Sunak extends throughout the UK by March 2021
Originally written by Anna Jordan about Small Business
Rishi Sunak has announced details of COVID-19 financial support to businesses across the UK.
He has confirmed that workers across the UK will have access to the vacation program of up to 80 percent (maximum £ 2,500 per month) by the end of March 2021. Employers only need to cover NICs and pension contributions.
Upfront funding for decentralized nations also increases from £ 14 billion to £ 16 billion.
This move comes just hours after the Bank of England announced it would inject an additional £ 150 billion into the economy.
Sunak added that it will reinstate job incentive systems at a more appropriate time.
However, the Chancellor has been criticized for reintroducing the vacation program when Scotland, Wales, Northern Ireland and parts of northern England had stricter restrictions and did not receive such generous funding.
The Welsh government was unhappy when it asked for more funding last month during its “fire safety” lockdown. It had to rely on its own coffers to fund a £ 300 million grant program.
Experts argue that such short-term measures do not help companies plan for the future. Richard Churchill, a management consulting partner at Blick Rothenberg, said:
“Right now, business decisions are inextricably linked to the various coronavirus measures in place. However, these remain hopelessly short-term. With the end of the revised Job Retention Scheme on December 2, the likelihood that a tiered Job Support Scheme will follow, the short-term extensions of the coronavirus lending systems were only extended to January 31, and little details of the announced successor loan program were revealed.
“Every week companies face decisions about the future of their company. This leads to a lack of confidence to invest in their future and a reactive business environment when long term planning and growth is required. “
Musab Hemsi, Partner at LexLeyton, is more optimistic: “This gives the directors the financial security and time they need to plan and weigh their options as they look past that lockdown to reopen the festival in some period . “
Government extends vacation program by 80% through December
Sunak extends across the UK through March 2021