Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what support the Government is providing for (a) businesses going into administration as a result of the covid-19 outbreak and (b) staff whose jobs are threatened such administration.

The Government has announced unprecedented support for business and workers to protect them against the current economic emergency including almost £300 billion of guarantees – equivalent to 15% of UK GDP. Businesses, including those in the retail sector, experiencing economic difficulties continue to have access to a range of support measures including, but not limited to:

• A 12-month business rates holiday for all eligible retail, leisure and hospitality businesses in England
• Small business grant funding (SBGF) of £10,000 for all business in receipt of small business rate relief or rural rate relief
• The retail, hospitality and leisure grant fund (RHLGF)
• A Discretionary Grant Fund for Local Authorities in England
• The Coronavirus Job Retention Scheme (CJRS)
• The Coronavirus Business Interruption Loan Scheme (CBILS)
• The Coronavirus Large Business Interruption Loan Scheme (CLBILS)
• The Bounce Back Loan Scheme (BBL) for small and micro enterprises
• VAT deferral for up to 12 months
• The Time To Pay scheme, through which businesses in financial distress, and with outstanding tax liabilities, can receive support with their tax affairs
• Protection for commercial leaseholders against automatic forfeiture for non-payment until June 30, 2020 – with an option for the Government to extend if needed.

The Business Support website provides further information about how businesses can access the support that has been made available, who is eligible and how to apply - https://www.gov.uk/business-coronavirus-support-finder.

The Government has also introduced the Corporate Insolvency and Governance Bill which is currently passing through the House. This bill will provide businesses with the flexibility and breathing space they need to continue trading during this difficult time. The measures are designed to help UK companies and other similar entities by easing the burden on businesses and helping them avoid insolvency during this period of economic uncertainty.