New support measures for businesses and workers have been announced in the face of a rising tide of coronavirus.
A job support scheme will replace the furlough scheme from 1 November 2020, initially until 30 April 2021.
Government and employers will subsidise the pay of employees working fewer hours than normal due to lower demand.
Employees must work at least a third of their usual hours, with employers paying staff for the hours they work.
For the hours staff cannot work, the state and the employer both pay a third of the lost wages, up to £697.92 a month.
New applications for four business support loans will remain open for a further two months, until 30 November 2020.
This applies to bounce-back loans, both business interruption loans, and the future fund.
The standard rate of VAT will stay at 5% for firms in the hospitality and tourism sectors until 31 March 2021, while businesses that deferred VAT bills between 20 March 2020 and 30 June 2020 can split repayments over 11 months.
In addition, the self-employed income support scheme (SEISS) will be open until 30 April 2021.
The next taxable grant will provide up to £1,875 a month and cover between 1 November 2020 and 31 January 2021.
Those who deferred payments on account due on or before 31 July 2020 also have until 31 January 2021 to settle their bill.
We can advise on how to access COVID-19 support.
