Influencer Editorial Team
Small firms need more help to bridge an 18-day gap as Covid limits continue but support packages wind down, the Federation of Small Business says.
Restrictions were set to be lifted in England on 21 June but this was delayed for four weeks until 19 July.
However, variety of measures aimed toward helping firms, like a business rates exemption and deferred VAT payments, will endways 1 July.
A government spokeswoman said “substantial” support would remain.
The FSB, which represents small firms, cares that there’ll be a niche in financial provisioning which will put more pressure on businesses that are already struggling.
Many firms, especially within the night-time hospitality sector, had budgeted to be ready to trade from 21 June.
However, the delay in easing coronavirus restrictions means firms are continuing to struggle financially, the FSB says.
While the govt has committed to continuing the furlough scheme, there’ll be changes from the beginning of July which will require increased payments from businesses.
From 1 July, business rate exemptions for retailers and hospitality firms also will end. At an equivalent time, the quantity of wage costs employers got to contribute for furloughed staff through social insurance and pension will rise from 5% to 14%.
