COVID-19: MPA seeking more clarity and support for businesses
Mineral Products Association writes again to the Chancellor following initial meeting of newly formed Taskforce
NIGEL Jackson, chief executive of the Mineral Products Association (MPA), has again written to the Chancellor of the Exchequer calling for further measures to support MPA members.
Welcoming many of the steps already outlined by the Chancellor, Mr Jackson focused on extending the deferment of VAT to employers’ National Insurance contributions, corporation tax and business rates, arguing that these are simple measures the Chancellor could take to reduce cash outflow from businesses.
In the letter sent yesterday [24 March], Mr Jackson wrote: ‘What business needs now are fast and simple solutions that enable them to keep cash in their businesses and their employees in their jobs.
‘The deferment of VAT is a simple and effective measure and welcome. Further concessions of this nature would increase the resilience of companies and I once again urge you to take further steps by deferring employers’ National Insurance contributions, corporation tax and business rates over the next three months.
‘This would be the best way to retain jobs and sustain companies in these exceptional times whilst we all evaluate the potential impact of the virus on enterprise.
‘As the largest supplier of any material in the UK economy, at 1 million tonnes per day of essential mineral products, the impacts of COVID-19 will be all the greater on an industry where the fixed costs are very high.
‘Once the recovery starts, the pent-up demand will be immense and unless we have protected the capacity and capability of the sector it will inhibit our return to healthy economic growth.’