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MP reacts to the Chancellor’s coronavirus recovery plan

8th July 2020
Posted by Johnny Jenkins

Today the Chancellor of the Exchequer, Rishi Sunak MP, announced a £30 billion package of support for the economy and jobs. The Jobs Retention Bonus will see the Government pay employers a £1,000 bonus for each furloughed employee continuously employed until the end of January 2021.

The Kickstart Scheme will support hundreds of thousands of young people into work, by directly paying employers who create jobs for any young person (16-24) at the risk of being long-term unemployed, covering the cost of the young person’s salary as well as a reasonable administration cost.

The Government will also pay employers £1,000 to give trainees work experience, and will provide funding to triple the number of apprenticeships. For businesses hiring new young apprentices, the Government will provide £2,000 for each apprentice they hire under the age of 25, along with other support measures.

In addition, the Chancellor announced a cut to Stamp Duty, with a temporary increase of the nil rate band of residential SDLT from £125,000 to £500,000, applying from today until 31st March 2021.

To further support the tourism and hospitality sectors, for six months the Government will cut VAT on goods and services supplied by food services, attractions and accommodation sectors to 5%. To support cafés, restaurants, pubs and other eligible businesses, the Government will give everyone in the UK 50% off the cost of the price of a meal out in August, including the cost of food and non-alcoholic drinks. This will operate from Mondays to Wednesdays, up to a cap of £10 per person.

John Baron MP (Basildon and Billericay) commented:

“With these measures the Government and the Chancellor are making enormous efforts to support our economy as we emerge from the coronavirus outbreak. I welcome the moves to protect jobs, and especially the measures to help young people, which will make a real difference.”

“Cuts to stamp duty will mean that nine out of ten people getting on or moving up the property ladder will pay no stamp duty at all, giving our housing market a real boost. Moreover, the support for the tourism and hospitality sectors will be greatly received, and I encourage all constituents to support our local businesses in a safe manner.”

Image: ©UK Parliament/Jessica Taylor