Boris Johnson doubles support for self-employed during new lockdown
Prime Minister Boris Johnson has announced a doubling of support for the self-employed during England’s new coronavirus lockdown and an extension of the deadline for government-backed business loans.
Johnson addressed the House of Commons this afternoon after announcing a month-long lockdown on Saturday. MPs will vote on the new measures on Wednesday, with both Labour and the Liberal Democrats pledging to support the move.
If voted through, the new lockdown will come into effect on Thursday. It will mean pubs, restaurants, gyms and non-essential shops will have to close, delivering another blow to the economy.
Johnson told MPs that he is “truly sorry for the anguish these measures will impose, particularly for businesses that have just got back on their feet”. Yet he added: “For now it is clear that we must do more together.”
To help businesses and workers through the pandemic, the government will ramp up support for the self-employed, he said.
It will now pay 80 per cent of people’s normal trading profits for November, as opposed to the previous plan to pay 40 per cent.
In a statement following the speech, the Treasury said it would also pay out money faster than previously planned. The claims window will be brought forward to 30 November.
Coronavirus loans extended during new lockdown
The government also extended the deadline for firms to apply for state-backed loans. The new deadline will be 31 January, the Treasury said. That was despite Johnson saying the deadline would be moved “from the end of this month to the end of next”.
It includes the bounce back loan scheme, the coronavirus business interruption loan schemes and the future fund, through which companies have already borrowed more than £60bn from banks.
The Prime Minister reiterated the new measures to the House. He said people should not leave the house except for education, work if they cannot work from home, exercise, medical reasons, to shop, or to care for others.
“I am afraid that non-essential shops, leisure and entertainment venues and the personal care sector will all be closed. Hospitality must close except for takeaway and delivery services.
“Workplaces should stay open where people can’t work from home – for example in construction or manufacturing. Elite sport will also be able to continue.”
Johnson is facing opposition from some of his own Tory MPs over the measures. Sir Charles Walker criticised the government for curtailing people’s freedoms and said he would vote against the moves.