Covid-19 Business Support Update - 14th July 2021
The Economic Resilience Fund (ERF) Is Now Open!
The Welsh Government have announced a further round of funding for businesses that remain closed or continue to be affected by the current Covid-19 restrictions.
A final round of funding from the Economic Resilience Fund (ERF) will provide emergency and transition grants of up to £25k to eligible businesses to help meet their operating costs (excluding staff wages) for the period between 1st July 2021 and 31st August 2021.
The ERF will support businesses that are either:
- Forced to remain closed or unable to trade by on-going restrictions between 1st July 2021 and 31st August 2021
- Event Space and attractions severely impacted by ongoing social distancing regulations
- Other businesses with >60% impact on Turnover as a direct result of ongoing restrictions since 1st of May and were unable to open indoors before the 17th May 2021
- A supply chain business that generates 60% or more of its sales revenue from businesses falling into categories a), b) and/or c)
Applications for the ERF for businesses with a turnover of more that £85K will open on 13th July and remain open until 12pm Tuesday 27th July.
Local Authorities across Wales will reopen applications for those businesses that are eligible with a turnover of less that 85K on the 26 July 2021 and remain open until 9 August 2021.
For further information and to apply for this final round of funding please visit the Business Wales Website where you will find an eligibility checker that will direct you to the right place to make your application. Click Here.
HMRC Publishes Guidance on the Fifth SEISS Grant
Full details of the fifth Self-employment Income Support Scheme (SEISS) grant, including a new turnover test which determines the level of the grant, have now been published by HMRC.
The key change from the previous SEISS grant is that the level of the grant depends on whether turnover has dropped by more or less than 30%. The fifth grant is 80% of three months' average trading profits, capped at £7,500 for those whose turnover has reduced by 30% or more. Those with a turnover reduction of less than 30% will receive a grant based on 30% of three months' average trading profits, capped at £2,850.
To be eligible for the grant, an individual must be self-employed or a member of a partnership. They must have traded in the tax year 2019/2020 and submitted their tax return on or before 2 March 2021, and also have traded in the tax year 2020/21.
They must be currently trading but be impacted by reduced demand due to coronavirus (COVID-19), or have been trading but are temporarily unable to do so due to COVID-19.
Claimants will need to provide two turnover figures during the claims process: one from the pandemic period and an earlier reference period.
For further details please see HMRC's guidance.
Preparing for Full Customs Control in January 2022
HMRC are urging businesses to prepare for the customs changes coming in to affect from Jan 2022.
HMRC will be writing to in excess of 160,000 businesses over the next week, explaining the steps that should be taken to ensure they can continue trading with the EU. These include:
- Making supplementary declarations
- Appointing a customs intermediary
- Export Health Certificate requirements
Making Supplementary Declarations
Businesses already importing goods using delayed declarations should get ready now to have everything in place and need to decide whether to make their own declarations or get a customs intermediary to do it for them. For further information on this click here.
Appointing a Customs Intermediary
Businesses can appoint a customs intermediary to deal with their customs paperwork, examples of people who can do this for you are:
- freight forwarders
- customs agents or brokers
- fast parcel operators
For an up to date list of customs intermediaries and for further information click here.
Export Health Certificate Requirements
All products of animal origin, certain animal by-products and high-risk food not of animal origin will require pre-notification from 1st October 2021. If traders have not made a full customs declaration from this date for an exports consignment, their haulier or carrier will need to submit a standalone exit summary declaration providing safety and security information. For further information on this click here.
There is further support and guidance available from HMRC on all of the above as well as step by step guidance on importing and exporting goods to and from the UK. Please visit the HMRC guidance page here.
For help or advice on the support available for businesses please contact your usual BPU Adviser or contact:
Huw Palin, Director