The Construction Industry Council’s (CIC’s) ‘CIC Coronavirus Digest – Issue 5’ surveys the latest government advice on the coronavirus (COVID-19) and updates from the construction industry, with selections from the Digest’s Issue 3 for further reference.
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The CIC writes:
Business Closures and Stay at Home
To reduce social contact and help stop the spread of coronavirus, the UK Government has ordered certain businesses and venues to close. A list of these businesses can be found here. With the exception of these organisations, the UK Government has not required any other businesses to close – it is important for business to carry on.
Where businesses continue to open, employers should take every possible step to facilitate their employees working from home. Certain jobs require people to travel to their place of work – for instance if they operate machinery, work in construction or manufacturing, or are delivering front line services. If your employees cannot work from home then they can still travel to work, provided they are well and no one in their household is self-isolating.
Employers who have people in their offices or onsite should ensure that employees are able to follow Public Health England guidelines including, where possible, maintaining a 2 metre distance from others, and washing their hands with soap and water often for at least 20 seconds (or using hand sanitiser gel if soap and water is not available). Where that is not possible, and there are many types of job where that will be challenging, the PHE/Chief Medical Officer Advice is that it is okay to come to work.
A list of frequently asked questions alongside the appropriate guidance can be found here.
HMRC will use the average profits from tax returns in 2016-17, 2017-18 and 2018-19 to calculate the size of the grant. The scheme will be open to those where the majority of their income comes from self-employment and who have profits of less than £50,000. The scheme will be open for an initial three months with people able to make their first claim by the beginning of June.
You can find more information on eligibility and how to access the scheme here.
Self-employment Income Support Scheme Frequently Asked Questions
Self-employment Income Support Scheme Claim for wage costs through the Coronavirus Job Retention Scheme
Guidance for employers on the coronavirus (COVID-19) Job Retention Scheme has now been published. The Coronavirus Job Retention Scheme is a temporary scheme open to all UK employers for at least three months starting from 1 March 2020. We expect the scheme to be up and running by the end of April. It is designed to support employers whose operations have been severely affected by coronavirus (COVID-19).
Employers can use a portal to claim for 80% of furloughed employees’ (employees on a leave of absence) usual monthly wage costs, up to £2,500 a month, plus the associated Employer National Insurance contributions and minimum automatic enrolment employer pension contributions on that wage. Employers can use this scheme anytime during this period.
The scheme is open to all UK employers that had created and started a PAYE payroll scheme on 28 February 2020.
Support the fight against Coronavirus
The Construction Leadership Council is in touch with NHS London Hospitals Trust to help the NHS with urgently needed PPE. A summary of the equipment required is as follows:
- FFP3 Respirator Masks
- Full Face Visors (disposable)
- Full Face Visors (reusable)
- Safety Goggles/Glasses
- Hand Sanitiser
- Full Body (Hazardous Material) Suits
- Logistics/Transport support
If you are able to provide some of these essential pieces of equipment, please get in touch with Graham Watts (gwatts@cic.org.uk).
HMRC’s tax helpline is changing
HMRC has a set up a phone helpline to support businesses and self-employed people concerned about not being able to pay their tax due to coronavirus. The tax helpline number is changing. You can now call them on 08000 241222. Opening hours are from 8am to 4pm Monday to Friday. Calls to the old helpline number will be redirected automatically.
Coronavirus policies on construction globally
At a CLC meeting, attention was drawn to a report about coronavirus and Covid-19 policies in other countries. To read the report, please click here.
CITB to suspend Levy for 3 months
CITB’s board met on Wednesday (March 25) and gave final approval to suspend the issue of its levy bills, due for payment in 2020, for an initial period of three months. The bills will subsequently be issued for the full year. The delay will provide immediate financial relief to construction employers during the coronavirus crisis. In normal times CITB assesses and sends out levy bills each April in accordance with legal requirements. CITB levy bills are usually due for payment in May, but CITB will not seek collection on the suspended bills until August, or later if possible. You can read industry response to this welcome news here.
COVID-19 Construction Industry Taskforce
An industry Task Force has been set up to work with BEIS and Government ‘to protect the current and future of the construction industry.’
Any members or recipients with information, data and/or ideas that may be helpful to the work of this task force please contact the CIC Chief Executive on gwatts@cic.org.uk
BEIS’ Request for Business Intelligence
The Government is closely monitoring developments in relation to potential economic impacts on the UK economy and individual?businesses and supply chain.
We welcome information?from businesses on:
- The?impacts across supply, demand and labour markets
- Actions?being taken by firms to address these impacts
- Any gaps in the?Government?response?from?your?perspective
Please send your intelligence?to?intel@beis.gov.uk.
We are aware that individual company information?may be commercially sensitive,?and it will be treated accordingly.??Please note that this inbox is only for receiving intelligence only and does not provide business advice.
ISSUE 3
… CLC publishes Site Operating Procedures
Andy Mitchell, Chair of the Government’s Construction Leadership Council and Construction Industry Taskforce, has put out a statement and document for construction sites of any size operating during the COVID-19 pandemic to ensure that they are protecting their workforce and minimising the risk of spread of infection.
To read the Site Operating Procedures, please click here.
Joint letter from RIBA, RICS and RTPI to Prime Minister
On Friday, the Chief Executives of RIBA and RTPI and the Managing Director of RICS wrote to Boris Johnson in order to both offer their ‘help in this time of national emergency and seek Goverment support for the UK’s construction and infrastructure sectors which are worth over £100 billion to the UK economy’. To read the letter in full, please click here.
