Source: Channel Islands – Jersey
The Government of Jersey is enhancing its support packages for hospitality, gyms and other businesses which have been affected by further Public Health measures.
The Co-Funded Payroll Scheme (CFPS) will now be increased to pay licensed premises, food wholesalers, and gyms 90% of employees’ salaries rather than 80%. This means that the contribution cap will be increased to £1,800 per employee per month.
The contribution will be calculated based on the financial detriment a business has suffered compared to the previous year, plus an additional 20%. This change means that businesses with a detriment of 70% or more will therefore qualify for the higher rate of subsidy.
The enhancement to CFPS will run to at least March 2021 and will be subject to regular review. New businesses established since March 2020 in sectors which have been forced to close due to public health measures can now qualify for the payroll scheme.
Businesses will also be able to access further support through additional GST and Social Security Contribution deferrals. Businesses which have had to close will be eligible to defer their Quarter 4 GST and Social Security contributions for up to two years. Those businesses which need further time to pay any outstanding GST and Contributions for Quarter 3 will also have up to two years to make their payment.
The Bank Loan Guarantee Scheme has also been extended in to 2021 with a guarantee of £3 million available until the end of March 2021.
The Minister for Economic Development, Senator Lyndon Farnham, said: “The Co-Funded Payroll Scheme has successfully supported thousands of jobs and has helped keep hundreds of businesses operating throughout the pandemic, but it’s important that we continue to assess the situation and make amendments to the scheme as and when required.”
“It is essential to help local business withstand the impact of the public measures, so Ministers have decided to enhance the support, especially those sectors which have been hardest hit. The amended schemes that we are introducing will continue to protect jobs and focus on the businesses that have been most affected by the strict measures we have introduced to help counter the pandemic.”
“We will continue to keep all business support measure under review to ensure we provide the appropriate support at every stage of the pandemic.”
Minister for Treasury and Resources, Deputy Susie Pinel, said: “We have agreed to enhance the support for the businesses most effected by the measures intended to keep Islanders safe. While we are continuing to focus on lives and livelihoods, we must prioritise the health of our community.
“I understand that, as Government responds to the latest medical advice, we may introduce guidance which causes worry for business owners. These support measures will provide some reassurance for businesses over the coming months.”