Industry News
Industry News 1. Chancellor unveils Winter Economy Plan Chancellor Rishi Sunak has announced new measures to support the economy following the implementation of further COVID-19 restrictions. The âWinter Economy Planâ replaces the planned Autumn Budget, which has now been delayed until next year. The measures include an extension of the government-backed schemes, a new Jobs Support Scheme to replace the existing furlough scheme, further options to defer their VAT payments, and delays to changes to the Corporate Insolvency and Governance Act.
2 2. Court rules on insurers over COVID business interruption claims Business owners forced to close their doors amid the coronavirus lockdown have been told their insurance claims must be paid following a High Court judgment. The FCA brought a test case in front of the High Court earlier this year after insurers rejected business interruption insurance claims â even where lost earnings due to a pandemic appeared to be covered in policy wordings. Last month, the Court ruled on a representative sample of policy wordings. 10 | NACFB
5. MP to review competition laws
3 3. Pandemic saw 60% of SMEs change the way they operate Santander research shows that 57% of SMEs adapted and changed the way they do business as a result of COVID-19. The poll of 2,050 senior leaders in UK SMEs shows that 18% rolled out alternative operating hours, 14% moved their business online and 13% changed products or services. On the speed with which smaller firms adapted to the pandemic and lockdown, it was found that over seven in ten of those who actioned changes did so before the end of March.
4. Landlords call for end of eviction ban Commercial landlords have called on the government to drop a ban on evictions so they can serve notice on retailers who fail to pay their rent. Vivienne King, chief executive of real estate lobby group Revo, has asked Suella Braverman, the Attorney General, to prevent the freeze on evictions from being extended. King said: âWhile we recognise the moratoria were imposed as an emergency measure, that emergency must now be treated as having passed with the requirement coming to an end.â
MP John Penrose has been appointed to lead a review of Britainâs competition laws, with the former minister understood to have been asked to draw up proposals on the matter in time for the Autumn Budget. Chancellor Mr Sunak, who ordered the review along with Business Secretary Alok Sharma, has said he wants to âturbo-charge our competition policy to make sure it is fit, especially for the digital ageâ.
6. Small businesses face local lockdown hit Business groups have warned of the impact local coronavirus lockdowns could have on small firms, with British Chambers of Commerce director-general Adam Marshall saying that as local restrictions are likely to become more frequent, âa comprehensive package of support will be needed for affected firmsâ. Ministers have announced that smaller firms with a rates valuation, annual rent or mortgage bill below ÂŁ51,000 that are forced to shut amid a lockdown would be eligible for ÂŁ1,000 every three weeks.
7. Jobless total could pass three million Economists have warned that new restrictions to halt the spread of coronavirus could push unemployment above three million by the end of the year, estimating that the jobless total could rise above the 3.28 million recorded in 1984. Economic Perspectives estimates the jobless total could reach 11%, or 3.75 million people, while Professor Trevor Williams, a former chief economist with Lloyds Bank Commercial Banking, says unemployment could hit 13%. The Bank of England last month predicted unemployment could reach 7.5% by the end of 2020.
