British Business Bank Posts Data on COVID Relief Loans: £79 3 Billion Distributed crowdfundinsider.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from crowdfundinsider.com Daily Mail and Mail on Sunday newspapers.
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ICAEW urges members to be aware of mini-umbrella companies: HMRC has issued new guidance on the fraudulent activities of so-called ‘mini-umbrella companies’ sometimes created to avoid paying tax and national insurance. ICAEW’s Tax Faculty calls on members to ensure they are informed.
Bounce Back Loans - getting ready to repay: Businesses are being contacted by their banks about repayment of Bounce Back Loans. If repayments are not affordable, businesses should consider their options and take action.
CJRS - is an employee receiving fixed or variable pay? Whether an employee has fixed or variable pay is a key concept for calculating amounts that can be claimed under the Coronavirus Job Retention Scheme. The Tax Faculty explain that the classification of some employees is essentially the employer’s choice.
Report Claims Bounce Back Loan Defaults Could Hit £27 Billion
A report distributed by
Business Rescue Expert claims that defaults of Bounce Back Loan Scheme (BBLS) could cost HM Treasury up to £27 billion.
BBLS is a key business support program launched by the UK government to help backstop the stumbling economy that was pummeled by the COVID-19 health crisis.
According to the British Business Bank, the entity that managed BBLS, 1,531,095 Bounce Back Loans worth £46.5billion, were issued to UK businesses. The Bounce Back Loan Scheme Top-Ups showed 101,666 approved for £0.9 billion.
Bounce Back Loans targeted small and micro businesses, providing loans from £2,000 up to 25% of the business’ turnover with a maximum loan of £50,000. These loans provided lenders with a 100% government-backed guarantee and many loans were available within days. These loans held a six-year term at a government set interest rate of 2.5% a year. The government will cover interest payable in the
Let zombie companies collapse to boost growth, says Mervyn King
Former Bank of England governor says there is an enormous prize if policymakers can encourage tectonic shifts in the economy
12 April 2021 • 6:47pm
Heavily indebted “zombie” companies must be allowed to collapse to help usher in a growth-boosting structural shift in Britain’s post-Covid economy, according to former Bank of England Governor Lord King.
Policymakers would be rewarded with the “enormous” prize of stronger growth rates and low inflation, Lord King said as he blamed a decade of ultra-low interest rates for encouraging zombie firms to stagger on.
The former Governor, who led the Bank through the financial crisis, said the economy needs to have “a significant reallocation of resources” to healthier sectors and firms with the challenge facing officials worsened by Covid.
SEISS extended: Will Rishi Sunak extend the self-employed scheme for grant 5? express.co.uk - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from express.co.uk Daily Mail and Mail on Sunday newspapers.