New coronavirus lifeline welcomed by business leaders

Chief Secretary to the Treasury Steve Barclay said that businesses in England required to close due to local lockdowns or targeted restrictions will now be able to receive grants worth up to £1,500 every three weeks.

Federation of Small Businesses national chairman Mike Cherry said: “Though a lot of firms have now been able to reopen, thousands are still impacted by local lockdowns and sector-based restrictions.

"That’s why this intervention is so critical - throwing a much needed additional financial lifeline to those most harmed.

“We look forward to working with Government to make sure there is a straightforward claims process for all firms affected.”

British Chambers of Commerce director general Adam Marshall said: “Businesses forced to close through no fault of their own will welcome any new grant support, but for most this will not be enough to offset the resulting cash crunch.

“With new local restrictions becoming more frequent, a comprehensive package of support will be needed for affected firms. More than half of Chamber members see local lockdowns as a major barrier to maintaining day-to-day operations and more than 1 in 3 have three months or less worth of cash in reserve.

“Ministers should increase the amount on offer to ensure businesses and jobs are protected, and extend coverage to more firms that are hard-hit but not forced to close.”

Chief Secretary to the Treasury Steve Barclay said: "These grants provide businesses with a safety net as they temporarily close their doors to help save lives in their local areas.

As local economies eventually and carefully re-open after local interventions, our Plan for Jobs is there waiting to help businesses get back on their feet, protect jobs and thrive in the future."

Speaking in the House of Commons, Barclay also reiterated the recent commitment to roll-out additional payments for people on low incomes who are required to self-isolate in areas with high levels of Covid-19.