FSB welcomes the government’s flexibility on late payment and insurance claims
Businesses damaged in last week’s riots will be able to seek compensation under the Riot Damages Act, prime minister David Cameron said last week.
Cameron spoke last Thursday (August 11), when parliament was recalled following the riots.
Government also announced later tax-payment deadlines for firms affected by the rioting, a move welcomed by the Federation of Small Businesses (FSB).
Additionally, the FSB welcomed a £20m high street fund for firms affected by looting and violence, and the extension for businesses to claim on their insurance from 14 to 42 days.
“This disruption is causing untold damage to individual businesses, our extremely fragile economy and our image, less than a year ahead of the Olympic Games,” said FSB chairman, John Walker. “Our cities simply cannot afford for this to continue and it is impossible to estimate how much this is going to cost the business community.
“Small firms are still reeling from the shock of the last week and are trying to pick themselves up from the damage caused. Government is stepping up and supporting small firms at this time and we are glad to see insurance deadlines and the Time to Pay scheme have both been extended – sensible measures which we had been saying were absolutely crucial.”
Walker continued: “With concerns that businesses are not able to use the Time to Pay scheme more than once, the FSB is urging HMRC to ensure firms which have been looted or burnt down and have used this scheme before are able to use it again.
“The announcement that government will support firms through the high street support scheme, suspension of business rates payments for affected firms and help for those uninsured, is welcomed by the FSB. At this time, it is also vital people keep trade local to support their communities, enabling firms to get up and running again.”
