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<p>On the 30 November, the Government published ‘<a href="https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/939876/Analysis_of_the_health_economic_and_social_effects_of_COVID-19_and_the_approach_to_tiering_FINAL__SofS_.pdf"
target="_blank">Analysis of the health, economic and social effects of COVID-19 and
the approach to tiering’</a>. As stated in this analysis, it is not possible to forecast
the precise economic impact of a specific change to a specific restriction with confidence,
however it is clear that restrictions to contain COVID-19 have had major impacts on
the economy and public finances.</p><p> </p><p>The Government understands that this
is a very challenging time for the UK’s hospitality sector and recognises that the
pub sector in particular has been disproportionately impacted by the pandemic. The
Government continues to collect evidence on the impact of the pandemic on the sector
and on the economy as whole and is working with businesses and trade groups to inform
our efforts to support these businesses.</p><p> </p><p>The Government has announced
an additional £1,000 Christmas grant for ‘wet-led pubs’ in tiers 2 and 3 who will
miss out on business during the busy Christmas period. Wet-led pubs in tiers 2 and
3 will be subject to significant measures under the new regional tiered system and
it is right for the government to increase its support.</p><p> </p><p>The additional
support comes on top of the £1.1 billion of Discretionary Grant funding for local
authorities to target support to the businesses that are most important to their local
economy. Businesses are also still able to access wider support, including:</p><p>o
The Coronavirus Job Retention Scheme, which has been extended until the end of March;</p><p>o
Affordable, Government backed finance through loan schemes – extended until the end
of January 2021 and ‘Pay as You Grow’ options for businesses which have taken out
loans, to make repayments over the long-term;</p><p>o A VAT deferral for up to 12
months;</p><p>o A 12-month business rates holiday;</p><p>o A moratorium on evictions
to protect commercial tenants;</p><p>o Targeted support through the temporarily reduced
rate of VAT (5%)</p>
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