The Chancellor has announced further assistance for businesses (and individuals) with a range of incentives and schemes to promote economic recovery:

STAMP DUTY

In England, from 8 July 2020 to 31 March 2021, there will be no stamp duty for buying a main home under £500,000, compared to the current threshold of £300,000.  Stamp duty will remain payable for the purchase of second properties.

The rules for Wales remain subject to the Land Transaction Tax (LTT) and we understand that there are currently no proposals from Welsh Government to change this.

VAT

From 15 July 2020 to 12 January 2021, the rate of VAT applied on most tourism and hospitality related activities will be cut from 20% to 5%.

SUPPORTING JOBS

  1.    JOB RETENTION BONUS

As part of the Government’s plan to support jobs, a Job Retention Bonus will be introduced to help firms keep furloughed workers as furloughing ends in October.

UK Employers will receive a one-off bonus of £1,000 for each furloughed employee who is still employed as of 31 January 2021 and has been paid at least £520 average per month from November to January.

  1.    THE KICKSTART SCHEME

This new £2 billion scheme will be launched to create new, fully subsidised jobs for young people. Those aged 16-24, claiming Universal Credit and at risk of long-term unemployment, will be eligible.

Funding will cover 100% of the National Minimum Wage for 25 hours a week for each six-month job placement – and employers can top up above this wage.

  1.    APPRENTICESHIPS

Businesses will be given £2,000 for each new apprentice they hire under the age of 25. This is in addition to the existing £1,000 payment the Government already provides for new 16-18-year-old apprentices and those aged under 25 with an Education, Health and Care Plan.

CREATING JOBS

  1.    INFRASTRUCTURE SPENDING

The Government has announced bringing forward work on £8.8 billion of new infrastructure, decarbonisation and maintenance projects which they hope will create thousands of new jobs.

  1.    GREEN HOMES GRANT

A new £3 billion green investment package that could help create around 140,000 green jobs, support tradesmen and upgrade buildings and reduce emissions.

Homeowners and landlords will be able to apply for vouchers to pay for green improvements such as loft, wall and floor insulation and double glazing.

The Government will pay at least two-thirds of the cost of the work up to £5,000. Those on lowest incomes could be fully covered up to £10,000.

PROTECTING JOBS

80% of hospitality firms stopped trading in April and 1.4 million hospitality workers have been furloughed – the highest proportion of any sector.

  1.    Eat Out to Help Out discount scheme

The Government will subsidise a 50% reduction, up to £10 per head, for sit-down meals in cafes, restaurants and pubs across the UK from Monday to Wednesday every week throughout August 2020.

If you are a food establishment, you need to register through a government website opening next Monday 13th July. You can expect to be refunded within 5 business days.