Results from the latest BCC Coronavirus Business Impact Tracker reveal that firms are ready for a gradual reopening of the economy but will need continued, adaptable government support during a phased return to work.
- Over 70 per cent of respondents have furloughed a portion of their staff
- Nearly three quarters of these firms have submitted a claim to the furlough scheme and received payment
- The Job Retention Scheme has prevented redundancies for vast majority of respondents
The leading business organisation’s weekly tracker poll, which serves as a barometer of the pandemic’s impact on businesses and the effectiveness of government support measures, received 601 responses.
The seventh tranche of polling was conducted from 5 – 8 May, prior to the Prime Minister’s announcement on a roadmap to gradually ease lockdown restrictions and the launch of safe workplace guidance, and the Chancellor’s announcement on the extension of the Job Retention Scheme until the end of October.
Readiness to restart
The vast majority of respondents continued to report high levels of readiness to restart operations as and when the government eases restrictions, with 89 per cent requiring three weeks or less to reopen.
This week the survey revealed new information about whether businesses were prepared to implement measures to protect staff and continue operations during the ‘new normal’ as restrictions are eased.
- 75 per cent agreed they could implement social distancing measures
- 70 per cent agreed they could make provisions for remote working, with 20 per cent saying this was not applicable to their business
- 61 per cent said they could stagger arrival times, with 29 per cent saying this was not applicable to their business
Businesses furloughing employees
Data from this week’s Tracker reveals that 71 per cent of businesses surveyed have furloughed a portion of their staff, which remains consistent with previous weeks.
The percentage of respondents that have submitted a claim to the government’s Job Retention Scheme and received payment remains high, at 73 per cent this week, up from 59 per cent last week. Only 7 per cent of respondents submitted a claim more than six working days ago and are yet to receive payment. Our results indicate that very few businesses have made any redundancies.
The furlough scheme continues to provide crucial support to businesses and is helping them to avoid redundancies. 63 per cent of firms agreed they could un-furlough staff as restrictions begin to ease, but 36 per cent said they could not.
Fieldwork was conducted before the Chancellor announced the extension of the furlough scheme until the end of October.
Bounce Back Loans Scheme
Over a third (36 per cent) of respondents have either attempted to use the Bounce Back Loan scheme or have plans to access it.
However, 62 per cent of respondents said they had no intention of applying for a Bounce Back Loan. Reasons for not attempting to access the scheme varied between firms with more than three months in cash, and those with less than three months.
Overall, 19 per cent of firms stated they had concerns about repaying the loan. However, this figure rose to 28 per cent among those with less than 3 months’ cash in reserve, and fell to 14 per cent for those with more than 3 months’ cash in reserve.
Commenting on the results BCC Director General Dr Adam Marshall said:
On business furloughing employees
“The Job Retention Scheme has been successful in its aim to protect livelihoods and its extension will come as a huge help and a huge relief for businesses across the UK.
“The government should continue to listen to business and evolve the scheme in line with what’s happening on the ground. Further, phased support may yet be needed for companies who are unable to operate for an extended period, or those who face reduced capacity or demand due to ongoing restrictions.”