Coronavirus UK: £330bn of business loans made available as PM says school closures 'under continuous review' – as it happened

Andrew Sparrow

from on 2020-03-17 18:42 (#50TP9)

Chancellor Rishi Sunak says he will do whatever it takes to protect jobs and incomes and is offering mortgage holidays and business grants. The day's political developments as they happen

6.41pm GMT

We must act like any wartime government and do whatever it takes to support our economy. That's the main purpose of this press conference this afternoon ...

Yes this enemy can be deadly, but it is also beatable - and we know how to beat it and we know that if as a country we follow the scientific advice that is now being given we know that we will beat it.

6.25pm GMT

Here is some comment on the Rishi Sunak package for business from thinktanks and journalists.

From the Resolution Foundation, a thinktank focusing on work, poverty and inequality

Our response to the Chancellor's statement on the government's new package of measures to tackle the impact of coronavirus on the economy pic.twitter.com/9dgPVzruiA

The UK Government will have to go much further than this in the weeks ahead. Not much here for those losing their livelihoods. Sunak hints at income support to come.

Sunak unveils massive assistance package for business hit by the virus. Dwarfing budget measures.

The loans and grants for business also big -- but nothing further on sick pay or on benefits.
Six days ago, Sunak unveiled a corona-budget with statutory sick pay at its heart. The pandemic's impact has grown since then - businesses are closing. what measures for those laid off?

I'm sorry to write this, but just as in its tackling of the pandemic itself the UK's economic response lags far behind our European neighbours. Johnson talked about this being 'wartime', so why are we wielding a peashooter?

6.22pm GMT

From the BBC's Faisal Islam

Some details the Covid-19 Commercial Paper facility if for 1 year commercial paper that was investment grade before the Covid outbreak. Set up in an entity separate from Bank of England. HM Treasury indemnified all losses. pic.twitter.com/heCPsE0S2H

6.20pm GMT

And this is from Frances O'Grady, the TUC general secretary.

The Chancellor is right to provide emergency support for business. But this can't be just a bailout for boardrooms. It has to put money in workers' pockets too. Unions stand ready to work with govt to tackle this crisis. As always our priority is protecting jobs and livelihoods.

6.15pm GMT

Labour says the Rishi Sunak package of measures does not do enough to protect workers. In a statement John McDonnell, the shadow chancellor, said:

People are being laid off today and losing their incomes. We are disappointed that this package does not address their concerns.

The further announcements laid out by the chancellor lack the certainty required amidst growing public anxiety and still do not go far enough in protecting workers, renters and those who are losing their jobs, or in fully supporting businesses at the scale necessary.

6.10pm GMT

Here are the details of the coronavirus rescue package for businesses announced by Rishi Sunak, the chancellor.

There is plenty here to appeal to people who run businesses. But Sunak had very little to say about measures that will directly help employees. (Workers, of course, benefit if their employers do not go bust, but there are millions of people who face losing pay because they are off sick, or because their hours have been reduced, or who work in the gig economy, who will be looking for more immediate support.) Sunak insisted that an employment support package was on its way, and that he needed to finalise the details first with business and the unions, but the balance of today's announcement may fuel suspicions that the concerns of owners and managers are taking precedence over the concerns of those on the payroll.

1/ We will support jobs, we will support incomes, we will support businesses, we will help you protect your loved ones. We will do whatever it takes.

Today, I am making available an initial 330bn of guarantees - equivalent to 15% of our GDP. Measures include:

2/ Any business who needs access to cash will be able to access a government-backed loan, on attractive terms.

If demand is greater than the initial 330bn I'm making available today, I will go further and provide as much capacity as required.

3/ To support lending to small and medium sized businesses, I am extending the new Business Interruption Loan Scheme I announced at the Budget last week, so that rather than loans of 1.2m, it will now provide loans of up to 5m, with no interest due for the first six months.

4/ I announced last week that for businesses in the retail, hospitality and leisure sectors, with a rateable value of less than 51,000, they will pay no business rates this year.
Today, I provided those businesses with an additional cash grant of up to 25,000 per business.

5/ I am also extending the business rates holiday to all businesses in those sectors, irrespective of rateable value.

6/ That means every single business in the retail, hospitality or leisure sector will pay no business rates whatsoever for 12 months, and if they have a rateable value of less than 51,000, they can now get a cash grant as well.

7/ I also announced last week that we would be providing 3,000 grants to the 700,000 of our smallest businesses.
To support their cash flow, today I can increase those grants to 10,000.

