Treasury Committee chair seeks confirmation from Chancellor of whether CJRS or SEISS flexibilities might be introduced in response to local lockdowns

Mel Stride says that, for new lockdown measures to succeed, people and businesses within any affected area must feel that they are being materially supported

The chair of the Treasury Select Committee has written to the Chancellor to seek clarification of whether, in response to local COVID-19 lockdowns, flexibilities might be introduced in relation to the Coronavirus Job Retention and Self-Employment Income Support schemes (CJRS and SEISS).

In his letter, Committee chair Mel Stride says that -

'The lockdown in Leicester will be difficult both for the people affected and for the local economy. Given recent reports, it potentially will not be the last such local lockdown.

These measures need to succeed to protect Leicester and the wider country. To ensure that success, both people and businesses within any affected area must feel that they are being materially supported. Not to do so may force people to breach the local lockdown, given that neighbouring areas will see higher levels of economic activity. Such local lockdown areas may also see significant risks of job losses, business failures and lasting economic scars.'

As a result, Mr Stride asks a series of questions of the Chancellor, requesting information on HM Treasury’s approach to those affected by local lockdowns, including -

'Will there be any flexibility introduced into the national support measures, such as SEISS and CJRS ... given that those in these areas will not be benefitting from the lockdown easing measures seen in the rest of the country, and some firms that have so far not used these schemes may now need support?'

NB - Mr Stride also asks whether there will be flexibility in relation to the reinstatement of benefit sanctions.

The chair of the Treasury Select Committee's letter to the Chancellor is available from parliament.uk