The government has continued to take ‘unprecedented’ steps to relieve the pressure on the UK economy and workers, caused by coronavirus.
The recent announcement saw Rishi Sunak, the Chancellor of the Exchequer, deliver an incredible care package that will bring relief to businesses across the UK.
Stepping In To Pay Wages
The bigs news came that the government would be stepping in to pay wages.
They announced that they would pay the wages of millions of workers in order to keep them in a job due to coronavirus.
The payments would be in the form of grants, that covered up to 80% of a workers wages.
The maximum payment they would make to a worker was revealed as £2,500 per month, and would only apply if the company kept them on payroll.
Interest Free Loans For 12 Months
This news came days after Rishi Sunak announced that £350billion would be available in low interest rate loans for struggling businesses.
However, many businesses felt like these loans were just prolonging the problems, causing them to pay back more in the long run.
The government heard the complaints, and Rishi Sunak reduced the interest rate of these loans to 0%. He also extended the length of this rate from 6 months up to 12 months.
VAT Payments Deferred
In an announcement that was packed full of new measures to support the economy, the Chancellor also revealed that the next quarter of VAT payments would be deferred until mid-June.
This decision was made to help businesses keep their workers employed.
Business Rates Holidays Extended
The 12 month business rates holiday relief was also extended to all businesses in the retail, hospitality and leisure sector, regardless of their rateable value.
If their rateable value is under £51,000, they can now also get a bonus cash grant of £25,000 too.
Renters also received some support, with £1billion being provided through universal credit and housing benefits.
Many who are self-employed however, felt unsupported, and are demanding more from the government, after only being given access to an extra £1000 in Universal Credit.
The incredible announcements came when fear and worry was at its highest point.
However, over the weekend Boris Johnson said that if people don’t continue to heed the warnings of the government, and ensure proper social-distancing measures, then something would have to change.
The Prime Minister said he doesn’t want to make ‘that decision’. People don’t have to do much thinking to guess what the next steps will be.
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