Seven things the Budget means for fine food firms
The Budget announcement contained a raft of measures to help businesses through the next 12 months, but what does it mean for fine food firms?
Business rate relief extended
Sunak pledged 100% relief from business rates for eligible retail premises in England from 1 April to 30 June this year. This will be followed by 66% discounts for the next nine months, capped at £105,000 per business for most food firms.
Furlough scheme to continue
The Budget confirmed that the Coronavirus Job Retention Scheme would carry on until September, with employers to start contributing to the cost of subsidising furloughed staff for unworked hours from July.
Further grants for closed businesses
Fresh restart grants of up to £18,000 will be available to companies in England forced to close during the latest lockdown. Detail on whether hybrid firms which closed parts of their businesses would be eligible for the cash was awaited as FFD went to press.
New loan guarantees
To prompt new lending, from 6th April 2021 the Recovery Loan Scheme will provide lenders with a guarantee of 80% on eligible loans of up to £10 million to UK firms.
Sick pay rebate extended
Small and medium-sized employers across the UK will continue to be able to reclaim up to two weeks of eligible costs for employee statutory sick pay until further notice.
Staggered VAT payments
Businesses that deferred VAT payments during the first lockdown can use a new scheme to make payments in 11 instalments rather than a one-off hit as initially planned.
Tax relief on investment
For two years from 1st April, companies investing in qualifying new plant and machinery are able to claim a “super-deduction” capital allowance that could slash their tax bill by 25p for every £1 spent.