8/ Following discussions with industry, I can announce today that for those in difficulty due to coronavirus, mortgage lenders will offer a three month mortgage holiday - so that people will not have to pay a penny towards their mortgage while they get back on their feet.

9/ In the coming days, I will go much further to support people's financial security. In particular, I will work with trade unions and businesses to urgently develop new forms of employment support to help protect people's jobs and incomes through this period.

10/ The measures I have announced today are part of a comprehensive, coordinated and coherent response to what is a serious and evolving economic situation.

These are only the first steps - I will set out the next stage of our response in the coming days.

5.49pm GMT

Johnson is winding up now.

He says the more thoroughly people can follow the advice they have been given, the more they will be able to save lives and protect the NHS, and the more quickly they will get through this.

5.48pm GMT

Q: Will you level with people about how bad this will be for the economy? Is a recession inevitable?

Sunak says this will have a significant impact on the economy.

5.45pm GMT

Q: People are confused what the rules are about staying at home. Can you explain?

Johnson says people are being told to avoid all unnecessary contact where they might get the disease, and to avoid groups, large and small.

Some participants came away from the conference call less than impressed with Johnson's own performance. "He couldn't help but act the clown, even though he was a on call with serious CEOs from goodness knows how many companies," one participant told my POLITICO colleague Charlie Cooper. This individual said the PM "joked" that the enterprise to build more life-saving ventilators could be known as "Operation Last Gasp." Ugh.

5.40pm GMT

Q: What will you do to ensure this 330bn is allocated properly?

Sunak says he is confident this can be delivered properly. There will be a retail compaign, so they hear about the coronavirus business interruption loan.

5.39pm GMT

Q: What inputs to the model changed that led you to change strategy?

Vallance says the aim is to save the maximum number of lives. He says the proportion of people who make require ventilation looks higher.

5.35pm GMT

Q: People are being laid off today. Would you urge firms to look at these measures first?

Sunak says he hopes this announcement will tell business that help is on its way. He does not want them to lay people off.

5.33pm GMT

Q: Many firms facing falling demand. Why is your help in the form of lending when these firms have no way of knowing what the future holds. They may not want to take on more debt? And why not announce today what you will do to ensure people are not penalised for staying away from work?

Johnson says this is an extraordinary package of measures.

5.29pm GMT

Q: The Imperial College paper yesterday said these measures could be in place for 18 months, while we look for a vaccine. Is that right?

Sir Patrick Vallance, the government's chief scientific adviser, says Imperial College have been working with the government all along. He says the suppression techniques need to be done in such a way that they can be released at some point. But he says no one in the world yet knows how to do this.

5.22pm GMT

They are now taking questions.

Q: Can you guarantee that firms who need to pay wages now, and people who need to pay rent now, will not lose out?

5.20pm GMT

Sunak says these are only the first steps.

He is willing to do whatever it takes, he says.

5.20pm GMT

Sunak says mortgage lenders will give a three-month mortgage holiday to people who need help.

And he says he will be working on more measures to help people in employment.

5.18pm GMT

Sunak says he announced last week that some firms would have to pay no business rates this year.

Those business will now get grants of up to 25,000, he says.

5.16pm GMT

Sunak says he is making available 330bn of loan guarantees to businesses.

Any business that needs it will be able to access a loan on attractive terms.

5.13pm GMT

Rishi Sunak, the chancellor, says we have never in peacetime faced a fight like this one.

In the budget he promised to do whatever it took, he says. He says he said he would be willing to do more than the measures he announced last week, and he says he will begin that process.

5.10pm GMT

Johnson says we have the resolve and the resources to win this fight.

The government will do "whatever it takes", he says.

5.10pm GMT

Johnson says a combination of measures will be needed to beat this disease.

While we need national unity, we also need international cooperation.

Yes, this enemy can be deadly. But it is also beatable. But we know how to beat it.

5.09pm GMT

Johnson says the government must boost the NHS, and research the disease.

But it also has to take a wartime approach and boost the economy, he says. He says Rishi Sunak will say more in a moment.

5.08pm GMT

Boris Johnson is speaking now.

He says the government's plan starts with fighting coronavirus.

5.06pm GMT

In the US President Trump has just been announcing details of his own stimulus package. "We're going big," he said.

NEW: Trump and Mnuchin absolutely clear they want to get cash to Americans' pockets asap. Pushing for speedy legislation. Interested in $1000/month for the needy idea. Trump: "We're going big."

5.02pm GMT

Boris Johnson and Rishi Sunak, the chancellor, are due to hold what will be the second of the daily coronavirus press conferences now being staged by the press conference.

