Manufacturing Industries: Coronavirus

(asked on 27th April 2020) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to support the manufacturing sector during the covid-19 outbreak.


Answered by
Nadhim Zahawi Portrait
Nadhim Zahawi
This question was answered on 5th May 2020

Manufacturing is a critical part of our economy. The Department is committed to ongoing engagement with industry to ensure that our manufacturers and their workforce have the support they need, including guidance on how to maintain production safely, where possible. Many companies across the aerospace, chemical, automotive, steel, aluminium, pharmaceutical, and packaging sectors, including those providing essential services and materials, have answered the Government’s call to action. Industry is playing a direct role in our national effort by producing the material we need to fight the spread of the virus.

We have put in place an unprecedented package of Government support to help businesses, which includes providing manufacturers with the support they need to help them get back up and running. Measures include:

  • The Coronavirus Business Interruption Loan Scheme, to help small and medium-sized businesses with an annual turnover of up to £45 million to access vital financial support.
  • Our new Coronavirus Large Business Interruption Loan Scheme, to allow larger firms with an annual turnover of over £45 million to benefit from Government-backed support during this difficult time.
  • Deferring VAT payments for firms to the next quarter until the end of June 2020, representing a £30 billon injection into the economy.
  • The Coronavirus Job Retention Scheme, for which small and large employers are eligible to apply for a Government grant of 80% of workers’ salaries, up to £2,500 a month. Wages will be backdated to 1 March 2020 and the scheme is available until the end of June 2020.

The Department has also issued sector-specific advice for manufacturers regarding social distancing in the workplace, which is helping employees to continue working safely during the crisis. This advice is available at:

https://www.gov.uk/guidance/social-distancing-in-the-workplace-during-coronavirus-covid-19-sector-guidance#manufacturing-and-processing-businesses.

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