The Government’s extended Time to Pay scheme should not be relied on according to one accountancy firm.
Woods Squared, which specialises in business growth advice for small firms, claims that while the scheme is open to everyone, some firms are still being rejected and left to face financial problems alone.
Woods Squared Director Alan Woods told Bytestart that he believes businesses cannot simply rely on such schemes to help them through what is essentially a deep routed problem.
‘The Time to Pay scheme has merit but it can also just be papering over the cracks of deeper financial problems,’ he said. ‘The reality is that of the 300,000 agreements the Government has signed, some have been with the same firm. The actual number of firms helped is 168,000, so there is no guarantee you will be accepted.’
The Time to Pay initiative, which was made permanent in last week’s budget, allows businesses to spread payments of VAT and Corporation Tax over a few months helping small firms ride through any rough patches in business.
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