struggling companies from eviction over the summer.
A new code of practice has been developed with leaders from the retail, hospitality and property sectors to provide clarity for businesses when discussing rental payments and to encourage best practice so that all parties are supported.
The Coronavirus Act will extend the time period for suspension of the forfeiture of evictions from June 30 to September 30, meaning no business will be forced out of their premises if they a miss a payment in the next three months.
Secondary legislation to prevent landlords using Commercial Rent Arrears Recovery unless they are owed 189 days of unpaid rent. The time period for which this measure is in force will be extended from June 30 to September 30.
An amendment to the Corporate Insolvency and Governance Bill has been tabled which will extend the temporary ban on the use of statutory demands and winding-up petitions where a company cannot pay its bills due to coronavirus until 30 September. Find out more here.
A £1m per year fund to boost community schemes in Norfolk in the wake of Covid-19 has been launched by the county council.
Known as the Social Infrastructure Fund, it will provide grants of between £50,000 and £250,000 to groups wishing to invest in community facilities – including adaptations required to ensure social distancing.
Council leader, Councillor Andrew Proctor, said: “Community groups have played a sterling role in supporting Norfolk throughout the coronavirus pandemic.
“This new, annual fund will help them to strengthen our communities, by providing support for local buildings and facilities.”
To ensure the fund reaches as many groups as possible, the county council expects groups to include a financial contribution towards the overall costs of their proposals, which could come from other grants, loans or fundraising.
Examples of previous community schemes supported by the county council include a £500,000 investment in community sports facilities through the Community Sports Foundation at The Nest and £500,000 for EACH’s palliative care centre for children, in Framingham Earl.
The new fund is included in this year’s £282 million capital budget approved in February 2020.
Commenting ahead of the Prime Minister’s speech in the West Midlands, in which he will announce a ‘New Deal for Britain’, BCC Director General Adam Marshall said:
“The infrastructure delivery plans announced by the Prime Minister are welcome, but they must take shape on the ground swiftly to give a real confidence boost to businesses and communities.
“The government must go even further over the coming days to rekindle business and consumer confidence, as part of a wider roadmap to economic recovery. This is a critical moment, and business communities need this government to be bolder than any previous government has ever been.
“In his first inaugural speech, Franklin Delano Roosevelt said, ‘We must act, and act quickly’. The same holds true in Britain today.”
Commenting on GDP statistics for April 2020, published today (12 June) by the ONS, BCC Head of Economics Suren Thiru said:
“With a monthly fall in UK GDP over thirty times the average month on month decline during the global financial crisis, the economic impact of Coronavirus has been put into sharp relief.
“With lockdown restrictions gradually easing and shops beginning to reopen, April is likely to prove to be the low point for the UK economy. However, any prospect of a ‘V-shaped’ recovery remains unlikely, with many sectors continuing to operate at reduced capacity. Some firms, including those in our hospitality, leisure and tourism industries, may remain closed for some time and will require flexible and open-ended government support to weather the economic storm.
“Over the coming months, further action will be needed to limit the long-term economic damage and kickstart a recovery, including close gaps in government support and providing incentives to help stimulate consumer demand and business investment. Establishing air bridges between countries with low infection rates would provide a much-needed boost to key parts of the UK economy.”
As the Coronavirus pandemic continues to impact the day-to-day operations of businesses across the UK, local Chambers of Commerce stand ready to support you. We have created a range of resources to help address your concerns which can be found below.
In this 2-3 minute Business Impacts Tracker, please tell us the immediate economic conditions you are facing, possible changes to your business investment, and what obstacles you may be facing in restarting or maintaining operations.
On a daily basis, your input from this tracker is briefed to officials and decision makers at the heart of Government to shape the response to Coronavirus.
As a business leader, your views have never been more important.
Our Coronavirus hub – a regularly updated information portal for all government updates, FAQs and other relevant information. A series of interactive webinars – aimed directly at Chambers and businesses across the UK and overseas.
The UK Internal Market White Papersets out policy options to protect the flow of goods and services across the UK borders between England, Scotland, Northern Ireland and Wales after the end of transition period.
Commenting on the government’s launch of the white paper and associated consultation, BCC Director General Adam Marshall said:
“Businesses in all four nations of the UK will want to examine the detail of these proposals.
“No business should have to face additional costs when trading between the four nations of the UK, now or into the future. The UK government and the devolved administrations must work together to create a clear framework that gives businesses in every nation of the UK the same opportunities to trade and compete following the end of the transition period.
“A fragmented system would create additional costs, bureaucracy and supply chain challenges that could disrupt operations for firms across the UK.
“As these proposals progress, business communities will want practical considerations – not politics – at the heart of the debate.”
Commenting on the announcement of the government’s Kickstart Scheme, allowing employers to offer government-subsidised work placements for young people aged between 16-24 who are claiming Universal Credit and at risk of long-term unemployment, BCC Co-Executive Director Claire Walker said:
“The Kickstart Scheme will help firms create and support thousands of opportunities for young people, maintaining their access to the job market and driving the UK’s economic recovery.
“The Chancellor has responded to our calls to prioritise work experience and job opportunities for those entering the world of work at a particularly challenging time. The Chamber network stands ready to work with government on the detail of the scheme to ensure it is successfully delivered on the ground.
“This announcement must form part of a wider plan to boost business confidence and protect livelihoods as we restart, rebuild and renew the UK economy.”
We are running a series of FREE virtual events with the help and expertise of our members, do you have the knowledge you would like to impart and think would be useful for businesses during this period.
The virtual events will be 30 – 90 minutes long and will focus on key topics or subjects relevant to businesses of different sectors. These can focus on a particular software, how to work remotely, how to motivate your team or the rise of e-commerce for particular markets for example.
If you’re interested in delivering a virtual event with Norfolk Chambers of Commerce, please complete the online form to register your interest. We will be in touch to discuss your virtual event and arrange a date and time for this to take place.
Commenting on the government’s new proposed processes for moving goods from the UK to the EU from January 1st 2021, published today, BCC Director General Dr Adam Marshall said:
“With full border controls in place at all ports from January 1st next year, regardless of any deal that is agreed with the EU, and an estimated 200 million more declarations needed to be made by traders annually, firms that import and export to the EU should take action now and prioritise the appointment of customs intermediaries to advise on the next steps.
“It is pleasing to see the government listening to the Chamber network and reintroducing Postponed VAT Accounting, as well as allowing the deferment of duty and VAT on EU imports for at least 6 months from January 2020. And many businesses will appreciate the introduction of bond-free duty deferment accounts, which will provide much needed help to cashflow for businesses and reduce import costs.
“While businesses will welcome more detail on processes for trading goods overseas, some questions still remain unanswered, including on trade across the Northern Ireland border and the operation of the Goods Vehicle Management System. We will continue to look at the detail and how it affects businesses over the coming weeks.”
“Abrupt changes to quarantine measures will be yet another hammer blow for the fragile travel and tourism industries, both here in the UK and overseas.
“Firms will now have to manage the effects of this unexpected change as returning staff have to quarantine upon their return to the UK. Support measures should be extended to help firms and their employees manage the additional uncertainty generated by this and other government decisions.
“Businesses will be asking why Spain was on the safe list on Friday, only to be taken off it on Saturday. Changes to quarantine rules must be communicated clearly by Government with as much notice as possible. Continued improvement of the test and trace programme, alongside co-ordinated checks at departure and arrival airports, could alleviate the need for many of these restrictions.”