Dear Residents,
Hitchin, Harpenden and surrounding villages are places where people look out for one another. I have been heartened to see such extraordinary reserves of kindness and goodwill - use the information here to find out what support is available to you and your neighbours, or how to get involved and help out.
Each day my team and I receive hundreds of emails from constituents. While my office will still continue to do our best to answer them, all priority is given to answering messages and helping residents with regards to the Coronavirus.
I will be holding telephone surgeries for constituents and businesses. If there is something you'd like to discuss with me, contact my office at bim.afolami.mp@parliament.uk to book a slot. Please also ensure to provide your address details and a brief of what you would like to discuss.
Support for the self-employed
Earlier this week, in the House of Commons I urged the Chief Secretary to the Treasury to take a broad approach in its financial support for self-employed people in light of the Coronavirus pandemic. Today, the Chancellor has announced a new Self-Employed Income Support Scheme - helping many of the musicians, sound engineers, plumbers, electricians, taxi drivers, hairdressers, childminders, driving instructors and many other self-employed people in our constituency and across the country.
Through the Self-Employed Income Support Scheme, the Government will:
- Pay self-employed people across the whole UK who have been adversely affected by Coronavirus a grant worth 80 per cent of their average monthly profits over the last three years, up to £2,500 a month, for three months – this will be extended for longer if necessary.
- Make it simpler for self-employed people to get the financial support they need. Self-employed people who are eligible will be contacted by HMRC directly, asked to fill out a simple online form, and HMRC will pay the grant directly into their bank account. They expect people to access the scheme by the beginning of June.
- Will ensure support reaches those self-employed people who are most in need of it. The scheme will only be open to those with trading profits up to £50,000, leaving 95 per cent of people who are majority self-employed eligible for the scheme. HMRC will also ask people to demonstrate that the majority of their income comes from self-employment, and, to minimise fraud, only those who are already in self-employment, and who have a tax return for 2019, will be able to apply.
This builds on the support that is already available to self-employed people:
- Many will be able to access loans through the Coronavirus Business Interruption Loans Scheme. This scheme provides loans of up to £5 million, which will be interest free for twelve months.
- It will be quicker and easier to access benefits. Those on contributory ESA will be able to claim from day 1, instead of day 8. They are relaxing the requirement for anyone to physically attend a job centre – everything can be done by phone or online.
- The minimum income floor will be suspended for twelve months – meaning self-employed people can now access, in full, Universal Credit at a rate that is equivalent to Statutory Sick Pay for employees.
- Income tax self-assessment payments will be deferred for July until the end of January 2021.
Support for Businesses
I know how tough it is for all businesses right now, large or small. I am working very closely with the Government, and am committed to supporting you through this crisis. Last week the Chancellor and Prime Minister made it clear that the Government will stand behind every business and employee that is affected by Coronavirus. These are unprecedented measures: For the first time in our history, the British Government is going to step in and help pay people’s wages.
- The Government is stepping in and helping pay people’s wages – a scheme which is one of the most generous of any in the world – paying grants to support as many jobs as necessary. Any employer in the country – large, small, charitable or for profit – who promises to retain their staff, can apply for a grant to cover most of the cost of paying people’s wages. Government grants will cover 80 per cent of the salary of retained workers up to a total of £2,500 a month – above the median income. No limit will be placed on these grants. The cost of wages will be backdated to 1st March and will be open initially for at least three months – this scheme and this will be extended if necessary. This scheme will be up and running in April.
- Deferring the next three months of VAT tax, a direct injection of over £30 billion of cash to employers. That means no business will pay any VAT from now until the end of June, and they will have until the end of the financial year to repay those bills.
- The Coronavirus Business Interruption Loan Scheme will now be interest free for twelve months, an extension from the initial announcement of six months. The Government has already introduced and announced an extension to the Business Interruption Loan Scheme, which is for small and medium-sized businesses. On Tuesday, the Chancellor expanded the amount that can be borrowed from £1.2 million to £5 million.
- No business in the retail, hospitality or leisure sector will pay any Business Rates for 12 months. All businesses in this sector are exempt from business rates for 12 months – that’s every single shop, pub, theatre, music venue, restaurant, and any other business in the retail, hospitality or leisure sectors. In addition, we will provide small businesses in these sectors with an additional grant scheme of up to £25,000. Any business with a rateable value of less than £51,000 can now get access to a government grant.
- Supporting small and medium-sized businesses to cope with the extra costs of paying Statutory Sick Pay (SSP) by refunding eligible SSP costs. The criteria for eligible businesses can be viewed here.
Many of you will have questions about the details of these schemes. The Government has launched a new website that helps businesses find out how to access the support that has been made available, who is eligible, when the schemes open and how to apply. Please don't hesitate to contact me at bim.afolami.mp@parliament.uk if you have any outstanding questions.
STAY SAFE, STAY HOME
You must stay at home, only leaving for the following very limited purposes:
- Shopping for basic necessities, as infrequently as possible.
- One form of exercise a day. For example, a run, walk or cycle – alone or with members of your immediate household.
- Any medical need, to provide care or to help a vulnerable person.
- Travelling to and from work, but only where this absolutely cannot be done from home.
All non-essential businesses and premises have been closed.
You should not be meeting friends or family members that do not live in your household. The police will issue fines to anyone that doesn't comply to these rules.
The 'vulnerable' sector
- Those who fall into the 'vulnerable' sector in society have been contacted by the NHS this week to shield themselves from social contact for around 12 weeks.
- Individuals self-isolating at home and who are without a support network of friends and family will receive basic groceries and medicine through the Government's new Local Support System.
The NHS
- The NHS has issued a call for volunteers to support the 1.5 million extremely vulnerable in our communities who have been asked to stay at home to shield themselves from Coronavirus for twelve weeks.
- It is important to stress that we should all only use the NHS hotline 111 when we really need to. The majority of those who have symptoms will only have a mild or moderate disease and thus do not need to rely on the NHS for support. Instead, please go to the NHS website and follow the appropriate advice. It is important this line is kept clear for the small minority who will suffer significant disease. Stay home and save lives!
My Facebook, Twitter and Website will continue to provide regular updates and information that may be useful to residents, so make sure to check these regularly over the upcoming weeks and months.
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