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COVID-19: Government Support for Businesses – Timeline

Posted on 24 June 2021

Updated 9 February 2022

This timeline shows key COVID-19 Government support expiry or commencement dates for businesses in 2021 and 2022 – please click here to view this as a one page PDF.  More information and detail is available in our Government Support for Business checklist.

 

31 March 2021

2020 VAT deferral payments became due – unless by 21 June 2021, the business opted to pay in instalments to 31 March 2022.

Coronavirus Business Interruption Loan scheme applications closed - CLBILS (large businesses); CBILS (medium businesses); and Bounce back loans (very small businesses).

Various local authority COVID-19 support grants closed.

1 April 2021

Restart (one off) Grants scheme launched – local authority grants of £6,000 per premises for non-essential retail business, and up to £18,000 per premises for hospitality and other sectors re-opening.

5 April 2021

Retail, hospitality and leisure sector business rates holiday and Children’s nurseries business rates relief ended – relief applied for the 2020-21 tax year.

6 April 2021

Recovery Loan Scheme launched – replaced business interruption loan schemes which closed in March - Loans will be available through a network of accredited lenders with the government guaranteeing 80% of the finance to the lender (expected to be open until 30 June 2022).

30 June 2021

Coronavirus Job Retention Scheme (CJRS or “furlough”) grant reduction – grant reduced from 80% up to £2,500 per employee to 70% up to £2,187.50 per employee (& employer to balance to at least 80% of wages).

Wrongful trading protection for directors ended.

31 July 2021

Further CRJS grant reduction  – 70% grant for employees claiming under CJRS ends & new version commenced (grant of 60% up to £1,875 and employer to pay at least 80% of wages).

30 September 2021 and 31 March 2022

CJRS ended.

5% VAT reduced rate for hospitality, holiday & attractions ended but a new reduced rate of 12.5% was introduced from 1 October 2021 to 31 March 2022.

Most creditor winding up petition suspensions ended – – Before then, creditors could not: (a) file to wind up on the basis of a statutory declaration filed between 1 March 2020 and 30 September 2021; nor (b) unless having reasonable grounds to believe that COVID-19 did not result in the company’s financial distress/debt issues, otherwise file before 30 September 2021 to wind up a company. From 1 October 2021 to 31 March 2022, these restrictions only apply to debts either of £10,000 or less, or in respect of commercial rent. During the period creditors will be required to give debtors a 21 day period in which to propose a resolution to the debt before filing a winding up petition.

31 December 2021

Recovery Loan Scheme cover – reduced to apply only to SMEs at 70% and capped at £2million.

25 March 2022

Restriction on forfeiture of commercial premises – the restriction on a landlord’s ability to forfeit a lease of commercial premises for non-payment of rent was extended for a further period and is currently due to expire on this date. Restrictions on commercial rent arrears recovery (CRAR) have also been extended to this date. 

31 March 2022

End of 12.5% VAT reduced rate for hospitality etc business and reduced creditor winding up petition suspensions end.  See above under September 2021.

31 June 2022

Recovery Loan Scheme expected to end.

 

Other relevant deadlines to consider

Loan Interest holidays end: Depending on when bounceback or CBILs loans were taken, the interest holiday will end after 1 year (unless extended in the case of bounce back loans).  Businesses will need an eye on their repayment terms:  CLBILS loans were from 3 months – 3 years; CBILs for up to 6 originally (but extendable by lenders for up to 10); and bounce back loans for up to 6 years originally but extended to 10.  

Future Fund Loan notes: Some high growth businesses may have issued Future fund convertible loan notes – after 3 years - if a ‘qualified financing’ (issue of equity, sale or IPO) has not occurred - these will become repayable at a premium or convert to equity – the rolled up 8% interest will also become due (or convert). 

COVID-19 – Government support with no/uncertain current end date

Coronavirus Statutory Sick Pay rebate scheme – allows claim back of employee coronavirus related statutory sick pay.

Various lock down and local restriction support grants, via local authorities – depending on COVID-19 measures in place.   

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