We will continue to monitor any relevant development/announcement, therefore please speak to your usual Statura contact should you wish to discuss in more detail the content of this document or indeed the way in which the COVID-19 outbreak is affecting your business.
This is a one-off payment of £1,000 to employers that have used the Coronavirus Job Retention Scheme (CJRS) for each furloughed employee who remains continuously employed until 31 January 2021. The bonus will provide additional support to retain employees.
To be eligible, employees will need to:
Employers will be able to claim the bonus from February 2021 once accurate payroll data to 31 January 2021 has been submitted. More information about this scheme will be available by 31 July 2020 and full guidance will be published in the Autumn.
From 15 July 2020 until 12 January 2021, the UK government will cut VAT from 20% to 5% on any eat-in or hot takeaway food and drinks from restaurants, cafes and pubs, excluding alcohol. This VAT reduction also applies to all holiday accommodation in hotels, B&Bs, campsites and caravan sites, as well as attractions like cinemas, theme parks and zoos.
SDLT has been temporarily reduced for all residential property purchases in England and Northern Ireland. This Is being achieved by increasing the threshold under which no SDLT is paid on the purchase of residential properties from £125,000 to £500,000. The reduction will apply with immediate effect until 31 March 2021.
During August 2020, diners can get 50% off Monday to Wednesday on meals and non-alcoholic drinks, up to £10 per person, when eating at participating restaurants, bars, cafes and other establishments that have registered.
Other new measures announced
The Chancellor also announced other measures, including:
Kickstart scheme
A new fund has been established to create jobs for young people at risk of long-term unemployment. The £2bn Kickstart scheme will subsidise six-month work placements for people on universal credit aged between 16 and 24, who are at risk of long-term unemployment.
New funding for traineeships and apprenticeships
In addition to the Kickstart scheme, the Government is introducing several initiatives to encourage employers to bring young people into the workforce. In particular, £111 million will be available to encourage employers to create new traineeships and apprenticeships.
Business will be offered payments of £1,000 per trainee, with the grant capped at 10 traineeships per firm. In addition, for the next six months, the Government will pay businesses up to £2,000 for every new apprentice under 25, and £1,500 for every new apprentice above 25.