Co- Accounting

View Original

Coronavirus Support Update - 7 Apr

Damion Viney

We have another round up of updates on the support on offer for you during the Coronavirus lockdown.


Government Business Support

Following on from previous updates:

Job Retention Scheme / Furloughing FAQs

  • Can Director's furlough themselves? Yes

  • Can furloughed employees do any work? No they must do no work for the business

  • Can someone return to work after they are furloughed? The minimum time period for someone to be furloughed is 3 weeks, after that you can return them to work.

  • What should the furlough pay be? This should be based on the higher of: the average pay in the last year, or the salary in the same month last year.

  • Is the furlough pay taxable? Yes. Furlough pay is taxable for NI and PAYE and it is pensionable. It is also tax-deductible for the business.

Small Business and Retail, Hospitality and Leisure Grants
We have started to see these come through now from local authorities to some clients.  

If you are unsure how to apply have a look here:
https://crunchers-south-london.co.uk/coronavirus-support-update/

Universal Credit

Sadly some people may fall through the net in terms of other support and if so Universal Credit is available.

We have been asked whether Universal Credit is available at the same time as other government support (eg Self Employed Grant, Furlough Pay).

We confirm there is no rule against this, however if you are considering this, bear in mind that Universal Credit is based on all sources of income and the assets you hold.  If you get the Self Employed Grant or Furlough Pay this needs to be included in your declaration of income at the time of applying for Universal Credit.

To find out whether you are eligible you can use this eligibility calculator: https://benefits-calculator.turn2us.org.uk/AboutYou

Coronavirus Business Interruption Loan Scheme (CBILS)

The loan scheme came in for a lot of criticism in the days after it was announced and the government has now stepped in to extend and improve the support it offers.  The main features of these changes are:

  • Lenders are being stopped from requiring personal guarantees

  • The scheme is extended to cover all small businesses affected by Covid-19 and not just those unable to get finance elsewhere (previously only businesses rejected by another lender could apply)

  • The government is covering the first 12 months of interest and fees (effectively removing any set up fees)

These measures certainly make the scheme much more attractive and more worthwhile considering.  

Improving the Numbers Connect

We had another good call last week.  The calls are for business owners to connect, get coaching on getting through this crisis, support each other and ask questions. 

We are repeating this until further notice on Wednesdays at 5.00pm.  Tomorrow’s conference is available through this link: https://zoom.us/j/732438230?pwd=eDhYQU94d3hGVWhSUlFXRzZHSXFTdz09

This week the call requires a password
Meeting ID: 732 438 230
Password: 609426

Touch Base Calls

We have spoken to almost all of you now but if you would like a follow up call just book us in: https://calendly.com/damion-viney/15min

Other Support

Finally thanks to Ricky Wilkes from Wander for putting us onto this looking at the bright side of lockdown: https://www.youtube.com/watch?v=qAGbxKfNMuE