{"componentChunkName":"component---src-templates-post-js","path":"/councils-at-risk-of-bankruptcy/","result":{"data":{"ghostPost":{"id":"Ghost__Post__5ef4616344502600395e31d2","title":"Councils at risk of bankruptcy","slug":"councils-at-risk-of-bankruptcy","featured":false,"feature_image":"https://multiply.ghost.io/content/images/2020/06/Multiply-minute-3.png","excerpt":"Councils across the UK say they’re at risk of going bankrupt if they don't get further government support.","custom_excerpt":"Councils across the UK say they’re at risk of going bankrupt if they don't get further government support.","created_at_pretty":"25 June, 2020","published_at_pretty":"25 June, 2020","updated_at_pretty":"25 June, 2020","created_at":"2020-06-25T08:33:39.000+00:00","published_at":"2020-06-25T08:38:54.000+00:00","updated_at":"2020-06-25T08:50:33.000+00:00","meta_title":null,"meta_description":null,"og_description":null,"og_image":null,"og_title":null,"twitter_description":null,"twitter_image":null,"twitter_title":null,"authors":[{"name":"Annie Mellor","slug":"annie","bio":null,"profile_image":null,"twitter":null,"facebook":null,"website":null}],"primary_author":{"name":"Annie Mellor","slug":"annie","bio":null,"profile_image":null,"twitter":null,"facebook":null,"website":null},"primary_tag":null,"tags":[{"name":"#feed","slug":"hash-feed","description":null,"feature_image":null,"meta_description":null,"meta_title":null,"visibility":"internal"},{"name":"multiply-minute","slug":"multiply-minute","description":"The 1-minute read to get the money news you need with expert adviser commentary","feature_image":null,"meta_description":null,"meta_title":null,"visibility":"public"}],"plaintext":"Get straight to the good stuff every day with the Multiply Minute; a\nlightning-quick round-up of the money news and how it affects you.\n\nBankruptcy warning from councils\nCouncils across the UK say they’re at risk of going bankrupt\n[https://www.bbc.co.uk/news/uk-53069772] if they don't get further government\nsupport. 150 authorities are short by £3.2 billion in total. Why? Dealing with\ncoronavirus has meant higher care costs, and payment holidays from business\nrates and council tax have meant their income is reduced at the same time.\nBankrupt councils would be bad news for bin collections, the fire brigade,\npublic transport, roads...the list goes on.\n\nSA302s at the ready\nSelf-employed borrowers are waiting longer to get a mortgage decision, because\nlenders are scrutinising applications\n[https://www.telegraph.co.uk/personal-banking/mortgages/summer-drought-self-employed-home-buyers-banks-tighten-mortgage/]\n* in even more detail to check if their business has been affected by\ncoronavirus. Normally, self-employed applicants just have to provide 2 years’\nworth of tax returns as proof of income. Now, banks are requesting further\nevidence from accountants, and they’re manually reviewing every case.\n\nAdviser comment: \"Lenders are currently risk-averse and apply strict lending\ncriteria. There are additional hurdles if you’re self-employed, and you might\nhave to pay a higher interest rate. A higher deposit will help you. Speak to\nyour accountant before applying and make sure all your accounts are available.\nWe also recommend speaking to a mortgage adviser.\"\n\nSigning into the pub\nWhen pubs reopen on 4th July, punters will have to give their name at the door\n[https://uk.reuters.com/article/uk-health-coronavirus-britain-pubs/no-name-no-pint-new-rules-for-englands-pubs-after-lockdown-idUKKBN23V1GS] \nbefore coming in. No name, no pint. It’s part of the track and trace process;\nthe government needs to be able to pinpoint who was there in case there’s a\nlocal flare up. Other rules? No standing at the bar, no live performances, and\nstay 1 metre away from everyone else.\n\n\n\n*this article may need a subscription to read","html":"

Get straight to the good stuff every day with the Multiply Minute; a lightning-quick round-up of the money news and how it affects you.

Bankruptcy warning from councils

Councils across the UK say they’re at risk of going bankrupt if they don't get further government support. 150 authorities are short by £3.2 billion in total. Why? Dealing with coronavirus has meant higher care costs, and payment holidays from business rates and council tax have meant their income is reduced at the same time. Bankrupt councils would be bad news for bin collections, the fire brigade, public transport, roads...the list goes on.

SA302s at the ready

Self-employed borrowers are waiting longer to get a mortgage decision, because lenders are scrutinising applications* in even more detail to check if their business has been affected by coronavirus. Normally, self-employed applicants just have to provide 2 years’ worth of tax returns as proof of income. Now, banks are requesting further evidence from accountants, and they’re manually reviewing every case.

Adviser comment: \"Lenders are currently risk-averse and apply strict lending criteria. There are additional hurdles if you’re self-employed, and you might have to pay a higher interest rate. A higher deposit will help you. Speak to your accountant before applying and make sure all your accounts are available. We also recommend speaking to a mortgage adviser.\"

Signing into the pub

When pubs reopen on 4th July, punters will have to give their name at the door before coming in. No name, no pint. It’s part of the track and trace process; the government needs to be able to pinpoint who was there in case there’s a local flare up. Other rules? No standing at the bar, no live performances, and stay 1 metre away from everyone else.

*this article may need a subscription to read

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