Sunak is expected to give details of a coronavirus rescue package that will help businesses and workers who face bankruptcy or unemployment as a result of the measures being implemented to tackle coronavirus. He announced measures in the budget (worth 12bn or 30bn, depending on how you count them), but only six days later those sums look wholly inadequate to the task.

4.56pm GMT

These are from my colleague Heather Stewart on what to expect from the Boris Johnson/Rishi Sunak press conference.

Hearing Rishi Sunak will bring a "blunderbuss" to this afternoon's Downing Street press conference, as the government tries to halt the plunge in confidence and reassure families and markets.

Experience of the 2008 crisis suggests that to have an impact, policymakers need to go early, and go big, instead of taking piecemeal steps. And the immediate impact on consumer demand this time is - visibly - much, much bigger.

4.53pm GMT

Here is the latest statement from NHS England on coronavirus deaths.

A further 14 people, who tested positive for the coronavirus (Covid-19) have died, bringing the total number of confirmed reported deaths in England to 67.

Patients were aged between 93 and 45 years old and had underlying health conditions.

4.52pm GMT

Peter Foster, the Telegraph's Europe editor, says that, despite No 10 claiming the Brexit transition has to end on 31 December (see 4.22pm), there is now an acceptance at the top of government that the UK will have to agree to an extension. He has explained why in a Twitter thread. It starts here.

EXC: As this week's #Brexit talks formally canned, understand now top-level acceptance that UK WILL seek extension - just question of timing& choroeography. Details here 1/threadhttps://t.co/zYxXVElmeD

Have asked around and presumption is that some non-contentious formula can be found - can't see either side wanting to cut up rough.

Just make it a fait accomple - and a 'flextension' that can fall away when deal is done depending on #coronavirus timelines /9

4.30pm GMT

According to Dawn Butler, a candidate for Labour's deputy leadership, the government's decision to announce an abrupt escalation of its anti-coronavirus strategy yesterday was prompted by Labour demanding to see the modelling used to justify the original strategy.

The science didn't change. What changed was @UKLabour asked to see the science and the modelling. #Corvid19uk

4.22pm GMT

Downing Street has confirmed that the UK-EU trade talks that were scheduled to take place this week have been cancelled. Originally they were due to take place face-to-face in London, from tomorrow until Friday. The plan for the two teams to meet in person was abandoned last week, but at the time both sides said there was a chance of the talks going ahead via video conferencing. Now they have been shelved for good.

Significantly, No 10 is also ruling out extending the Brexit transition - echoing what Dominic Raab told MPs earlier. (See 1.48pm.)

In light of the latest guidance on coronavirus, we will not formally be convening negotiating work strands tomorrow in the way we did in the previous round.

We expect to share a draft FTA [free trade agreement] alongside the draft legal texts of a number of the standalone agreements in the near future still, as planned.

4.19pm GMT

Back in the health committee, Simon Stevens, the NHS England chief executive, says he wants to ban all but essential visits to hospitals during the coronavirus crisis to help hospitals cope.

He says there would be exceptions for parents with children in hospital, or for patients facing end-of-life care. He goes on:

But the presumption should be against - trying to reduce as much visiting as possible.

4.05pm GMT

Boris Johnson has set up a new set of government committees to coordinate the response to coronavirus, or Covid-19. He will continue to chair the Cobra emergency committee regularly, No 10 says. There is also a C-19 meeting taking place daily.

And there will be four implementation committees: healthcare, chaired by Matt Hancock, the health secretary; general public sector, chaired by Michael Gove, the Cabinet Office minister; economic and business, chaired by Rishi Sunak, the chancellor; and international, chaired by Dominic Raab, the foreign secretary. The chairs of those committees will attend the daily C-19 meeting.

3.54pm GMT

Schools across England are struggling to stay open, with some forced to partially or fully close as staff and students stay at home, while the UK remains one of only two European countries - alongside Belarus - with a policy of keeping them open, my colleagues Richard Adams, Sally Weale and Caroline Bannock report.

3.51pm GMT

3.49pm GMT

Here is an extract from the letter sent to hospitals telling them to cancel non-urgent elective surgery by 15 April. Simon Stevens mentioned it in his evidence to the committee earlier. (See 3.06pm.)

This is from the Health Service Journal's James Illman.

BREAKING: NHS to postpone all non-urgent elective operations from 15th April at the latest, for a period of at least three months. - letter sent to all hospitals pic.twitter.com/WVloPnkf4K

3.39pm GMT

Q: Will the four-hour A&E target still apply during this crisis?

