Originally written by Timothy Adler on Small Business
The British Chambers of Commerce has written to Boris Johnson urging him to “act now” to avoid “significant levels” of businesses going under.
Baroness Ruby McGregor-Smith, president of the BCC, said the government needed to provide more support for businesses suffering local restrictions alongside a comprehensive stimulus package, including reducing national insurance costs.
Baroness McGregor-Smith wrote: “If the government wishes to avoid mass unemployment, significant levels of business failure, and long-term economic scarring in our communities, we urge you and your colleagues to act now.”
See also: 150 UK small business grants to apply for right now
The government has extended some Covid-19 support measures, such as awarding grants worth £1,000 to small businesses that find themselves in lockdown, but it has so far resisted calls to prolong the furlough scheme or to extend the availability of state-backed coronavirus business interruption loans beyond the autumn.
The BCC’s full suggested fiscal stimulus package includes:
Reducing the cost of employment by expanding the National Insurance Employment Allowance for 18 months from £4,000 to £20,000 and raising the threshold for employers’ National Insurance contributions from £8,788 to £12,500
Rates relief to all of the hardest hit sectors and their immediate supply chains –