Sunak Calls for Small Acts of Kindness, Promises Massive Taxpayer Interventions
“When this is over – and it will be over – we want to look back on this moment and remember the many small acts of kindness done by us, and to us”. You wouldn’t guess he’s only been in the job for five weeks…
Sunak had just completed his statement which goes further than any economic intervention in the history of the British state, including:
- Businesses will receive government grants worth up to 80% of wages to keep workers in jobs. The Coronavirus Job Retention Scheme will pay up to £2,500 per worker each month, helping those who are self-isolating or caring for loved ones. Covering of up to 80% of wages, up to £2,500 per month and backdated to March 1st.
- Announcing the Coronavirus Business Interruption Scheme now interest-free for 12 months, up from 6 months. And available from Monday.
- Deferring VAT payments. No business to pay any VAT from now until the end of June, and will have until the end of the financial year to pay those bills. A direct injection of £30 billion of cash to employers
- Universal Credit standard allowance to be raised by £1,000 a year for next 12 months. Working tax credit basic element rising by same amount as well
- Next self-assessment payments to be deferred to January 2021
- Nearly £1 billion of support for renters, by increasing the generosity of housing benefit and Universal Credit, so that the Local Housing Allowance will cover at least 30% of market rents
- The launch of a major advertising campaign to help awareness of government support that’s been announced over the past week
Naturally, John McDonnell immediately gave an interview in which he said the moves don’t go nearly far enough…