Stevens says he would expect NHS trusts to do the right thing. That normally involves seeing patients promptly anyway, he says. But he says coronavirus will be the priority.

3.29pm GMT

Stevens says, as there is a slow down in elective surgery, more anaesthetists will be available to help with patients on ventilators.

3.28pm GMT

Q: How many ventilators are in use now?

Stevens says it is not just a question of using the machine. It involves a complicated procedure, with someone being being monitored all the time for 10 days. Staff have to be trained.

3.26pm GMT

Q: Will you give guidance to intensive care doctors if they have to prioritise between particular patients?

Powis says he understands the issue. He will be working with colleagues to address this point.

3.23pm GMT

Q: Should all staff be wearing masks, in case they come into contact with a coronavirus patient?

Stevens says staff have a right to expect proper protection.

3.18pm GMT

Jeremy Hunt, the former health secretary who chairs the committee, reads out a letter from an A&E doctor. He says it is "absolute carnage". Doctors do not have the protective equipment, the doctors says. The doctor says the only protection he has had has been a piece of paper (ie, a mask) over his face. The doctor says he thinks medical staff will die as a result.

Hunt says he would like a date for when these localised distribution problems will be sorted out.

3.15pm GMT

Q: Do we have enough protective equipment?

Amanda Pritchard, NHS England's chief operating officer, says nationally the NHS has the supply it needs. But there are some distributional problems. It is not all in the right place, she says.

3.12pm GMT

Q: Does the modelling show that, if all goes according to plan, we will have enough ventilators?

Stevens says it will be easier to say once we have seen what impact the changes announced yesterday will have.

3.10pm GMT

Q: How many ventilators do you have?

Stevens says there are 6,699 adult mechanical ventilators, 750 paediatric ones, 691 in private hospitals and 35 in the Ministry of Defence. That makes 8,175, he says.

3.06pm GMT

The NHS England session is now starting.

The four witnesses are: Sir Simon Stevens, NHS England chief executive; Prof Keith Willett, its director of acute care; Amanda Pritchard, its chief operating officer; and Prof Steve Powis, its national medical director.

2.56pm GMT

The hearing with Sir Patrick Vallance has now finished.

The health committee is now going to take evidence from NHS England.

2.52pm GMT

Q: Does the concept of herd immunity play any role in the advice for the over-70s?

Vallance says the advice for the over-70s and the under-70s is the same. But the point is that the over-70s should follow it more stringently, he says.

2.49pm GMT

Jeremy Hunt asks Vallance if the social distancing advice for over-70s announced yesterday means that people that age should avoid Sunday lunch with their children or grandchildren.

Yes, says Vallance.

2.47pm GMT

Here are the latest coronavirus figures for the UK from the government.

UPDATE on coronavirus (#COVID19) testing in the UK:

As of 9am 17 March 2020, a total of 50,442 people have been tested:

48,492 negative
1,950 positive

The latest confirmed number of deaths will be announced later today.

The digital dashboard will be updated later today. pic.twitter.com/ob25TmIowt

2.47pm GMT

Asked if the measures announced yesterday would have to be in place for 18 months, Vallance said he did not know how long they would have to last. But he said it would certainly not be just a couple of weeks, he said. He went on:

It is going to be months - I do not know how many months.

2.43pm GMT

Sir Patrick Vallance, the government's chief scientific adviser, is being questioned by the Commons health committee. The hearing started earlier than planned, and here are some of the key points so far.

Chief Scientific Advisor Sir Patrick Vallance is now before health select committee

Asked if gvt changed goal from mitigation to suppression, PV says it's a matter of "semantics whether it's suppression, delay or mitigation". The goal is saving lives & protecting vulnerable

Chief scientific adviser Sir Patrick Vallance says 55,000 people infected with coronavirus in the UK is a "reasonable ball park" estimate.

Sir Patrick Vallance: "seasonal flu tends to lead to 8k excess deaths, so if we can get [the number of deaths from covid19] down to 20k and below, that's a good outcome of where we would hope to get to with this outbreak"

Vallance on the coronavirus death rate: "If we can get this down to numbers 20,000 or below, that's a good outcome. But it's still horrible."

