Newly appointed Chancellor of the Exchequer, Rishi Sunak, delivered his first Budget on 11 March, against a backdrop of uncertainty following the COVID–19 outbreak and subsequent financial losses. It was the first of two Budgets to be delivered in 2020, with the second to follow in the autumn.
COVID–19 AND THE NHS
The Chancellor wasted no time in diving into the heart of the issue on the minds of so many across the nation: the COVID–19 crisis. Taking an empathetic tone, he reassured the British public that “we will get through this together“, emphasising the temporary nature of the crisis and his firm belief in the ability of the British economy to weather the storm.
Mr Sunak then called on all parties across the House to support his £30bn fiscal stimulus, including welfare and business support, to “keep this country and our people healthy and financially secure“.
He pledged:
- £5bn emergency response fund to support the NHS and other public services
- Statutory Sick Pay (SSP) will be paid to all those advised to self-isolate even if they don’t have symptoms
- To support businesses employing fewer than 250, the government would refund up to 14 days’ SSP
- A Coronavirus Business Interruption Loan Scheme will support small businesses experiencing increased costs or cashflow disruptions, providing access to £1bn of government-backed loans
- Business rates in England will be suspended for 2020–21 for firms in the retail, leisure and hospitality sectors with a rateable value below £51,000
- Any company eligible for small business rates relief will be allowed a £3,000 cash grant.
Mr Sunak promised an extra £6bn in NHS funding over the course of this Parliament, which would go towards delivering 50,000 more nurses and make progress on 40 new hospital projects.