Rishi Sunak announces further support for businesses following Budget 2020
Businesses and workers
Announced on 17 March 2020
To 'protect against the economic emergency caused by the coronavirus'
Chancellor Rishi Sunak announces additional support for businesses – a mix of new funding and expanding previous measures announced in the Budget 2020. Rishi Sunak makes an initial £330bn of guarantees available through a set of new and expanded measures. The amount that businesses can borrow through the Coronavirus Business Interruption Loan Scheme is increased from £1.2m to £5m, with the government covering the first 6 months of interest payments. A new scheme is launched by the Bank of England for large firms. £20bn of business rate support and grant funding will help by:
- increasing grants to small businesses eligible for small business rate relief from £3,000 to £10,000
- providing £25,000 grants to retail, hospitality and leisure businesses operating from smaller premises (rateable value over £15,000 and below £51,000)
- giving all retail, hospitality and leisure businesses in England the 12-month business rate holiday announced at Budget 2020.
There is also mention of new legal powers in the COVID-19 Bill 'enabling us to offer whatever further financial support we think necessary to business', relaxing planning regulations to allow pubs and restaurants to provide takeaways, and an agreement with mortgage lenders to support customers, including payment holidays of up to 3 months.
Gov.uk news story