Businesses highlighted their ongoing challenges and concerns as they attempt to reach the other side of this pandemic, and the impact of COVID-19 on the Buckinghamshire economy was also analysed.

Joining businesses in the virtual meeting were Joy Morrissey MP (Beaconsfield); Greg Smith MP (Buckingham); and Melanie Addis, on behalf of Rt Hon Dame Cheryl Gillan MP (Chesham and Amersham).

Both the businesses and Buckinghamshire's parliamentary representatives were given an insight into the three phases of economic impact anticipated to be caused by COVID-19, and the scale of government support that Buckinghamshire businesses have accessed in the last few months. Below are some of the headlines.

Home working to become a permanent fixture?

While home working was forced upon the vast majority of businesses in March, many may now choose to continue this way of working permanently, even if given the opportunity of returning to their workplace.

Benefits to companies include reduced overheads and benefits to employees include reduced travel time and costs and increased flexibility in their daily lives, creating real incentives for organisations to consider home working for their staff in the long term.

The three phases of economic impact and what the future looks like

The economic impact of COVID-19 is set to be felt for some time, with three distinct phases identified, as outlined by Caroline Perkins, Research Manager at Buckinghamshire Business First:

1. The initial seismic shock, followed by the current plateauing
2. Second phase of economic impact – Autumn 2020 (end of the Job Retention Scheme, more job losses, impact on consumer spending, increased demand for upskilling / reskilling, emergence of the mental health impact of the virus and lockdown)
3. Third phase of economic impact – 2021 (rise in SME business failures, paying back of loans (from March 2021) and making payments that were deferred)

The impact of COVID-19 on Buckinghamshire – what the numbers say

Caroline Perkins outlined the data behind the impact of COVID-19 and government support in Buckinghamshire.

Employees furloughed:

• Buckinghamshire-wide – 73,500 employees furloughed, 29% take-up rate
• Aylesbury – 16,800 employees furloughed, 28% take-up rate
• Beaconsfield – 14,100 employees furloughed, 30% take-up rate
• Buckingham - 13,800 employees furloughed, 28% take-up rate
• Chesham and Amersham – 11,500 employees furloughed, 27% take-up rate
• Wycombe – 17,300 employees furloughed, 31% take-up rate

Meanwhile, the claimant count nearly trebled between March and July 2020.

Take up of Coronavirus Business Interruption Loan Scheme (CBILS):

• Buckinghamshire-wide – 613 loans offered at a value of £145.6 million (approx.)
• Aylesbury – 82 loans offered at a value of £17 million
• Beaconsfield, 187 loans offered at a value of £47.4 million
• Buckingham – 138 loans offered at a value of £35.2 million
• Chesham and Amersham – 85 loans offered at a value of £13.1 million
• Wycombe, 121 loans offered at a value of £32.7 million

Take up of Bounce Back Loans:

• Buckinghamshire-wide – 9,728 loans at a value of £310.8 million (approx.)
• Aylesbury, 1,633 loans at a value of £47.4 million
• Beaconsfield – 2,434 loans at a value of £82.2 million
• Buckingham – 1,888 loans at a value of £57.9 million
• Chesham and Amersham – 1,888 loans at a value of £61.5 million
• Wycombe – 1,885 loans at a value of £61.6 million

By the beginning of August 2020, 10,341 Buckinghamshire-based firms had secured government-backed loans to help them through the economic fallout of the COVID-19 pandemic. The total value of loans secured by Buckinghamshire businesses to date is approximately £456m.

Both Buckinghamshire Business First and Buckinghamshire Local Enterprise Partnership are keen to support businesses that have received these loans to support their new investment and will be working on peer-to-peer business leadership programmes over the coming months. Supporting the effective use of the government investment by Buckinghamshire businesses will be an important element of the Buckinghamshire Economic Recovery Plan that is currently in production.

Results of the ‘Buckinghamshire Return to Work’ survey

Buckinghamshire Business First, along with Chandler Garvey, produced the 'Buckinghamshire Return To Work' survey to assess how employers responded to lockdown and their plans for the future.

Pre-Lockdown

• 30% of those surveyed never worked outside the office, with only 16% working from home full-time.
• 75% of respondents have a short commute – less than 30 minutes

During Lockdown

• 81% of those surveyed found the experience of working from home a positive one.
• 70% found there was no difference in relationships with colleagues, however a quarter found client relationships worsen.
• Positive changes to IT, including cloud based systems and superfast broadband, allowed for a simple transition.

After Lockdown

• 82% of those surveyed want a mix of home and office based working.
• Businesses must now consider their remote working policy for staff retention and attraction.
• 84% said there would be no change to their productivity with flexible working.

Read the full results of the Return to Work survey here.

EU exit has not gone away

The UK’s exit from the EU is an issue that businesses may have temporarily been distracted from given the trauma of the last few months, but with 1st January 2021 just around the corner, the sea-change this will bring to all kinds of regulations needs sharp focus in the business community. Buckinghamshire Business First is collating relevant information and support on our Brexit in Buckinghamshire webpage.

The next Buckinghamshire Business First MPs Briefing, which takes place on 8th October, will take a closer look at the impact of COVID-19 on Buckinghamshire's key sectors.

Stay informed of the latest business support re: COVID-19

Remember to visit our COVID-19 business support hub for the latest support and information from the government, business support organisations and other avenues of support. Bookmark www.bbf.uk.com/covid-19 so you can easily find it in the future.