NEW: Chief Scientific Adviser SIr Patrick Vallance tells the Health Select Committee the social distancing measures that have now been introduced should reduce the peak of the spread by around 50%

Sir Patrick Vallance tells MPs NHS staff are "the next group of people" who will be prioritised for testing

'Britain's needs a big increase in testing .. and I'm pushing hard for it' - UK chief scientific advisor to MPs
Subtle insight from Sr Patrick Vallance into the debate which is going on inside govt/expert circles
https://t.co/zwGUQ7QGza

1.48pm GMT

Back in the Commons Labour's Stephen Kinnock also asked Dominic Raab, the foreign secretary, if the government would extend the Brexit transition in the light of the coronavirus crisis.

In response, Raab went further than he did when Ben Bradshaw asked this. (See 1.19pm.) He replied:

As far as I'm aware the negotiations can still proceed, given all of the logistical arrangements we've put in place. We are confident we can get this done. And, actually, I don't think delaying Brexit negotiations will give anyone the certainty on either side of the channel that they need.

1.40pm GMT

Back to schools for a moment, and Gavin Williamson, the education secretary for England, says he does not want to close schools, despite the National Education Union call for schools to be shut. (See 11.50am). But he says he is suspending routine Ofsted inspections.

We are committed to supporting schools to stay open at this difficult time. As part of our measures to help them, we are temporarily suspending routine Ofsted inspections. https://t.co/690QHNKDCi

1.33pm GMT

From my colleague Jennifer Rankin

European commission to launch today EU-wide procurement scheme of ventilators, as Ursula von der Leyen had promised.
"A very big majority of member states" are interested says EC spox.

I understand the UK *cannot* take part under transition terms.

1.32pm GMT

Layla Moran, the Lib Dem MP, asks if the government will subsidise airline companies.

Raab says the government will work with the industry to see what support it can provide.

1.25pm GMT

Mark Pritchard, a Conservative, asks if the Royal Navy or the Royal Air Force could be used to repatriate the most vulnerable.

Raab says that would be a last resort, but he says he is not ruling anything out.

1.23pm GMT

Airlines UK, an industry body, has said that the Foreign Office's decision to advise against all non-essential travel abroad will bring "more devastation" to airline companies. Commenting on the announcement, Tim Alderslade, its chief executive, said:

This is of no surprise given recent developments but clearly it will bring more devastation to the airline and wider travel industry, which were already dealing with a truly critical situation and now face an uncertain future, with international passenger aviation from the EU and UK effectively suspended until further notice.

1.19pm GMT

Labour's Ben Bradshaw asks if the government will now agree to extend the Brexit transition in the light of the coronavirus crisis. Raab avoids the question, but he says the engagement that the Foreign Office has had with Cuba, over the Braemar cruise ship, shows that the government is working with other countries post-Brexit.

1.17pm GMT

Raab says freight lorry drivers who are involved in supplying shops count as people engaged in essential travel.

1.14pm GMT

Back in the Commons Dominic Raab, the foreign secretary, says there are not just tens of thousands of Britons abroad, but hundreds of thousands. That is why people must be "realistic" about what the government can do to help them all, he says.

1.12pm GMT

There have been 12 new coronavirus cases in Wales, according to Public Health Wales.

We can confirm that 12 new cases have tested positive for Novel Coronavirus (COVID-19) in #Wales, bringing the total number of confirmed cases to 136.

More here: https://t.co/OzjFW7ydN6 pic.twitter.com/ADNPPfduOm

1.08pm GMT

Richard Drax, a Conservative, says schools that have have to cancel trips will not get their money back unless the Foreign Office specifically advises against travel to a particular country.

Raab says the Foreign Office is advising against all but essential travel globally. He suggests that should be clear enough for the insurance companies.

1.06pm GMT

In her response to Dominic Raab a few minutes ago Emily Thornberry, the shadow foreign secretary, cited the experience of a constituent called Tom, one of 65 Britons stuck in Peru, as evidence that consular staff were not doing enough to help people. She said:

Tom's flight today to Britain is cancelled and his calls to our embassy in Lima have not been answered. And why is that? Because the embassy itself has decided to close down for 15 days just when its services were needed most.

The secretary of state said in his statement that our consular teams are working around the clock to provide the best information to UK nationals, well I'm afraid that simply isn't the case in Tom's experience.

Yes it's difficult, yes it's expensive, but that is the nature of the crisis that we face.

1.01pm GMT

In the Commons Labour's Hilary Benn asks in what circumstances the government would be willing to bring people home.

Raab says people should read the Foreign Office travel advice.

12.59pm GMT

From the BBC's political editor, Laura Kuenssberg

Cabinet minister says about to enter period where 'govt will involve itself in lives of millions of people in way we haven't seen since the war' - says collective mood at cabinet was 'grim determination' to get through 'unprecedented challenge for any govt in peacetime'

12.55pm GMT

In the Commons Labour's Chris Bryant asks why Dominic Raab is warning that people may not be able to return to the UK in the future, but also not advising people who are abroad to come back home now.

