Asked by: Gareth Johnson (Conservative - Dartford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent representations he has received on the potential merits of increasing financial support for people who are paid via dividends from their own companies in the context of the covid-19 outbreak.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The department has engaged with various stakeholders since the start of the COVID-19 outbreak with respect to company directors who are paid via dividends.
The Government’s concern is about identifying what is operationally feasible, managing technical complexities and fraud risks, and ensuring that other schemes the Government has committed to are delivered in a timely way.
Company directors who are paid via dividends may still be eligible for various elements of the support available, including the Coronavirus Job Retention Scheme (in respect of their salary but not their dividends), Bounce Back loans, tax deferrals, rental support, increased levels of Universal Credit, mortgage holidays, and other business support grants.