The government's announced new support for SMEs and the self-employed. Will it help your business?

Monzo Chat Business Banking
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Yesterday, the Chancellor announced new measures to support businesses and workers through the downturn caused by coronavirus - including:

  • The Jobs Support Scheme - which all SMEs are eligible for - to top up full-time staff wages

  • Extending loan schemes until 30th November 2020, including BBLS (the Bounce Back Loan Scheme, which will now be called Pay As You Grow), CBILS (Coronavirus Business Interruption Loan Scheme) and the Future Fund

  • Extending the SEISS (Self-Employment Income Support Scheme) until January 2021

  • Extending the Time To Pay VAT deferrals until January 2022, and the 15% VAT cut for businesses in the hospitality and tourism sectors

What do you think of the new initiatives? Will they make things better for your business?

If not, what else would you have liked to see from the government?

You can read more about yesterday’s announcements and eligibility on the Gov.uk website: https://www.gov.uk/government/news/chancellor-outlines-winter-economy-plan

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The new initiatives will help but obviously not as good as the original furlough scheme but I understand that not all jobs and businesses will be able to be saved. The new measures will hopefully encourage employers to retain staff on reduced hours until the virus calms down and should eliminate the costs of hiring and training new staff when things return to normal. That said there will also be many businesses that fall through the cracks.

My wife runs Fascinators Direct an online store selling hair fascinators and wedding hats - the wedding industry has been hit really hard this year and sadly we don’t think it will be any easier next year. Her other key market is occasion hats for Royal Ascot and race days, another area which has also been wiped out this year to the restrictions on events and mass gatherings.

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Again there seems to be some disparity between employed and self-employed individuals. Many people I know have been unable to get government support.

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I think this is the only thing that might apply for me, but I wasn’t expecting any support for the government at all, didn’t get much last time.

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perhaps given it’s a Monzo forum you could tell us what Monzo have done to help SME’s during this period.

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While I am sure that many businesses will welcome the new measures to support SMEs in particular, I do find this topic a bit odd on this forum.

If only, due to the fact that Monzo’s 50,000+ business customers need to apply elsewhere to take advantage of any of the government sponsored loan schemes - as Monzo decided not to participate and offer this support mechanism to their customers.

Making Monzo the only bank I am aware of which offers business current accounts and which did not take part in offering BBL’s etc.

@Sheri Is Monzo now going to start offering Pay as You Grow loans?

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