TLTP
\nLONDON
\nThe British government announced \u00a34.6 billion ($6.23bn) in fresh lockdown grants to help businesses survive the third national shutdown to curb the spread of the new Covid-19 variant.
\nBusinesses in the retail, hospitality and leisure sectors will receive a one-off grant worth up to \u00a39,000 after business groups and unions warned that mass job cuts would be inevitable without more help.
\nUK Finance Minister Rishi Sunak said a further \u00a3594 million will help other affected businesses survive until the spring, with 600,000 firms set to benefit, as the new strain of the virus presents \u201ca huge challenge\u201d.
\n\u201cThe next few weeks will be difficult but the end is in sight,\u201d he said in a video statement on Tuesday. \u201cThis will help businesses to get through the months ahead \u2013 and crucially it will help sustain jobs, so workers can be ready to return when they are able to reopen.\u201d
\nWhile the new one-off grants are in addition to existing support measures, such as grants of up to \u00a33,000 for closed businesses, Mr Sunak did not pledge to extend the 100 per cent business rates relief for retail, hospitality and leisure businesses.
\nThe business rates holiday, lower VAT rates and the furlough scheme are all set to end in April at a time when companies may only just be returning to operations.
\nTony Danker from the Confederation of British Industry urged the government to extend access to business loan schemes beyond the current March 31 deadline and the furlough scheme beyond the end of April.
\n\u201cMore comprehensive restrictions require a more comprehensive economic response,\u201d Mr Danker said.
\n\u201cFirms must have a clear line of sight and assurance that support will be there for as long as restrictions are in place so that they can stay the course rather than act precipitously.\u201d
\nMike Cherry from the Federation of Small Businesses said the new tougher lockdown will cause widespread business failure and job losses, with businesses facing mounting bills as the business rates holiday ends. \u201cCurrent business support is plainly insufficient,\u201d he said.
\nPrime Minister Boris Johnson announced a new national lockdown on Monday evening, which implemented the strictest measures since March last year and will run until at least the middle of next month. Non-essential retailers have been forced to shut their shops once again, along with hairdressers, gyms, restaurants and hospitality businesses.
\nThe news was a body blow for businesses already reeling from the effects of the first two lockdowns.
\nAdam Marshall, director general of the British Chambers of Commerce, said he welcomed the new lockdown grant support, but warned it was \u201cincremental\u201d as billions have already been spent helping good firms to survive this unprecedented crisis and to save jobs.
\n\u201cMinisters need to set out a clear support package for the whole of 2021 – not just until spring – to help businesses of all shapes and sizes survive this difficult and uncertain year,\u201d he said.
\nHelen Dickinson, chief executive of the British Retail Consortium, said 178,000 retail jobs were lost last year and more than 250,000 staff are on furlough, a number that could rise dramatically this year.<\/p>\n","protected":false},"excerpt":{"rendered":"
TLTP LONDON The British government announced \u00a34.6 billion ($6.23bn) in fresh lockdown grants to help businesses survive the third national shutdown to curb the spread of the new Covid-19 variant. Businesses in the retail, hospitality and leisure sectors will receive a one-off grant worth up to \u00a39,000 after business groups and unions warned that mass […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-166608","post","type-post","status-publish","format-standard","category-business"],"yoast_head":"\n