On 11th March 2020, Mr Rishi Sunak gave the economy a £30 billion package against coronavirus.
He also pledged to do whatever it takes to help businesses, workers and the NHS.
He also promised almost £200 billion to transform the UK infrastructure.
His package came at the same time as the Bank of England base rate was reduced to a historic low of only 0.25%.
He also admitted that the coronavirus epidemic was now likely to cause a temporary disruption to the economy with millions of workers having to take days off sick and firms struggling with supply problems and shops and restaurants hit by a huge fall in trade.
This combination of effects can have a significant impact on the UK Economy.
I am sure it will be temporary, and people will return to work but this kind of unexpected situation does harm individuals as well as businesses.
Here are the main Budget 2020 announcements:
Growth: Forecast to be 1.1 % and 1.8 % for 2021 – But that does not account for the impact of coronavirus on the economy;
Coronavirus: Outbreak to have a significant but temporary impact on the economy;
NHS: £5 billion fund to back NHS during crisis;
Sick pay : Government to backstop payments for small businesses (up to 14 days);
Those told to self-isolate are entitled to statutory sick pay off £94.25 a week, even if they have no symptoms;
Firms with fewer than 250 employees will be refunded for sick pay payments for up to 2 weeks;
Sufferers ca get sick notes via 111 rather than going to the GP;
Self employed: will get benefits fast-track;
Health Services: NHS to get whatever funding it needs – millions or billions;
Small firms can access business interruptions loans of up to £2 million (£2 billion available);
Business rates scrapped for all small shops, restaurants, and entertainment venues for 12 months;
Tax cuts for 31 million workers: National insurance threshold up from £8,632 to £9,500;
Entrepreneurs tax relief cut to £1 million from the current £10 million;
Corporation tax will be kept at 19% profit;
VAT on digital publications scrapped;
Stamp duty surcharge for foreign buyers at 2% from April 2021;
Extra £500 million for flood defences;
Migrants charges £624,00 a year for using NHS;
Entire high street business rates regime to be reviewed;
New plastic packaging tax on non-recyclable materials from April next year;
Grants worth £2.2 billion for small businesses and a dedicated helpline for companies that need a deferral period on their tax liability;
Relaxing the requirement for people to physically attend a jobcentre to claim benefits;
Cutting waiting times on claim for Contributory Employment and Support Allowance to day one instead of day eight;
A £10,000 cash grant to help 700,000 of the smallest businesses;
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