RIBA letter to Government
Last week, RIBA CEO Alan Vallance wrote to the Chancellor to set out urgent measures required to support architects over the coming weeks and months. The letter asks the Government to deliver in three main areas:
- preserving cash flow
- maintaining the operation of the planning and development control systems
- ensuring that construction projects continue in a safe way
To read more about the letter, please click here.
Scotland
The Scottish Government has confirmed that it is now advising construction sites to close (https://www.gov.scot/publications/first-minister-covid-19-update-1) . It is currently developing guidance for business on how to respond, and how to confirm whether their activities are essential or non-essential.
CIAT on COVID-19
The COVID-19 section on the CIAT website is now live for members and guests. This page will be updated regularly with information and resources as they receive them. The link is https://ciat.org.uk/covid-19.html
CITB update on Apprenticeships
The CITB is helping SMEs with the funding of apprenticeships by bringing forward payment of some apprenticeship grants. Details will be announced shortly. In the meantime CITB urges all employers not to dismiss any apprentices without first speaking to its Apprenticeship team: Employer.ApprenticeshipQueries@citb.co.uk Apprenticeship Officers will continue to be employers’ point of contact. A letter was sent to all apprentices on 19 March advising them that their Apprenticeship Officer will be in touch. Apprentice reviews and engagement will be delivered via phone or Skype.
CITB is working with Education and Skills Funding Agency to discuss the existing funding rules around breaks in learning for apprentices. Additionally we are working with IfATE to look at the impact that the Apprenticeships Frameworks switch off on July 31st 2020 will have, in light of the inevitable delays to achievement. We will keep you updated on the outcomes of those discussions.
Procurement Policy Note – Supplier relief due to COVID-19
This Procurement Policy Note (PPN) sets out information and guidance for public bodies on payment of their suppliers to ensure service continuity during and after the current coronavirus, COVID-19, outbreak. Contracting authorities must act now to ensure suppliers at risk are in position to resume normal contract delivery once the outbreak is over.
To read the PPN in full, please click here.
Coronavirus Job Retention Scheme
Under the Coronavirus Job Retention Scheme, all UK employers will be able to access support to continue paying part of their employees’ salary for those employees that would otherwise have been laid off during this crisis. Employers will need to:
- Designate affected employees as ‘furloughed workers,’ and notify employees of this change. Changing the status of employees remains subject to existing employment law and, depending on the employment contract, may be subject to negotiation; and
- Submit information to HMRC about the employees that have been furloughed and their earnings through a new online portal. HMRC will set out further details on the information required.
- HMRC will reimburse 80% of furloughed workers wage costs, up to a cap of £2,500 per month.
HMRC are working urgently to set up a system for reimbursement. Existing systems are not set up to facilitate payments to employers. If your business needs short term cash flow support, you may be eligible for a Coronavirus Business Interruption Loan.
Coronavirus Business Interruption Loan Scheme
The new Coronavirus Business Interruption Loan Scheme supports SMEs with access to working capital (including loans, overdrafts, invoice finance and asset finance) of up to £5 million in value and for up to 6 years. The scheme is now open for applications. To apply, you should talk to your bank or one of the 40 accredited finance providers (not the British Business Bank) as soon as possible, to discuss your business plan. You can find out the latest on the best ways to contact them via their websites. The full rules of the scheme and the list of accredited lenders are available on the British Business Bank website.
Deferring Value Added Tax (VAT) payments for 3 months
The deferral will apply from today until the end of June. This is an automatic offer with no applications required. Businesses will not need to make a VAT payment during this period. Taxpayers will be given until the end of the 2020-21 tax year to pay any liabilities that have accumulated during the deferral period. VAT refunds and reclaims will be paid by the government as normal.
Income Tax payments due in July 2020 under the Self Assessment system will be deferred to January 2021
Income Tax Self-Assessment payments due on the 31 July 2020 will be deferred until the 31 January 2021. This is an automatic offer with no applications required. No penalties or interest for late payment will be charged in the deferral period.
HMRC Time To Pay
HMRC have also scaled up their Time to Pay offer to all firms and individuals who are in temporary financial distress as a result of Covid-19 and have outstanding tax liabilities. You can contact HMRC’s dedicated Covid-19 helpline to get practical help and advice. This can be reached by calling 0800 0159 559
BEIS’ Request for Business Intelligence
The Government is closely monitoring developments in relation to potential economic impacts on the UK economy and individual?businesses and supply chain. We welcome information?from businesses on:
- The?impacts across supply, demand and labour markets
- Actions?being taken by firms to address these impacts
- Any gaps in the?Government?response?from?your?perspective
Please send your intelligence?to?intel@beis.gov.uk.
We are aware that individual company information?may be commercially sensitive,?and it will be treated accordingly.??Please note that this inbox is only for receiving intelligence only and does not provide business advice.
All the information on government advice and support relating to COVID-19 for businesses can be found here.
Production and supply of ventilator components
The Department for Business, Energy and Industrial Strategy is looking for organisations who can support in the supply of ventilators and ventilator components across the United Kingdom as part of the government’s response to COVID-19. If your business can help with the Prime Minister’s call for ventilator production, please visit https://ventilator.herokuapp.com to register your details.
COVID-19 Construction Industry Taskforce
An industry Task Force has been set up to work with BEIS and Government ‘to protect the current and future of the construction industry.’
Any members or recipients with information, data and/or ideas that may be helpful to the work of this task force please contact the Chief Executive on gwatts@cic.org.uk.
See more on CIC at www.cic.org.uk
