Changes to insolvency rules to allow firms “greater flexibility as they face the current crisis”: Latest announcements to help UK businesses
On Saturday, Alok Sharma, the UK business secretary announced new insolvency measures to prevent businesses unable to meet debts due to the impact of coronavirus from being forced to file to bankruptcy.
The announcement aims to allow directors to pay staff and suppliers even if they are concerned that the company could become insolvent and would allow more companies to “emerge intact the other side of the Covid-19 pandemic”. It is good to see that the government is making significant changes to policies during this time and protecting as many businesses as they can. However, for many businesses questions still remain as to what the next few months will look like.
“You have not been forgotten”: Measures announced to protect the UK’s self-employed workforce
Today the Chancellor had a clear message as he announced a series of measures to help the UK’s self-employed workforce. While he highlighted the difficulties that the diverse pool of the UK’s self-employed present, the package announced today should help 95% of the self-employed population and be targeted to those in the most need. The package included:
This is in addition to those measures introduced earlier by the Chancellor which included the Business Interruption Scheme and reducing the income floor so that self-employed workers can access universal credit. This is a difficult time for all businesses, but it’s encouraging to see the government’s commitment to protecting jobs as far as possible.
“You must stay at home” – Prime Minister Boris Johnson announces restrictions on people in the UK leaving their homes
On Monday night’s daily broadcast, Prime Minister Boris Johnson announced that from Monday evening, UK residents must stay at home to stop the virus from spreading between households. Here at Close Brothers we’ve produced a roundup of the government’s latest announcements and what this means for people across the UK.
People will only be allowed to leave their homes for:
The government will immediately:
For any employees that had been continuing to go to work, last night’s announcement has encouraged all employees that can be done at home to do so going forward. At Close Brothers we understand that these measures are likely to have a significant impact on businesses and how they continue to operate going forward. We will continue to share useful resources and articles to support you and your business navigate this difficult time. If you need advice on how to be productive when working from home please find our tips here.
“We will stand by you”- Government announces new measures to support businesses and employees
In Friday’s daily conference, the Chancellor announced what he called ‘unprecedented measures” in order to help British businesses weather the storm, and keep paying their employees. Here at Close Brothers we’ve put together a round up of all the measures announced which will impact businesses across the country:
As the Chancellor mentioned these are difficult times for all- particularly for small businesses. We, at Close Brothers are encouraged to see these measures introduced to support the UK’s businesses. We will continue to share updates as announced by the government as well as some helpful tips and guidance to help everyone survive and thrive in difficult times.