Newsletter June 2020
COVID-19 forces Treasury to rethink the state pension triple-lock
The Government is reportedly considering scrapping the pensions triple lock in an attempt to recoup billions of pounds spent on coronavirus support schemes.
The triple-lock system is what determines the annual increase in the state pension by whichever is the highest of average wage growth, price increases, or 2.5%.
In April 2020, the state pension for 2020/21 increased by 3.9% in line with the average earnings increase seen by UK workers in July last year – a rise of £343 for new state pension recipients.
Contact us at Herts & Essex Financial Services to discuss your retirement plan. http://www.handefs.co.uk/our-services/pensions
Furlough scheme extends until the end of October
The coronavirus job retention scheme has been extended until the end of October, although employers will have to pick up some of the bill from August.
Chancellor Rishi Sunak said last month that the Government will continue to pay the wages of furloughed workers.
Speak to us about the furlough scheme.
Coronavirus impact places the UK economy into ‘significant recession’
The UK is likely to be in the deepest economic recession since records began, after gross domestic product (GDP) contracted by 5.8% in March 2020.
Figures from the Office for National Statistics showed the economy shrank by 2% in the first three months of 2020.
Lockdown measures were imposed in the UK on 23 March 2020 in a bid to keep a lid on the coronavirus pandemic.
Talk to us at Herts & Essex Financial Services about your finances. http://www.handefs.co.uk/
FCA introduces temporary measures for insurance customers
New temporary measures are in place to assist insurance customers who are experiencing financial difficulties due to the coronavirus.
The Financial Conduct Authority (FCA) has told insurers to offer options to customers with policies or premium finance products.
Get in touch with us at Herts & Essex Financial Services to discuss protection policies. http://www.handefs.co.uk/our-services/life-assurance
Source: Practiceweb June 2020