Total Financial Wellbeing

Businesses 'vulnerable' as coronavirus schemes wind down, BCC suggests

20 Aug 2020

The latest Coronavirus Business Tracker from the British Chambers of Commerce (BCC) has suggested that UK businesses are vulnerable as government support schemes begin to wind down.

According to the BCC, firms are still reporting high levels of reliance on government coronavirus (COVID-19) support schemes to 'help stem cashflow issues'.

38% of businesses stated that they have three months or less worth of cash in reserve. However, 38% of firms reported improved revenue from UK clients, a rise from the previous tracker's figure of 34%.

The BCC said that, with government support schemes set to wind down in the coming weeks, it 'remains unclear' what further support, if any, firms will receive.

'While some firms are seeing improvements in trading conditions, we are still very much in the eye of the storm, with further turbulence ahead,' said Adam Marshall, Director General of the BCC.

'As the government's emergency measures begin to wind down over the coming weeks, and with the prospect of further local lockdowns still very real, businesses across the UK are going to need further support to weather uncertainty over the coming months.'