Important Information – Covid-19

Important Information – Covid-19

Our service to you

As a business we are continuing to follow Government guidelines. Some of our staff will be working from home but our office is not shut. All our staff will be working, where healthy, and will be accessible on telephone or by email. We have also put steps in place to ensure our payroll bureau operates seamlessly through this period. We will of course continue to follow any new Government guidelines.

Supporting You

Most businesses are facing immediate financial pressure. Measures have been introduced by the Government to deal with financial pressures but none of these will help with reduced business demand. Businesses are left to consider their positions and act accordingly but we are ready to talk to you about any issues you face.

The Bank of England has already announced a 0.5% reduction in interest rates to 0.25% which will have some positive impact. The recent Budget and yesterday’s announcement from the Chancellor have resulted in the following package of measures which should help cash flow:

Support available for all

The key measures are:

  • A new Coronavirus Business Interruption Loan Scheme. Loans available to SMEs’s under the scheme were initially up to £1.2m but have now been increased to £5m. No interest will be due on the loans for 6 months. This appears to be similar to the existing EFG loan scheme but with lower charges. These funds should be available from all banks. The scheme is due to be up and running next week.
  • 100% business rates relief extended into the leisure and hospitality sectors with additional help for pubs. There are also cash grants of up to £25k available in these sectors for those without insurance cover. Local authorities will be administering these.
  • Those employing less than 250 employees will be able to reclaim statutory sick pay due to Covid-19 up to a 14 day absence.
  • Time to pay support helping to delay all tax liability payments without any interest charges. If you are concerned about being able to pay your tax due to Covid-19, call HMRC’s dedicated helpline on 0800 0159 559.
  • Certain businesses will also benefit from the delay in the introduction of IR35 changes.

Additional support locally within Wales

The WG has announced:

  • Rates relief in retail, leisure and hospitality sectors with additional measures for pubs.
  • A new £100m grant scheme for small businesses. The details are yet to be announced.

We are sure there will be more support mechanisms introduced as Covid-19 matters play out. As with any situation, dialogue is most important. Talk to your lenders at an early stage. It may be possible to negotiate full loan repayment holidays with debts just accruing interest during the holiday period.

There are a variety of other lenders in the marketplace that may cover any gaps left by the major banks.

We are here to help you through this. We will let you know how to access the nationwide loan scheme and any grant schemes as soon as the details become available.