In the Budget 2020 on Wednesday 11 March, the Chancellor announced significant support for businesses and individuals to financially survive the coronavirus pandemic. This evolved throughout the summer with more support and schemes extended. On 24 September 2020, Rishi Sunak announced the Government’s Winter Economy Plan designed to continue to help businesses and individuals in light of the re-introduced social restrictions and the rising coronavirus cases. On 9 October 2020, Rishi Sunak said that the Job Support Scheme will be expanded to protect jobs and support businesses required to close their doors as a result of coronavirus restrictions. On 22 October 2020, in response to rising coronavirus cases and forced closures of some regional businesses due to local lockdowns, the Chancellor extended the financial support through the recently announced winter support schemes.
On 31 October 2020, it was announced that England would go into a national lockdown from Thursday 5 November 2020 to Wednesday 2 December 2020. As a result, the Coronavirus Job Retention Scheme has been extended and improved and the new Job Support Scheme has been temporarily put on hold. In addition, the terms of the Self-employment Income Support Scheme (SEISS) have been extended to align with the Coronavirus Job Retention Scheme and all of the loan schemes have been extended to 31 January 2021. You can find more details of the latest announcement below.
Here is the latest Government update regarding mortgage financial support.
Mortgage Payment Holidays (current proposal from FCA)
- Mortgage payment holidays will no longer end at the end of October 2020 as originally intended.
- Borrowers who have not yet had a payment deferral will be eligible for 2 payment deferrals of up to 6 months in total.
- Borrowers who currently have an initial payment deferral will be eligible for another payment deferral of up to 3 months.
- Borrowers who have resumed repayments after an initial payment deferral will be eligible for another payment deferral of up to 3 months.
- Borrowers have until 31 January 2021 to request a payment deferral.
The full report including Job Retention Schemes, Business Grants & SEISS Extention can be downloaded here
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