Raab says these decisions are individual judgment calls that people will have to make for themselves.

12.54pm GMT

As the Times' Steven Swinford points out, Dominic Raab's announcement makes the prospect of a bail-out for the aviation industry even more likely.

Feels like huge bailout for airlines are now inevitable after Government advises against all non-essential international travel for 30 days

British people who are abroad being warned their 'flights may be cancelled at short notice' and travel restrictions could be put in place

12.51pm GMT

Here is more from the Foreign Office press notice about this announcement.

Whether travel is essential or not is a personal decision and circumstances differ from person to person. It is for individuals themselves to make an informed decision based on the risks and FCO advice. Anyone still planning to travel should check the validity of their travel insurance.

UK inward and outward travel has already fallen by a significant amount since the outbreak of coronavirus. Ryanair, Virgin and EasyJet have cut flights by 80% this month and IAG has decreased capacity by 75%.

12.47pm GMT

In the Commons Dominic Raab is now responding to questions posed by Emily Thornberry, his Labour shadow.

She asked what non-essential travel means. Raab says the Foreign Office leaves it up to individuals to decide. But he says the Foreign Office's wish is for people not to travel.

12.44pm GMT

Here is the Foreign Office press notice about this announcement.

Today the Foreign & Commonwealth Office (FCO) has advised against all non-essential international travel, initially for a period of 30 days. This advice takes effect immediately.

This change in travel advice reflects the pace at which other countries are either closing their borders or implementing restrictive measures in response to the global coronavirus pandemic.

12.39pm GMT

Coronavirus: @DominicRaab is giving a statement about the FCO's latest travel advice. They're now advising against non-essential travel *globally,* initially for 30 days.

Raab says freight is not included in that advice: "we do regard this kind of travel as essential." Says FCO will work with industry to ensure it can "maintain the flow of goods, whilst protecting the wellbeing of staff."

12.36pm GMT

Dominic Raab, the foreign secretary, is making a statement to MPs about new travel advice.

He says for the next 30 days the government is advising against any non-essential travel globally.

12.34pm GMT

I have amended the post at 11.50am above to reflect the fact that the list of underlying health conditions that should lead to people effectively self-isolating, according to government advice, includes asthma and diabetes.

12.10pm GMT

The government says its advice (pdf) to people to avoid large gatherings and to work from home where possible applies in particular to the over-70s. Jeremy Corbyn is 70. But he is due at PMQs tomorrow, and he is not planning to stay away from work. This is what he said about this when asked in an interview yesterday.

I raised this very specific issue, not for myself but for other people. It's more important that those who have underlying health problems, be it diabetes, be it heart conditions, be it lung conditions, be it people with emphysema, or industrial injuries that they've suffered, they're likely to be more vulnerable than those that are healthy. So it is not just an age thing.

Personally speaking, I will carry on with my work, I will carry on accepting the responsibilities that I have in this position.

12.00pm GMT

Oliver Dowden, the culture secretary, will be away from the office for the next two weeks. He has revealed on Twitter that he is self-isolating because a member of his family is ill.

A member of my family currently has #covidaf1/419uk symptoms so in line with government advice I will be remaining at home.

I'm feeling fine and will of course be working on @DCMS priorities in these very challenging times, and continuing to support my constituents in Hertsmere https://t.co/H9oeGduop0

11.50am GMT

Today, the leadership of the National Education Union has written to the Prime Minister Boris Johnson, calling for the Government to close schools and colleges and protect vulnerable educators or those caring for at risk family members.

Here is the text of the letter. pic.twitter.com/dQ19ij6FLL

The National Education Union, the largest teaching union, is calling for schools to be closed. In an open letter to the prime minister, Mary Bousted and Kevin Courtney, the NEU's joint general secretary, say they are calling for school closures, on at least a temporary basis, in the light of the announcement yesterday saying the over-70s, pregnant women and people with serious health conditions should self-isolate.

Given your failure to release modelling comparing different scenarios of school closures, we are now forced to call on you to close schools, at least for some time and at least in some areas.

We know that very many of our members who aren't in the categories of heightened risk would be willing to volunteer to play a role in helping our society get through this crisis.

Schools are struggling with ever diminishing staffing levels and are being driven to make arrangements for changes to staff working conditions which have the potential to compromise the health and safety of staff and pupils. This situation cannot be allowed to continue.

