Business Support

On 25 March 2020 the Falkland Islands Government introduced an initial support package (‘Support for Private Sector Employers, Private Sector Employees and the Self-Employed’) with the primary goal of reinforcing and supporting the strong public health action which the government took in early 2020 to protect the population and minimise the social and economic impact of the Covid-19 pandemic. The first support package is no longer in effect.  

Subsequently on 17 April 2020, a second set of support measures was announced, with the objective of assisting businesses, private sector employees and households adjust to the economic effects of the Covid-19 pandemic. The second set of support measures includes, among other measures, the following schemes:

  • Job Retention Furlough Scheme
  • Self-Employed Income Supplement Scheme
  • Unemployment Subsidy Scheme
  • Business Grant Scheme

Despite a sharp drop off in demand for all programmes following the easing of restrictions from 11 May 2020, some sectors – for example, the tourism sector – continue to feel the impacts of the pandemic. Therefore, the four schemes announced under the second set of support measures (listed above) will now continue to be in effect until 30 September 2021.

Additionally, the schemes will support continuing demand for financial assistance in cases where KEMH instructs symptomatic individuals and their households to isolate, subject to the following:

  • The individual meeting all of the relevant scheme guidelines.
  • Confirmation from KEMH that the individual was told to isolate and for how long

All payments are considered taxable in the hands of recipients.

On Wednesday 28 July 2021 ExCo agreed a further set of economic support measures for the community and local businesses, in light of the ongoing pandemic. Having conducted detailed data-gathering and analysis into the existing and previous support schemes, to determine value for money, levels of uptake and local impact, members of the Executive Council were asked to consider the renewal, extension or cancellation of previous programmes. Factors taken into consideration included the complexities of the global situation and its bearing on individuals and industries throughout the Islands, as informed by the perspectives of local stakeholders.

ExCo has agreed the following:

  • To extend the Job Retention Furlough Scheme, Self-Employed Income Supplement Scheme and Business Grant Scheme until 30 September 2022 – see information on these schemes below
  • To approve the renewal of the TRIP and BFSAI TRIP schemes from 1 October 2021 until 30 April 2022
  • To defer the implementation of the Bounce Back Scheme until July 2022
  • To cancel the Unemployment Scheme from midnight on 31 July 2021
  • To cancel the Deferred Loan Scheme from midnight on 30 September 2021
  • To reconfirm budget allocations for further work on initiatives related to enhanced science facilities in the Falkland Islands, Cape Pembroke Lighthouse visitor facilities, upgrading and maintaining the pontoons at the public jetty and the development of high-end tourism facilities on the Islands. 

Job Retention Furlough Scheme

Under this scheme, if an employer is unable to operate or has limited or no work for the employee because of Covid-19, and if the employer and employee both agree, the employer is able to keep the employee on the payroll at 80% of salary. This is known as being ‘on furlough’.

With respect to employees, the scheme covers:

  • 80% of salary for furloughed employees (up to £2,500 per month)
  • 80% of salary for employees on reduced hours, proportional to the percentage of hours not worked (up to £2,500 per month)

For further information, please see the Guidance Notes and FAQs document below.

Self-Employed Income Supplement Scheme

This scheme is designed to assist those in self-employment (including sole traders, partnerships, casual workers and others) who have experienced a significant reduction in sales, with a non-repayable grant that is intended to supplement the funds they usually would take out of their business for personal use (also known as owner’s draws).

With respect to self-employed workers, the scheme covers up to 80% of the applicant’s pre Covid-19 average income (up to £2,500 per month).

For further information, please see the Guidance Notes and FAQs document below.

COVID-19 Business Grants Scheme

As a result of the Covid-19 pandemic, some businesses may face high solvency risks due to a significant or critical reduction in demand for their goods or services. The government provides financial support with two different types of direct, non-repayable grants, at a rate of up to £10,000 per month. The scheme will be extended until 30 September 2022

These grants are targeted at:

  • Micro and small sized businesses (below £500,000 in turnover)
  • Micro, small and medium sized businesses in the hospitality, health and social work sectors (below £1,000,000 in turnover)

The Business Grant Scheme application process is being administered by the Falkland Islands Development Corporation (FIDC) on behalf of FIG. See the below link:

www.fidc.co.fk/library/covid-19/business-grant-scheme

For further information, please see the Guidance Notes and FAQs document below.

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Business Grant Scheme - Application Form and Guidance Notes
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Business Grant Scheme FAQ
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Job Retention (Furlough) Scheme - Application Form and Guidelines in Excel
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Job Retention (Furlough) Scheme - Guidance Notes
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Job Retention (Furlough) Scheme FAQ
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Income Supplement Scheme - Application Form and Guidance Notes
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Income Supplement Scheme - Application Form and Guidance Notes - Filipino
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Income Supplement Scheme - Application Form and Guidance Notes - Spanish
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Income supplement Scheme FAQ
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