12 AUGUST 2020
So today the UK officially entered recession for the first time in 11 years. As a result of the pandemic impact, the economy shrank by over 20% and job losses since March exceed 750,000. Rishi rumours are now suggesting that if there is a second spike, the Autumn Budget may be delayed. The Prime Minister’s assertion that ‘there’s a long, long way to go’ rings true, with 40% of businesses predicting job cuts over the next six months.
However, business support remains strong. Support from the various schemes (BBL, CBILS, CLBILS) now tops over £51.7bn. And, in the first week of ‘Eat Out to Help Out’, over 10.5m people took advantage of the scheme which runs through to the end of August. Over 83,000 restaurants have already taken up on the scheme and, understandably, the Chancellor called this take up ‘amazing’.
For the self-employed, a reminder that the second claim on SEISS can be made from 17 August. You can also claim for the second part, if you’re eligible, even if you didn’t claim for the first element.
Whilst the rumour mill is in full swing, speculation around Capital Gains Tax reforms also remain rife. Possible impacts on rates, exemptions and reliefs are all explored by our Personal Tax Partner, Sarah Axe. You can read her insights HERE
Businesses in the energy sector as well as homeowners and landlords have been keen to understand the Green Homes Grant and more details on this were announced on 4 August. Vouchers worth up to £5,000 (or £10,000 for low income households) will be made available for certain energy saving improvements such as energy efficient doors, solar thermal, double or triple glazing. Great news for businesses in the sector, consumers and the environment. Read more HERE.
From 1 August employers claiming grants under the Job Retention Scheme will no longer be able to claim for employers’ NICs or pension contributions. In addition if you’ve overclaimed you must notify HMRC within 90 days of receipt of the grant (or by 20 October 2020 if you received the grant before 31 July). HMRC will be issuing penalties and they’re clear that the onus is on the taxpayer to alert them of overclaims. You can read more HERE.
So, what of the future for commercial property in a post-COVID world? Our Wealth team have posed and answered this very question in a new article. Take a read HERE.
We are all hearing regular tales of the hardships experienced by many charities with the cancellation of vital fundraising events. So how can you still help in a tax-efficient way? Take a look HERE.
Our reopened and reimagined workplace at Sky View opened a month ago in early July. Businesses with more than 5 employees need to carry out risk assessments and if you have more than 50 employees this also needs to be published on your website. You can catch up on the latest government guidance relating to each different workplace HERE. And, you can read a copy of our risk assessment HERE.
The pandemic continues to impact on properties and on lessees being able to fully utilise their leased assets. Our specialists look at how best to account for rent concessions under FRS102 HERE
We have a quartet of super topical new items for you too.
- The FRC recently introduced a raft of major changes to audits. We have a great summary article: New Audit ethical standard; shape up for the shake up. You can read all about it
- Last month, Jay Richards & Cat Agostinho (co-founders of IMAGEN Insights) held court for an hour in our HUB CP Live Lounge. If you think your business can ignore the impact and influence of Gen-Z, listen up. What you’ll hear is incredibly powerful, brutally honest, funny and impossible to ignore. Hear it HERE.
- And, with ‘the workplace of the future’ trending like never before, our Head of People, April Bembridge has created a new webcast covering everything from practical tips to wellbeing concepts. Take a look into the future today,
- As a business owner, the last 3 months may have been all absorbing, perhaps with some periods of reflection on what is important to you. Taking time to think about your personal position is important. Read more on this HERE.
And a date for your diary too. Our wellbeing has become more important than ever. On 10 September, TV chef Melissa Hemsley will be entering the HUB CP Live Lounge to run through ‘Eating well. Feeling Good. Thriving through Food’. The tips are inspirational and practical, and it’s free too. Sign up HERE.
In such a fast-moving business landscape, new questions will crop up all the time. Our team of specialists will address any questions you may have. Simply get in touch.