Budget 2021 - support for business

The Chancellor has reconfirmed the Government’s commitment to continue providing unprecedented support through what's been the most difficult time in the recent lives of many constituents and businesses across Norwich and Norfolk.

At an important time of both challenge and change, I know people will value certainty, and that's what this Budget seeks to do.

To protect the hospitality industry, the 5% reduced rate of VAT has been extended until 30 September 2021. After that, the Chancellor has announced an interim rate of 12.5% for another six months. This is particularly welcome news for hotels, cafes and others in north Norwich.  It comes in addition to the Restart Grants for high street shops and hospitality firms as we all look for the economy to re-open.  

As the Bounce Back Loan and CBIL schemes are ending, the new Recovery Loan Scheme will support Norwich businesses of any size to apply for loans from £25,000 up to £10 million up until the end of the year. This means that any business across Norwich North can apply for support to see them through this difficult period. 

For small businesses across Norwich, the Chancellor has announced that the 100% business rates holiday will continue through to the end of June. For the rest of this year, business rates will be discounted by two thirds up to £2 million for businesses that have been affected by the lockdown restrictions. This equates to a £6 billion tax cut for business.  And of course, business equals jobs. 

The Government’s new Help to Grow scheme also allows small and medium enterprises to get world-class management training from our leading business schools. For this, businesses will pay just £750 which is 10% of the unit cost. In addition, the Budget outlines a further 50% contribution towards the purchase of new productivity enhancing software. 

I know that so many businesses across this great city – every restaurant, hairdresser, beauty salon, gym and more – have been impacted by the pandemic. In the months and years ahead, I will work to support and champion every single good business back to prosperity and I know the Government is working with unparalleled commitment to see us safely through. 

This Budget sets the course and outlines the support that businesses and workers alike across Norwich North will need in the years ahead.  

If you have any questions or needs, please contact me and I will do all I can to help.