The UK government, working with governments and administrations across the UK, must now make a definitive decision about the steps being taken to protect the school workforce and the closure of schools.

11.29am GMT

Some of the owners of pubs and other businesses affected by the government's advice yesterday that everyone should avoid all "non-essential contact" with other people have been complaining that the government has been advising the public to avoid these places, not closing them by order. If premises were forced to close, they would at least be able to claim insurance, it has been said.

But the Association of British Insurers has issued a statement today saying that, for most businesses, even if the government were to order their closure, they would not be protected by insurance. The ABI says:

Irrespective of whether or not the government orders closure of a business, the vast majority of firms won't have purchased cover that will enable them to claim on their insurance to compensate for their business being closed by the coronavirus.

Standard business interruption cover - the type the majority of businesses purchase - does not include forced closure by authorities as it is intended to respond to physical damage at the property which results in the business being unable to continue to trade.

11.18am GMT

The Conservative party's spring conference, which was due to start on Friday 3 April in Harrogate, has been cancelled, ConservativeHome's Paul Goodman reports.

Conservative Party Spring Conference cancelled.

11.12am GMT

Robert Peston, ITV's political editor, has written an interesting blog on the challenge facing Rishi Sunak as he draws up his coronavirus financial rescue packaged. Peston says the scale of the challenge is likely to take the Conservatives into unlikely ideological territory. He says:

As one Tory minister put it to me, these principles imply that Boris Johnson will almost certainly have to oversee a government that for a good year or maybe longer will look quite socialist.

"We'll find ourselves implementing most of Jeremy Corbyn's programme" is how he put it.

11.06am GMT

Airports may shut down "within weeks without government intervention", according to the Airport Operators Association. Karen Dee, the association's chief executive, said:

Governments across the world are supporting their national aviation industries, as many parts of the global travel industry have come to a halt.

As some airlines call on the UK government to act similarly, we are clear that airports will shut down in weeks unless urgent action is taken to support the industry.

10.53am GMT

The government's coronavirus press conference, featuring Boris Johnson and Rishi Sunak, is now scheduled for around 4pm, we're told.

10.49am GMT

There are two statements in the Commons today.

There will be two statements today on:

1. COVID-19 Foreign Secretary update - @DominicRaab / @EmilyThornberry

2. Economic update. @RishiSunak / @johnmcdonnellMP

10.44am GMT

A teaching union has claimed there is a "rising sense of panic" in schools because the government's coronavirus advice is not clear enough. In a statement Chris Keates, the NASUWT acting general secretary, claimed teachers were not getting definitive instructions. She said:

All of the announcements continue to be couched as guidance or advice, which is simply serving to increase anxiety and uncertainty.

The NASUWT has to date been advising our members in the context of the advice issued by governments and administrations and public health bodies across the UK.

10.27am GMT

The National Association of Funeral Directors is due to meet with Whitehall officials later today. Ahead of the meeting, chief executive Jon Levett said:

Funeral directors across the UK have been working to develop contingency plans and are ready to step up to support the government and the nation in these unprecedented and worrying times.

However, consistency of advice is key and this is what we are aiming to achieve from our meeting with the Cabinet Office today.

10.25am GMT

At the business committee Labour's Pat McFadden asks Rain Newton-Smith if the CBI has an estimate of the number of jobs at risk.

Newton-Smith says she cannot say, because it depends how the government responds.

10.20am GMT

In the Commons the business committee has just started taking evidence from business and union figures about coronavirus.

The witnesses are: Rain Newton-Smith, chief economist, at the CBI; Martin McTague, policy and advocacy chair at the Federation of Small Businesses; Alasdair Hutchison, policy development manager at the Association of Independent Professionals and the Self-employed; and Paul Nowak, deputy general secretary at the TUC.

10.15am GMT

Rupert Harrison, who was chief of staff to George Osborne when Osborne was chancellor, has posted a thread on Twitter explaining what sort of help he thinks business will need to survive coronavirus. He says there will have to be a colossal bailout, worth at least 10% of GDP - or perhaps twice that.

It starts here.

Two weeks ago I said we would need mass disaster insurance style cash flow support for businesses. I'm pretty sure this where we're now heading https://t.co/LPLcsEgP20

All of this may well come to 10% of GDP or even much more than that. But that is manageable as a one off impact and better than the alternative

Actually I think 10% of GDP is going to be too little - could need to be twice that

450billion in guarantees/ support... says former top Treasury adviser.
but if it were needed to be done, twere best it done quickly to prevent layoffs and provide cash flow needed during shutdowns: https://t.co/W4IaZoCAR8

10.00am GMT

In the Treasury committee Robert Chote, chair of the Office for Budget Responsibility, says the 12bn coronavirus package in the budget seemed reasonable at the time. But the situation is changing by the day, he says. He says now it should be seen as just a "downpayment".

