Covid 19 Support for Business
Furlough Scheme to be extended until September 2021.
Employers will be expected to pay 10% towards the hours their staff do not work in July, increasing to 20% in August and September, as the economy reopens.
Support for the self employed help will be extended until September 2021
There will be a fifth grant from May to September. People whose turnover has fallen by 30% or more will get the 80% grant, but self-employed people whose turnover has fallen by less than 30% will get a 30% grant.
The government is widening access to grants, meaning some 600,000 more self-employed people will be eligible.
Business rate holiday to be extended to June 2021 There would be a further six-month period where rates would be two-thirds of the normal charge, up to a maximum of £2m for closed businesses. this was described as "a £6bn tax cut for businesses".
There will be no change to income tax, national insurance and VAT rates
Personal income tax allowance to be frozen at £12,570 from April 2022 to 2026
Higher rate income tax threshold to be frozen at £50,270 from 2022 to 2026
No changes to inheritance tax or lifetime pension allowance or capital gains tax allowances
Corporation tax on company profits to rise from 19% to 25% in April 2023
Corporation tax will remain at 19% for all companies with profit below £50,000 'small profit rate' and will be tapered up to a maximum of 25% to those business with profits of £250,000 and over Sunak said that '70% of business; 1.4 million business will not be effected by this change'
£6,000 per premises for non-essential outlets due to re-open in April and £18,000 for gyms, personal care providers and other hospitality and leisure businesses
Firms will be able "deduct" investment costs from tax bills, reducing taxable profits by 130%
5bn in Restart grants for shops and other businesses forced to close
£6,000 per premises for non-essential outlets due to re-open in April and £18,000 for gyms, personal care providers and other hospitality and leisure businesses. Sunak said “Hospitality and leisure businesses, including personal care and gyms, will open later, or be more impacted by restrictions when they do, so we’ll give them grants of up to £18,000.