UK govt grants will cover 80% of salary for workers as programs rolled out
Huge programs from the UK
- For the first time ever, the UK government will help to pay wages
- Wage program will be backdated to March 1 and last at least 3 months
- Wage replacement will be capped at GBP2500/month
- Program value is unlimited and will work through employers
- Almost any employer will be allowed to participate in scheme
This is going to be costly.
Here is is from the Treasury:
Businesses will receive government grants worth up to 80% of wages to keep workers in jobs. The Coronavirus Job Retention Scheme will pay up to £2,500 per worker each month, helping those who are self-isolating or caring for loved ones.VAT payments for the next quarter will be deferred, so no business will pay any VAT for the next three months - a direct injection of £30bn of cash to employersThe Coronavirus Business Interruption Loan Scheme, launched at Budget, will now be interest free for 12 months.
Universal Credit standard allowance and working tax credit basic element to rise by £1000 for a year.Nearly £1bn of support for renters, by increasing the generosity of housing benefit and Universal Credit, so that the Local Housing Allowance will cover at least 30% of market rents