Urgent action needed to help businesses through third lockdown - Chamber

The Government must help businesses through a third national lockdown by urgently addressing glaring gaps in Covid-19 support measures, business leaders said today.

Greater Birmingham Chambers of Commerce is urging the Prime Minister and the Chancellor to “Back Our Businesses ” by setting out measures that are at least equivalent to those available during the first lockdown last March.

But the Chamber says firms and individuals who have qualified for little or no support so far must also be given urgent help.

A campaign launched by the Chamber last month called on the Government to ring-fence billions in returned Covid grants for use as additional business support.

The GBCC is calling on readers to add their voices in urging the Government to Back Our Businesses with additional support by sharing this social media post or their own social media messages using the hashtag #BackOurBusinesses

England was last night placed into a third lockdown, with all schools ordered to close, shielding to recommence and a return to working from home unless it is not possible to do so.

Chancellor Rishi Sunak will outline further economic support later in the Commons, according to Cabinet Office minister Michael Gove.

Gove told BBC Breakfast: “The level of support that the Chancellor has given is among the most generous of any Western country, but it is the case that the Chancellor will be saying a little more later today about additional support and, of course, we stand ready to do everything we can. ”

GBCC chief executive Paul Faulkner said: "We are alarmed that there was no mention of business or additional support in the PM 's address last night, given the severity and likely duration of these new restrictions and their impact on businesses.

"This is in line with the perplexing wall of silence coming from Government around business support in recent weeks, at a moment when it is obvious that with more restrictions to trade and no additional support business failures and job losses in the coming weeks will be sadly inevitable. The Government demonstrated a good understanding and level for support back in spring 2020�and must do so again now.

"We would like to encourage all readers who agree to join us in calling for the Government to Back Our Businesses.

"Some businesses and individuals - such as the recently self employed, certain freelancers and directors of limited companies - have effectively been unable to access support throughout this.

"Supply chain companies in hard hit sectors have qualified for little to no grant support. It 's time to address these glaring gaps.

"Businesses also have a critical role to play in reducing the rise in Covid-19 cases. We must all redouble our efforts to ensure Covid-secure guidance is being followed to the letter, and not just on paper.

"Businesses can also help make their staff aware of the free Covid testing services now available at a number of sites across the region. ”

Henrietta Brealey, director of policy and strategic relationships at the Chamber, said: "As a result of this announcement, businesses in Greater Birmingham have had to operate under five different levels of Covid restrictions over the last 10 weeks alone.

"Stopping the exponential spread of the virus is critical but so to is clarity, consistency and effective decision making.

"These latest measures broadly mirror those in March. Consequently, it is only right that businesses receive support at least equivalent to that received at the time - particularly as many are in a far worse state financially now after nine months of limited to no income.

"This includes enhancing grant support and better targeting it that the most impacted businesses, addressing gaps in Covid support, removing requirements to pay national insurance and pension contributions for furloughed staff for 'closed ' businesses and bringing forward further rounds of VAT deferrals.

"We will continue to urge the Prime Minister and Chancellor to Back Our Businesses with the above as well as giving businesses greater headroom to plan by extending VAT reliefs and targeted business rates relief into next financial year alongside other key measures."

The GBCC is calling on readers to add their voices in urging the Government to Back Our Businesses with additional support by sharing the social media post or their own social media messages using the hashtag #BackOurBusinesses