A COVID-19 Government financial support briefing for PGA Members (UK)

Government financial support provided since the start of the pandemic has evolved, with some elements no longer being available and others having changed from early last year.

Details in this briefing paper reflect the support currently available or which may become available in the near future.

This information is for information only. It is not intended to be prescriptive and necessary professional advice should be sought where appropriate.

UK employment support

Self Employed Income Support Scheme (SEISS) – extended 5 November 2020

  • Two grants provided to eligible self-employed individuals during 2020
  • Members likely to be affected include club pros, coaches etc
  • Now extended to 30 April 2021
  • 3rd and 4th grants to cover Nov-Jan; Feb-April
  • Third grant - 80% of a self-employed individual’s average monthly trading profits, computed in line with the scheme’s details, up to a maximum of £2,500 per month
  • Maximum 3rd grant therefore £7,500
  • Even if Members did not apply for the first and second grants last year, they can still apply for the third grant if they meet the eligibility criteria
  • Must have traded in a self-employed capacity in both the tax years ended 5 April 2019 and 5 April 2020, and they must have submitted their 2019 tax return by no later than 23 April 2020.
  • For Members who are eligible for support through the SEISS third grant, the deadline for applications for the funding via the government portal is 29 January 2021.
  • Fourth grant is expected to be made available early in the year covering the period from February to April. The details of the fourth grant are not yet available
  • Eligibility details available on PGA COVID-19 Resource Hub (from 7 Jan)
  • Note for self-employed Members – 2020 Tax Returns due to be submitted to HMRC by 31 January 2021

CLICK HERE to claim a grant through the Self Employed Income Support Scheme

Coronavirus Job Retention (Furlough) Scheme

  • Extended until the end of April 2021
  • Of particular relevance to those Members who have employees or who are themselves employees of their own limited company business
  • Currently excludes directors who are remunerated via dividends
  • In parallel with the SEISS, the government will fund up to 80% of a furloughed employee’s wages, up to a maximum of £2,500 per month.
  • Flexible furlough applies so employee can work part time and be paid by employer, with non-working hours supported through the scheme
  • Eligibility details available on PGA Covid Hub (from 7 Jan)
  • Claims for furlough days in December must be made by 14 January 2021;
  • Claims can no longer be submitted for claim periods ending on or before 31 October 2020

CLICK HERE to find out more about the Coronavirus Job Retention (Furlough) Scheme

UK Business Support

Business support responsibilities are devolved so high level information included for all four home nations.

ENGLAND

Newly announced

  • £4.6bn support package for businesses in the retail, hospitality and leisure sectors during national lockdown in England
  • Primarily business property grant funding for eligible closed businesses in England
  • One off top up grants will be available to businesses in England which are legally required to close and which cannot operate effectively remotely.

Rateable value

£

Grant

£

< £15,000

4,000

£15,001 to £51,000

6,000

>£51,000

9,000

  • The grants are most likely to be available to PGA Members who are golf club managers, or who own golf facilities or high street outlets, where their businesses are required to pay business rates.

CLICK HERE to find out if your business is eligible.

Local Restrictions Support Grant (Closed) and Local Restrictions Support Grant (Closed) Addendum (Tier 4)

  • Additional support to businesses forced to close due to local lockdowns
  • Responsibility transferred to local authorities to provide support at more local level
  • Aimed at Tiers 2-4 restrictions with defined timelines

CLICK HERE to find out if your business is eligible.

 

SCOTLAND

Strategic Framework Business Fund    

  • Grants for businesses that are required to close by law as a result of COVID-19 restrictions
  • Available from 2 November
  • Property based grants taking rateable value into consideration
  • Temporary Closure Grant (£2k or £3k) and Business Restrictions Grant (£1.4k or £2.1k)
  • Paid every 4 weeks as long as restrictions last

CLICK HERE to find out more about the Strategic Framework Business Fund  

 

WALES

Restrictions Business Fund

  • Effective from Xmas Eve 2020
  • Support hospitality, tourism and leisure supply chain businesses
  • Cash flow support
  • Replaces Lockdown Business Grant (distributed via local authorities)
  • Property based grants taking rateable value into consideration

CLICK HERE to find out more about the Restrictions Business Fund

Sector Specific Grant

  • From 11 January 2021for 2 weeks or until fund is depleted
  • Support businesses impacted since 4 December restrictions
  • Greater than 60% impact on turnover
  • Online applications – portal details not yet available
  • Aimed at PAYE registered businesses so may be applicable to some Members

CLICK HERE to find out more about the Sector Specific Grant

 

NORTHERN IRELAND

Localised Restrictions Support Scheme

  • Grants to eligible businesses
  • Businesses required to close or severely limit operations at their premises
  • Property based grants taking rateable value into consideration

Covid Restrictions Business Support Scheme

  • Applications now closed

Newly Self Employed Support Scheme

  • Aimed at newly self-employed individuals (sole traders and those in partnerships) whose business is adversely impacted by COVID-19 and who have not been able to access support from the UK government’s SEISS
  • A one-off taxable grant of £3,500
  • Commenced trading between 6 April 2019 and 5 April 2020
  • Must have still been trading at 1 March 2020
  • Trading impacted by COVID restrictions
  • Unique taxpayer reference with HMRC
  • Some other eligibility criteria
  • Closes to applications on 5 February 2021

CLICK HERE to find out more about support available in Northern Ireland.

Deferrals, reliefs and loans – UK

Income tax payment deferral option

  • Deferral of income tax payment due 31 July 2020 until 31 January 2021
  • Now falls due for payment, along with the instalments which would normally be payable on that date
  • Likely to result in higher than normal payment requirement
  • Failure to pay by 31 January 2021 will attract interest and penalties

CLICK HERE to find out more.

VAT payment deferral

  • Deferral of VAT due to be paid between 30 March and 30 June 2020
  • Outstanding amount must be submitted to HMRC by 31 March 2021 unless Members opt into a new payment by instalment scheme, spreading the outstanding deferred VAT payments over the course of financial year 2021/22
  • VAT payments due outwith the March-June deferral period should have been paid on the due date throughout the rest of 2020

CLICK HERE to find out more about VAT deferral.

Bounceback loans

  • No repayments due in 1st 12 months
  • That period is interest and repayment free
  • Repay within year to avoid interest charges

CLICK HERE to find out more about bounceback loans.

Rates relief

  • Rates relief applied in all four nations in the fiscal year 2020/21
  • No suggestion as yet that this relief will be extended into 2021/22
  • Businesses should be ready to commence repaying rates in that year

 

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