Build UK Daily Update

Source - Build UK

The Bounce Back Loan Scheme (BBLS) opens for applications today.

• Businesses can borrow between £2,000 and £50,000, capped at 25% of turnover, with no fee to access the scheme
• The Government will guarantee 100% of the loan and there will not be any fees or interest to pay for the first 12 months
• Loan terms will be up to 6 years and no repayments will be due during the first 12 months
• Interest rates will be capped at 2.5% per annum
• Lenders are not permitted to take personal guarantees or recovery action over a borrower’s personal assets (such as their main home or personal vehicle).

To be eligible for the scheme, a business must be based in the UK, have been negatively affected by coronavirus (COVID‐19), have been trading on 1 March 1 2020, and not have been an ‘undertaking in difficultly’ as of 31 December 2019.

To apply, companies should approach a lender via its website and fill in the short online application form to self‐certify that they are eligible for a loan. You cannot apply if you’re already claiming under the Coronavirus Business Interruption Loan Scheme (CBILS); however, if you would like to transfer your CBILS loan into the BBLS, you can arrange this with your lender until 4 November 2020.

Build UK has teamed up with KPMG to provide guidance on tax measures introduced by HMRC in response to coronavirus, including Time to Pay, business rates and property‐related grants, income tax deferral, VAT, and corporate tax.

Working in partnership with Builders' Conference, Build UK has reviewed contracts awarded and tender opportunities in light of the uncertainty caused by coronavirus.

The last 12 months have been dominated by political events, including Brexit, the Conservative leadership contest and the General Election, resulting in peaks and troughs in the number of contracts being awarded. Between April 2019 and March 2020, an average of 621 contracts was awarded each month; however, this fell to 524 contracts in April 2020. This is 16% below the average and a decrease of 23% compared to March 2020 and 32% compared to April 2019.

Read our latest statement which contains further data and information from Builders’ Conference.

Further Information

There are two webinars taking on place on Thursday 7 May at 11:00am:

• BEIS is hosting one on managing your business during coronavirus, including tax, filing reports and accounts, and right to work checks. You will need to register, and questions can be submitted via email to sed@beis.gov.uk until tomorrow.
• Build UK partner, Willis Towers Watson, is running one on remobilising construction sites from an insurance perspective and again you will need to register.