HMRC umbrella company ‘checking tool’ looms for workers
Umbrella company consultation response and guidance due from HMRC, as more details come out on Tax Administration and...
READ MORE
The Welsh government has announced a new £500 million fund to provide extra support to the Welsh economy, businesses and charities experiencing a sharp drop in trading as a result of the coronavirus pandemic.
The Economic Resilience Fund aims to plug the gaps in the support schemes already announced by the UK government, including the Job Retention Scheme and the Self-Employed Income Support Scheme, which will guarantee 80 per cent of people’s wages and income.
The new £500 million Welsh fund will support firms of all sizes, including social enterprises, with a focus on those that have not already benefited from the coronavirus grants announced by the Welsh government.
“The recent announcements by the UK government provided some much-needed protection for many workers and their families in Wales. Only the UK government has the macro-economic and fiscal levers to minimise the enormous damage this economic shut-down will do to the UK economy," said Minister Mark Drakeford.
“But even with these interventions, there are elements of the economy, businesses and charities in Wales facing insolvency because fixed and operating costs – rent, residual salary costs, leasing charges for vital equipment and maintaining operations – cannot be met during this crisis."
As such, the £500 million Economic Resilience Fund will support businesses forced to temporarily cease trading – to go into “hibernation” – or which need cash flow support to adapt to a remote way of working.
The fund is made up of two main elements:
The new support builds on the £1.4 billion business support package announced by the Welsh government on 18 March, which provides a year-long rate relief holiday for all but the largest premises in the retail, hospitality and leisure sectors and grant support for more than 70,000 small businesses.