Treasury announces new business support measures
The Treasury has announced a limited package of measures for businesses most impacted by the rise of the Omicron variant.
The measures include a further £102 million for the Additional Restrictions Grants, allocated on a discretionary basis by local authorities, and the reintroduction of the Statutory Sick Pay rebate scheme.
Statutory Sick Pay Rebate Scheme
The Statutory Sick Pay Rebate Scheme (SSPRS) is being reintroduced by the Treasury, and will reimburse small and medium-sized employers’ Covid-related SSP costs (£96.35 a week), for up to two weeks per employee. Small and medium-sized businesses will be able to make an SSPRS claim for Covid-related staff absences occurring from 21 December 2021 onwards.
To qualify for the rebate, employers must be:
- UK-based, with fewer than 250 employees (as of 30 November 2021),
- Have had a PAYE payroll system in place (as of 30 November 2021),
- Have already paid their employees’ COVID-related Statutory Sick pay.
Claims can be made from mid-January.
Further allocation of Additional Grant funding
While a targeted grant scheme has been announced for the hospitality sector and leisure premises, the government will also offer a £102 million top-up to the Additional Restrictions Grant (ARG) funding it pays to local authorities, who can use the funds on a discretionary basis to support businesses in their area according to local need.
Final application and payment dates for the grants will be announced by the Department for Business, Energy and Industrial Strategy (BEIS) in due course. Businesses should refer to their local authority’s own guidance to understand whether they may be eligible.
Concerns about gaps in latest Covid-19 support schemes
Commenting on the new measures, Neil Leitch, chief executive of the ÎÞÂëÌìÌÃ, said: "We welcome clarification that under-fives are still advised to take a PCR test if someone in their household is Covid-positive, though many working in the early years will be understandably frustrated that this important advice was omitted from government guidance when it was updated earlier this week.
"That said, given the rapid rate with which Omicron is said to spread, it is vital that the government ensures that Covid-19 guidance for young children is robust enough to actually help reduce the risk of transmission in early years settings.
"As it stands, a child under five who has had contact with a positive Covid case outside their household can still attend their nursery, pre-school or childminding setting, as can a child who has had a positive case in their household and is awaiting their PCR test result. While we know that many settings will have their own policies in place based on their own risk assessments, it is still vital that those working on the frontline feel confident that government policy decisions are being based on sound scientific evidence, and that this evidence is made readily available to the sector, something that is yet to happen.
"Early years providers are working incredibly hard to ensure that they are able to remain open and that their settings are as safe as possible, but they too need to feel confident that their own safety, and that of their loved ones and colleagues, is a priority. It's vital that government now demonstrates that this is the case."
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