Day: May 22, 2020

Businesses may have to cover insurance and pensions of furloughed staff

Chancellor Rishi Sunak is weighing up different options for having businesses share cost of furlough scheme

Rishi Sunak could ask thousands of small businesses to cover national insurance and pension contributions of staff on furlough from August.

Earlier this month, announcing the Coronavirus Job Retention Scheme would be extended until the end of October, the chancellor said that businesses would have to share some of the cost with government.

>See also: Rishi Sunak extends job retention furlough scheme to October

According to Bloomberg, one idea under consideration is asking small businesses to share the pain by covering national insurance

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Nearly half of small businesses do not intend to repay government loans

A total of 16% of small businesses that have taken out Bounce Back Loans fear going bust within a year

Nearly half of small businesses that have taken out government emergency coronavirus loans do not intend to repay them.

Forty-three per cent of businesses that have taken out either Bounce Back Loans or Coronavirus Business Interruption Loans say they do not believe the government will chase the debt, or that they will be unable to repay the loan, according to the Business Banking Resolution Service.

Nearly 60 per cent of the 500 small businesses surveyed by the BBRS have accessed

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