Venues must close but Govt to pay 80% of wages

 

Prime minister Boris Johnson and the devolved administrations have told a range of venues to close, as the chancellor announced billions in financial aid for workers.

The list of venues that must shut includes pubs, cafes, bars, clubs, restaurants, theatres, cinemas, gyms and leisure centres; Mr Johnson said he would review the situation every month.

However, 'take away' options are still allowed.

He urged people to stay at home as far as possible to 'protect the NHS and save lives'.

'You may think you are invincible, but there is no guarantee you will get a mild form of the disease, and you can still be a carrier and pass it on to someone else,' he said.

Licensing arrangements could enforce the closures, Mr Johnson said if necessary.

He added that the transport network was 'fundamental' to the nation and its supply lines and suggested he would not completely shut the London Underground or the major networks.

Chancellor Rishi Sunak said: 'You will not face this alone. Getting through this will require a collective national effort, with all of us a role to play.'

The financial plan:

Jobs

Mr Sunak said: 'We are setting up a new coronavirus job retention scheme. Any employer in the country small or large, charitable or non-profit will be eligible for the scheme. Employers will be able to contact HMRC for a grant to cover most of the wages of people who are not working but furloughed and kept on pay role rather than laid off.

  • Government grants will cover 80% of the salary up to £2,500 a month - that's just above the median income.

'Of course, employers can top up salaries further if they choose. That means workers in any part of the UK can retain their job even if their employer can not afford to pay them and be paid at least 80% of the salary.

'The scheme is backdated to 1 March and will be open initially for at least three months, and I will extend the scheme for longer if necessary.

'I am placing no limit on the amount of funding available for the scheme. We will pay grants to support as many jobs as necessary.

'We expect the first grants to be paid in weeks and we are aiming to get it done before the end of April.'

  • The coronavirus business interruption scheme loans will be available from Monday and now will be interest-free for 12 months - not six - Mr Sunak said
  • The next quarter's VAT payments deferred and businesses have until the end of the financial year to pay 

Benefits

  • From today, increasing the Universal Credit standard allowance for the next 12 months by £1,000 a year and the working tax credit basic element by the same amount - together these measures help more than four million of the most vulnerable households
  • Self-employed people can now access, in full, Universal Credit at a rate equivalent of statutory sick pay for employees
  • The next self-assessment payments will be deferred until January 2021.

Rent

  • There will be nearly £1bn of support of renters - increasing housing benefit and Universal Credit so that the local housing allowance will cover at least 30% of market rents in your area.

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