Ahead of Wednesday’s spending review, chancellor Rishi Sunak is coming under renewed pressure to help entrepreneurs and small business owners who have been excluded from the two main coronavirus support schemes.
This week, the Federation of Small Businesses asked the Treasury to consider policy proposals that could offer grants to limited company directors who pay themselves via dividends and have been unable to claim support via furlough or the self-employment income support scheme (SEISS).
Three UK mayors — Andy Burnham, Sadiq Khan and Steve Rotheram — have separately urged the chancellor to consider extending financial support not just to directors but other excluded groups, such as PAYE freelancers and the newly self-employed.
Tuesday’s Business Clinic discussed the financial problems facing entrepreneurs and the self-employed, the potential solutions being put forward to address these — and the consequences for businesses if no action is taken.
Presenter Claer Barrett hosted a Q&A (see video above) with Craig Beaumont, chief of external affairs at the Federation of Small Businesses, Gina Broadhurst, co-founder of campaign group Forgotten Limited and Rebecca Seeley Harris, tax expert and founder of Re Legal Consulting who drafted the proposals for supporting directors.
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