COVID-19: Advice for overseas companies set up in the UK

We are certainly living during uncertain times and COVID-19 continues to impact lives globally. At Paul Beare Ltd, we are keen to provide our clients with as much information, advice and support they need during these times.

In the UK, the Prime Minister has said that the Government will do whatever it takes to win the fight against the pandemic. He has asked our businesses to facilitate their staff to work from home where possible. He has instructed people to stay at home unless absolutely necessary and closed all non-essential shops and community spaces.

The UK Chancellor has announced an unprecedented package of government-backed and guaranteed loans to support businesses. Temporary, targeted measures have been put in place to support public services, people and businesses through a period of disruption caused by COVID-19.

Coronavirus Job Retention Scheme

The Coronavirus Job Retention Scheme is a temporary scheme open to all UK employers starting from 1 March 2020. The scheme will last for at least three months before the Government will review it again. It is designed to support businesses that have been severely affected by COVID-19.

Employers can place employees on a leave of absence, known as ‘furlough’. During this time, employers can claim 80% of employees’ usual monthly wage costs, up to £2,500 a month. This also includes the associated Employer National Insurance contributions and minimum automatic enrolment employer pension contributions on that wage.

The scheme is available to all UK employers who had started a PAYE payroll scheme on 28 February 2020.

Support for businesses through deferring VAT payments

The UK Government will be supporting businesses by deferring Value Added Tax (VAT) payments due between 20 March 2020 and 30 June 2020. Find out how to defer your VAT payment here.

Support for businesses who are paying sick pay to employees

The virus could also impact your staff so the government has given support to both small- and medium-sized businesses and employers in the form of Statutory Sick Pay (SSP) for sickness absence due to COVID-19. The refund will cover up to 2 weeks SSP per eligible employee who has been off work because of the virus. More information can be found here.

At Paul Beare, we want to help you reduce the impact of COVID-19 could have on your business and staff. Please don’t hesitate to contact us if you have any questions or require advice on certain topics.