Financial help for businesses and self-employed – March 2021 update

Last budget announcement included a range of measures to support businesses through the current restrictions and to help then re-open when permitted to do so. In this page, we feature some of financial help for businesses and self-employed changes due in March 2021 and onwards.

Visit www.gov.uk and www.southwark.gov.uk for the latest updates

Some of the measures announced

Furlough extension

Extension of the furlough scheme to the end of September 2021. Businesses will be asked to contribute 10% towards the cost of paying employees in July, rising to 20 per cent in August and September

SEISS

Extension of the Self-Employment Income Support Scheme to the end of September 2021, with a fourth grant covering February to April and a fifth grant covering May to September. The scheme will also now be open to newly self-employed people who have filed a 2019-20 tax return.

Business rates

100% business rates relief for eligible retail, hospitality and leisure businesses to be extended until the end of June, followed by 66 per cent rates relief between July 2021 and March 2022

Restart grants

Restart Grants for the hospitality, leisure and retail sectors. Non-essential retail businesses may be eligible for grants of up to £6,000. Hospitality, accommodation, leisure, personal care and gym businesses may be eligible for grants of up to £18,000. Further details will be announced when available, in this newsletter and on Southwark Council’s web pages

Additional grants

Additional discretionary grant funding for local authorities to distribute to businesses which do not meet the criteria for the Restart Grants. Further details will be announced when available, in this newsletter and on Southwark Council’s web pages

Reduced 5% VAT

Extension of the temporary reduced VAT rate of 5 per cent for the hospitality and leisure sectors until the end of September, rising to an interim rate of £12.5 per cent from October 2021, before returning to the standard 20 per cent rate in April 2022

Recovery loan scheme

The new Recovery Loan Scheme for businesses of any size providing a government guarantee of 80 per cent of loans between £25,000 and £10 million, launching on 6 April

Apprenticeships

Doubling of apprenticeship incentive payments to a maximum of £3,000 for each apprentice hired between April and September 2021