The introduction of the ‘Pay As You Grow’ initiative

The introduction of the ‘Pay As You Grow’ initiative

The Chancellor, Rishi Sunak, has announced this afternoon the introduction of the Pay As You Grow initiative as part of the Jobs Support Scheme, to help support businesses and employees alike who need extra support beyond the furlough scheme. The new Jobs Support Scheme allows for the government to top-up wages, whilst the Pay As You Grow initiative permits longer windows on repayments of bounce back loans.

Powered Now, a mobile-based billing, invoicing and quotation application which specialises in trades, has a client base of over 1500 SMEs in the trades, and has seen first hand the impact COVID-19 has had on businesses within trade sectors.

Ben Dyer, CEO of Powered Now, has responded to the announcement made by Rishi Sunak and the impact this will have on SMEs in the trades.

“The announcement made by the Chancellor this afternoon comes as welcome news. As construction in the UK has continued to rebound and grow post-lockdown, SMEs within the trades have very much been the engine room for this recovery.

Although many of these businesses are seeing sales increase strongly, many are still dependent on the bounce back loan. The extra cash-flow supports offered by the Chancellor and his Pay As You Grow scheme will help shore up the finances of many SMEs, placing them in a better position to cope with future waves of COVID-19.

The new Jobs Support Scheme will also help those businesses looking to reintegrate their team as they look to get back to business. This again should provide pivotal assistance to those looking to manage their cash-flow, allowing blessed relief as they look to adapt to a new normal.”

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