He says Oliver Blanchard, the former chief economist at the IMF, said recently that now was "not a time to be squeamish about public sector debt". Chote goes on:

There will be a time to think about what the appropriate medium-term policy setting is for normal times to deal with the legacy of this. But for the moment you are dealing with the problem on a daily basis. As I saw, 12bn was the number that seemed perfectly reasonable as part of a perfectly reasonable package at that time. But it's moving by the day.

The world is de facto at war (against the virus, rather than against each other---this is the good news...) With this in mind: US Federal deficits as a ratio to GDP: 1942: -12%, 1943: -26%, 1944: -21%, 1945: -20%. Let's not be squeamish.

9.49am GMT

Cabinet is starting today at 10.30am, not 9.30am as usual, we've been told.

9.48am GMT

The British Beer and Pub Association has written to Boris Johnson, demanding urgent steps are taken to prevent mass job losses and permanent pub closures. In the letter, that was sent last night, the association's chief executive Emma McClarkin said:

The UK pub and brewing industry is tonight facing an existential crisis as a direct result of the guidance issued by the government today.

Thousands of pubs and hundreds of thousands of jobs will be lost in the very short term unless a proactive package creating cash and liquidity is provided immediately to the industry.

I cannot emphasise strongly enough how critical it is that action is taken now. Failure to do so will destroy the industry.

9.42am GMT

Robert Chote, the chair of the Office for Budget Responsibility, has just started giving evidence to the Commons Treasury committee. He is appearing alongside two colleagues, Andy King and Prof Sir Charles Bean, who are both members of the OBR's budget responsibility committee.

There is a live feed here.

9.34am GMT

This is what George Osborne, the former Conservative chancellor, posted on Twitter last night explaining what he thought the government had to do about coronavirus.

Time for a massive government scheme to underwrite bank loans to businesses - and help them and their employees through this crisis. 100s billions pounds in scale. Budget measures last week were fine, but not enough

9.20am GMT

Good morning. Yesterday we had one of the most dramatic and consequential announcements from a British prime minister since the second world war, but today ministers are due to follow it up with at least two more major interventions.

First, Rishi Sunak, the chancellor, is due to give details of what the government will do to help the businesses and individuals facing bankruptcy and unemployment because of Boris Johnson's guidance that will effectively shut down parts of the economy.

Chancellor Rishi Sunak will join Boris Johnson at his daily Downing Street press conference later this afternoon after a furious backlash from businesses against the government's approach. Treasury officials - like the rest of government - were completely blindsided by yesterday's dramatic clampdown, and were last night hastily considering a range of options that might keep small businesses afloat. One well-placed source told Playbook to expect a "big economic package," but admitted full details were unlikely to be ready by this afternoon. "We will continue to engage with business and are working rapidly to provide more support," a Treasury spokesman said.

Caught on the hop: The truth is that Downing Street itself was not really ready for this rapid escalation, with events moving at a breakneck speed throughout the past few days. As such the PM could offer only hopelessly vague assurances at yesterday's press conference that businesses would be supported, even as he urged Brits to stay away from pubs, restaurants, theatres and other entertainment venues. His words have left tens of thousands of small business owners fearing ruin today, with the Daily Mail describing it as "doomsday" for the high street.

What we may do over the course of the next few days is go to a Saturday or Sunday service during the week and then maybe even scale that down even more over the course of the next few days and weeks.

We are following the science very carefully and consider the measures we announced yesterday have been announced at the right time - not too early and certainly not too late.

We don't rule out taking further measures if these are necessary but much of this depends on how the next two weeks play out.

I think we are still behind the epidemic seen in other European countries, so there's always a balancing act involved in these sort of measures in order to balance the impact of those measures, the costs on the economy against the impact on the epidemic.

I overall think we have got the timing about right.

Initially when we came up with these sort of estimates they were viewed as what's called a reasonable worst case, but as information has been gathered in recent weeks from, particularly Italy, but other countries, it's become increasingly clear it's not the reasonable worst case, it's the most likely scenario [assuming no change in policy].

We need unequivocal statement from Chancellor today that people's incomes will be protected businesses will be fully supported to prevent any going out of business as result of the virus, and it has to be on a scale sufficient to meet this crisis. No small measures. Get it right.

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