Coronavirus: Bad debts and commercial disputes
Mark Osgood | 10.04.2020
03.04.2020 Samantha Grose
In the last two weeks we have seen the government introduce stringent measures in the fight to tackle coronavirus. This has impacted both small and large businesses alike.
Various measures have been introduced and proposed to support businesses during this time. It is difficult to keep track of what support is available to businesses with the influx of news on a daily basis and therefore the intention of this article is to summarise the key measures in one place. Please follow the link’s to access more details on the different measures.
We intend to update this article as new measures are implemented or proposed. Please feel free to save the webpage to your favourites and check back to keep up-to-date on the support available to your business.
Emergency legislation was passed and the ‘Coronavirus Act 2020’ is now in force. Please note some of these measures below are proposed only at this stage and not yet in force.
Available to retail, hospitality and leisure businesses and nurseries in England for the 2020 to 2021 tax year.
Business tenancies for non-payment of rent cannot be enforced until 30 June 2020 (date could be changed).
The unprecedented nature of coronavirus gives rise to two possibilities for non-performance and avoiding legal liability in commercial contracts by way of Force Majeure and Frustration clauses.
These have been relaxed so that pubs and restaurants can switch to provide takeaways or deliveries, without applying for change of use.
The off-payroll working rules (IR35) that would have applied for people contracting their services to large or medium-sized organisations outside the public sector, will be delayed for one year from 6 April 2020 until 6 April 2021.
SMEs will be able to reclaim Statutory Sick Pay (SSP) paid for employee’s sickness absence due to coronavirus.
Extended deadlines for filing provided companies apply before the normal deadline.
We hope that some of the measures detailed above help your business during this difficult time. However, if you are worried about the future of your business, please do not hesitate to contact our insolvency and restructuring team who will be happy to assist you.