Sponsored content written by Simon Turner, Partner at Armstrong Watson LLP.

With restrictions set to ease over the coming weeks and months, many businesses will be looking at getting back on track, but until they realistically can, they’ll still need financial support to weather the end of the storm.

All eyes are on the Budget and it is hoped a new phase of funding will be announced. It has been reported that the Chancellor is preparing to offer self-employed workers grants of up to £2,500 a month until the end of April, meanwhile, Boris Johnson has signalled that the furlough scheme will continue beyond April, with reports suggesting it could support workers until July. The support provided to businesses and individuals has come at a huge cost and the Government will need to fill this deficit at some point.

The Chancellor has made mention of National Insurance contributions increasing, but will he announce this in the Budget? Time will tell. It is perhaps too early for announcements relating to increases in tax on income for the wider population and these decisions could be delayed until the Autumn.

The Government has already expressed some interest in adjusting Capital Taxes and we could expect some announcement on this tomorrow. These taxes affect a smaller proportion of the population and have the potential to generate additional revenue.

The good news though, is that the Government has already announced that business owners who deferred VAT payment last year can join a new scheme to pay it in smaller monthly installments.

These deferred payments, from between 20 March and 30 June 2020, which were due at the end of this month, can now be spread over up to 12 months interest free.

HMRC launched the VAT Deferral New Payment Scheme on the 23 February and applications are open until 21 June.

To apply you must have a government gateway account and be up to date with your VAT returns. You must also correct any errors on the affected returns before you make an application.

To apply visit www.gov.uk/guidance/deferral-of-vat-payments-due-to-coronavirus-covid-19.

Armstrong Watson is holding a live Budget Analysis webinar on Thursday at 5pm to discuss key announcement. Our expert panel will be available to answer any questions, which can be submitted in advance. Visit bit.ly/AW-SpringBudget-Analysis to register.

If you require support or advice on any issues raised in the Budget please get in touch by calling 01609 702000 or email help@armstrongwatson.co.uk