Mini budget 2020 – Summary
Rishi Sunak has pledged to "protect, support and create jobs" and get pubs and restaurants "bustling again" as he unveiled a package to kickstart the economy’s recovery.
The Chancellor announced a VAT cut for the hospitality industry, stamp duty holiday, restaurant discounts and a suite of measures to boost hiring as part of his mini-Budget.
Here are the key announcements made by Mr Sunak:
Help for hospitality
- Mr Sunak unveiled a landmark 50pc discount for diners to spur demand and a huge VAT cut for the hospitality and tourism sectors.
- VAT on food, non-alcoholic drinks, accommodation and attractions has been cut from 20pc to 5pc, a £4bn boost for the industry, Mr Sunak said.
- Every Briton will be given an "eat out to help out" discount. Meals eaten at any participating business Monday to Wednesday in the month of August will be 50pc off at up to £10 per head.
Jobs and training
- £30bn has been set aside for boosting the jobs market.
- The Chancellor will pay businesses a £1,000 job retention bonus for every furloughed worker that is brought back and employed until the end of January 2021. If every furloughed worker returns to work, the policy would cost £9bn, Mr Sunak said. Workers must have been continuously employed and earn an average of more than £520 per month in November, December and January.
- Mr Sunak unveiled a new £2bn Kickstart Scheme as a key plank of his “Plan for Jobs”. The fund will create government-subsidised jobs for unemployed young people and employers will be able to offer a six-month placement for people aged between 16-24. The Treasury will cover 100pc of the National Minimum Wage for each young employee for up to 25 hours a week with firms able to top up the worker’s pay.
- Some £111m will be invested to triple the number of traineeships with businesses offered a £1,000 per trainee payment. The grant will be capped at 10 jobs per firm.
- For the next six months, the Government will pay businesses up to £2,000 for every new apprentice under 25. It will also pay £1,500 for every new apprentice above 25 hired.
As we support one another through COVID- 19, it is important that we continue to share the right information and official government guidance to help keep everyone in Rochdale safe.
The BID wishes to thank everyone in Rochdale for adhering to this temporary way of life. It is incredibly inspiring to see so many local people and volunteer groups pulling their resources together to look after the most vulnerable in our community.
COVID-19: what you need to do
Support for businesses and employers during coronavirus (COVID-19)
General guidance for employees during coronavirus (COVID-19)
COVID-19: guidance for food businesses on coronavirus
If you have any queries regarding the support which his currently being offered, please don’t hesitate to contact me on 07811 278517.
08 Jul 2020