Knowledge Article

Chancellor announcement

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Here’s a quick summary of The Chancellor announcement today in The House of Commons:


  • The job support scheme will start from 1st November and runs to the 30th April 2021
  • It will support viable jobs placement and employees must work at least a third of their normal working hors and be paid by the employer for those hours
  • The normal hours NOT worked will be topped up 1 third by the government and 1 third by the employer
  • Employees do not have to have been furloughed to be able to take advantage of this scheme

Self Employed:

  • The SEISS is being extended to another 2 grants
  • The first extended payment will be for the period November to January and will be worth 20% of average profits up to a capped amount of £1,875
  • The second payment may be adjusted and we have to await further confirmation on this by The Chancellor

Business Loans – CBILS and Bounce Back

  • The Chancellor announced a Pay as you grow system for the bounce back loan whereby the 6 year repayment term has now been extended to 10 year, thereby reducing monthly repayment amounts for businesses
  • An interest only repayment period of 6 months for those in financial difficulty is available
  • Repayment holidays are also available for struggling businesses
  • Applications for new loans are now open until the end of November

Cash flow

  • VAT that has been deferred until March 2021 can now be repaid in interest free instalments over the next 11 months
  • Self-assessment tax bills can be spread over 12 months from January 2021.


  • The VAT rate reduction from 20% to 5% for the hospitality and leisure industry has been extended further to end March 2021

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