To ask the Chancellor of the Exchequer, if he will extend the Coronavirus Job Retention Scheme beyond 30 September 2021 until at least March 2022 for people who work within small- and medium-sized enterprises within the travel industry.
Answered on
18 October 2021
After nineteen months, the unprecedented Coronavirus Job Retention Scheme (CJRS) closed on 30 September 2021. Since the scheme’s inception, the CJRS supported 11.6 million jobs across the UK, with employer claims totalling £68.5 billion, aiding businesses and protecting livelihoods. It was right to provide exceptional support while widespread Covid restrictions were in place. As the economy has reopened, the jobs market has recovered, vacancies are at record highs and the success of the government’s vaccine programme has allowed us to lift almost all restrictions. As set out in the Plan for Jobs: Progress Update published on 13 September 2021, this approach has worked. It is right that we continue to wind down our temporary pandemic support, while continuing to support businesses to invest in the recovery, and supporting people into new jobs.
Our Plan for Jobs will continue to create jobs and ensure support for business continues, especially for those sectors most affected by necessary restrictions and which may take longer to bounce back, such as the travel and tourism industry. The following support package remains in place for businesses:
o Over 90% of eligible retail, hospitality and leisure businesses in England are still benefitting from a 66% cut in business rates until 31 March 2022 – worth over £16bn since March 2020.
o Hospitality and tourism firms are also still benefitting from a VAT reduction – paying only 12.5% in VAT from 1 October 2021 until 31 March 2022. This supports around 150,000 businesses, helping to protect 2.4 million jobs.
o The arts and culture sector can still access support from the £1.57 billion Culture Recovery Fund to help protect jobs across the country, which was topped up at the Spring Budget by a further £390m.
o Businesses continue to be able to access finance thanks to the Recovery Loan Scheme until the end of the year, and are protected from eviction if they are behind on rent on their premises until next March.