COVID-19: Chancellor pledges to ‘turbo charge’ the UK economy in response to COVID-19
Chancellor of the Exchequer Rishi Sunak has vowed that in future budgets he will do all he can to ensure the UK remains one of the best places to start a business and one of best places for researchers to create the companies of the future.
Speaking at today’s Downing Street press conference, Mr Sunak said: “We will make sure the plans we had in place before (the COVID-19 outbreak) are the right ones, and what we can do to turbo charge them because I want people to look forward, to see opportunity for the future and I am confident we can do that as we exit this crisis.”
Mr Sunak also responded to a report released today by the Office for Budget Responsibility (OBR), which says the UK economy could shrink by 35%, by saying he was confident business would “bounce back”.
He said the figure represented “just one potential scenario” but added the government had to be honest that there was “hardship ahead” and that it would not be able to protect every UK business and household.
But he added that the OBR report also stated the impact would be ‘temporary’ and although it would be serious, the economy would ‘bounce back’.
He said: “We are not going to stand back and let this happen and that is why we have created an unprecedented support package for households and businesses. The OBR is clear that without this action, the situation could be worse than it is.
“We do have the right plan.”
UK Space technologies to boost NHS Coronavirus response
A new drive to fund space-enabled technology and services that can strengthen the NHS response to coronavirus has been launched today (14 April) by the UK Space Agency.
Satellite data and drone technology can help meet challenges such as delivering test kits, masks, gowns and goggles, managing infectious disease outbreaks and supporting the health and wellbeing of the nation.
An initial £2.6 million is being made available to fund a number of projects to develop hi-tech solutions to these challenges, in a joint initiative with the European Space Agency (ESA) in support of NHS England.
The funding is for projects which will address at least one of the following:
- Logistics within the health delivery system, e.g. with drone deliveries
- Managing infectious disease outbreaks
- Population health and wellbeing
- Recovering health system function and handling backlogs after the crisis
- Preparedness for future epidemics
Find out more and apply for funding here.
Additional new guidance
Temporary changes to the Statutory Residence Test
The Chancellor of the Exchequer has proposed a change to the tax legislation to allow highly skilled individuals from across the world to come to the UK and help respond to this unprecedented health emergency. The Statutory Residence Test (SRT) will be amended to ensure that any period(s) between 1 March and 1 June 2020 spent in the UK by individuals working on COVID-19 related activities will not count towards residence tests that potentially bring global earnings within the purview of UK taxation. These changes are time limited and will only support those people whose skillsets are currently required. Click here for more information.
Notice to exporters 2020/10: processing licence applications during coronavirus (COVID-19)
The Department for International Trade has revised arrangements for processing licence applications during the coronavirus (COVID-19) outbreak. Find out more here.
Notice to exporters 2020/09: Export Control Joint Unit updates guidance on compliance checks for open licences
Details of changes and further clarification on compliance checks for open licences can be found here.
Can your business offer Coronavirus support?
NEW: Personal protective equipment (PPE) hub
A new hub containing guidance on personal protective equipment (PPE), and infection prevention and control (IPC) is now available, containing information for both health and social care settings and other workers and sectors. Click here for more information.
The hub also links to the Cross-government UK-wide PPE plan to ensure that critical PPE is delivered to those on the frontline. This includes a new ‘Make’ strategy of encouraging UK manufacturers to produce PPE. We would welcome support from manufacturers who wish to offer their production facilities where they can meet the required specifications for use by the NHS and care sector – click here. New offers can continue to be made via www.gov.uk/coronavirus-support-from-business.
NEW: Help the government increase coronavirus (COVID-19) testing capacity
There is also a new hub (click here) for businesses seeking to help the government increase testing capacity in the UK as part of its strategy to protect the NHS and save lives. It includes a raft of information, including specification for the required antibody test and guidance about the criteria laboratories need to meet to partner with a local NHS trust. Businesses can provide support in a number of ways:
- Help supply materials and equipment – click here
- Help supply complete testing methods – click here
- Help provide laboratory capacity – click here
- Help provide new testing methods in 4 key areas – click here
Can your business offer further support?
The UK Government is looking for businesses who can offer support in the multiple areas and has set up an online tool where businesses can register. To offer support click here.
Business support packages: latest updates
A new Coronavirus Business Support Hub is now available at gov.uk/business-support.
The hub brings together key information for businesses including on funding and support, business closures, your responsibilities as an employer and managing your business during coronavirus. The hub also includes information for self-employed people and sole traders.
Funding and support
- Financial support for businesses – click here
- Claim for your employee’s wages through the Coronavirus Job Retention Scheme – click here
- Apply for the Coronavirus Business Interruption Loan Scheme – click here
- Defer your VAT payments – click here
- Prevent your business from being evicted – click here
Support for the retail, hospitality, leisure and nursery sectors
- Grant funding of £25,000 for retail, hospitality and leisure businesses with property with a rateable value between £15,000 and £51,000 – click here
- 12-month business rates holiday for all retail, hospitality, leisure and nursery businesses in England – click here
Self-employed people and sole traders
- Claim a grant through the Self-employment Income Support Scheme – click here
- Self-employment and Universal Credit – click here
- If you cannot pay your tax bill on time – click here
- Carry out work in people’s homes safely (tradespeople) – click here
- Drivers’ hours rules relaxations – click here
- Negotiate a mortgage payment holiday – click here
Your responsibilities as an employer
- What you need to do and how to keep your employees safe – click here
- Claim for your employee’s wages through the Coronavirus Job Retention Scheme – click here
- Statutory Sick Pay (SSP): employer guide – click here
- Claim back Statutory Sick Pay (SSP) – click here
- Find out what to do if your employee needs time off to look after dependants – click here
- Which expenses are taxable if your employees work from home – click here
- Apprenticeships: how they can continue – click here
- Guidance for Tier 2, 4 and 5 visa sponsors of people affected by coronavirus – click here
Managing your business during coronavirus
- Cleaning your workplace safely – click here
- Handwashing advice posters – click here
- Rules that have been relaxed to help businesses during the coronavirus pandemic – click here
- Construction sites and safe working – click here
- Farmers, landowners and rural businesses – click here
- Food businesses – click here
- Freight transport businesses – click here
- Medical and healthcare industry – click here
- Shipping and sea ports businesses – click here
- Supported accommodation, residential care and home care – click here
- Transport businesses – click here
Business closures
- Businesses that must close – click here
- If you’re staying open for business: safe working guidance – click here
- Closing holiday accommodation to temporary residents – click here