A West Country business organisation is calling for the Government to provide a clear exit plan for the second lockdown coupled with a strategy to deliver economic growth in 2021.
Exeter Chamber of Commerce said the impact on the city’s businesses from will be “severe” and has called on the Tory Government to provide a package of support that goes beyond the already announced
It wants the furlough scheme widened to cover the self-employed, additional grants to help firms pay the rent, and extensions on when coronavirus crisis loans have to be repaid.
On October 31, Prime Minister Boris Johnson announced that England would return to full lockdown from November 5 to December 2, and that non-essential shops, leisure and entertainment venues will be required to close.
But he also said the Coronavirus Job Retention Scheme, which pays a proportion of “furloughed” workers’ wages, will now remain open until December with employees receiving 80% of their current salary for hours not worked, up to a maximum of £2,500.
Exeter Chamber said: “With Covid infections increasing rapidly, Exeter Chamber understands the necessity for a second lockdown. However, whilst the extension of the furlough scheme for a further month is welcome, the impact to businesses will still be severe.
“We would like to see this mitigated by furlough being extended to those businesses, including the self-employed, who have previously been excluded and by providing additional grants to help cover rent and other business costs.”
The Chamber also called for a “buy local” approach, in Exeter, and said: “We are particularly concerned that, as we head into what is traditionally both retail and hospitality’s busiest time of the year, restrictions without further support could be devastating for both sectors. We would encourage everyone to support their local businesses wherever possible.”
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And it was concerned about whether the lockdown would be extended beyond the start of December, after Chancellor of the Duchy of Lancaster Michael Gove said it was a possibility, and the effect on businesses of the 海角视频’s full Brexit from the EU, perhaps without a trade deal.
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Exeter Chamber said: “More worryingly, Michael Gove has already indicated that lockdown could extend well beyond December 2 and into the New Year – a time when we will also be facing the impact of Brexit.
“We therefore expect the Government to urgently provide an exit plan from lockdown coupled with a clear strategy to deliver economic growth across 2021 and beyond.
“Furthermore Government-backed loans such as the bounce back loan helped businesses plug gaps in their revenue streams at the start of the pandemic, but the crisis is going on much longer than anyone expected at the time.
“Those loans are due to begin being repaid in less than six months. We’re calling for the interest-free period and the date for commencement of repayments to be extended by a further year, beginning May 2022.
“Whilst Exeter’s unemployment rate continues to remain well below the national average, the new restrictions will inevitably cause an increase. The Chamber’s joint initiative with Exeter City Council, Exeter Works, is now available for people seeking information and support across all areas of employment and training.”