Report calls for gaps in business support to be urgently addressed

A report setting out 10 key areas that require urgent Government action on Covid-19 business support has been launched by Greater Birmingham Chambers of Commerce.

The Back Our Businesses document comes after one in 20 businesses revealed in a Chamber survey that they will be closed or in administration in six months ' time without further Government support.

A further 21 per cent said they will experience a significant decline.

In response to the latest national lockdown this week, Chancellor Rishi Sunak announced a further round of grants worth up to £9,000 for businesses in beleaguered sectors such as retail, leisure and hospitality.

However, the Chamber does not believe the current measures go far enough and is urging the Government to bring forward a “comprehensive package of support for 2021 ”.

Proposed measures set out in Back Our Businesses, produced in consultation with Chamber members, include:

• Enhanced grant support for closed businesses with high overheads and other significantly impacted organisations - such as supply chain firms and charities - falling through the gaps in existing schemes
• Changes to the Coronavirus Job Retention Scheme and the Self Employed Income Support Scheme to reduce overheads for closed businesses and widen support to those currently excluded
• Changes to the Coronavirus Business Interruption Loan and Bounce Back Loan Schemes to support business recovery and accessing finance for future growth
• Extending business rates relief, VAT reliefs and bringing forward further VAT deferral schemes.

Find out more here.

Businesses can join the call for further support by using the hashtag #BackOurBusinesses on social media posts.

Paul Faulkner, chief executive of the GBCC, said: “Our message to the Government is simple - the time for incremental, reactive, short term measures is over. Businesses urgently need a comprehensive package of support for 2021.

“The support made available to date has been a game changer for many - but it does not go far enough for the hardest hit, particularly in light of the latest lockdown.

“Saving previously viable businesses and jobs through this short term dramatic disruption just makes sense. It will result in a stronger economic and social outlook (and associated higher tax returns and lower defaults on Government backed loans) for many years to come.

“We need the Chancellor to step up again and Back Our Businesses. ”

Director of policy and strategic relationships, Henrietta Brealey (pictured), added: “If the government does not act quickly we will see significantly more businesses closing their doors for good. For businesses that have been unable to trade fully (or at all) since March and those that have lost their critical Christmas period - time is running out.

“We urge the Government to listen and take action. Back Our Businesses sets out the essential package of support that the most impacted need to see them through these most challenging times.

“We have created it with and for our members who we have been working closely alongside throughout this period to connect them to support, understand the very real issues they are facing and lobby on their behalf.

“We will continue to push for better, urgently, and work with local stakeholders to make the most of the knowledge and resources already available in the region. ”

Back Our Businesses contains quotes and case studies from several Chamber members including Solutions2 co-founder Marija Erzen, We Are Craft Limited chief executive Sam Morgan, Tracey Stephenson, the co-founder and joint managing director of serviced apartment operator Staying Cool, and Anne-Marie Simpson, who owns Simpsons Gin Bar.

Read Back Our Businesses here.