The UK, which experienced the third wave with the new strains coronavirus (Covid-19), has been implementing certain measures since October 2020, aiming to minimize the impact of the outbreak on public health. A package of additional financial incentives worth £65bn for 2021 and 2022 has been put on the agenda to ensure the economy will catch the performance before pandemic.

Chancellor of Exchequer Rishi Sunak, in his presentation about budget talks in the parliament, announced that there will be a Coronavirus financial aid package of £65 billion for 2021 and 2022, and that the total financial support to be provided this year and next will be amounted to £407 billion.

Sunak said that the impact of the coronavirus on the economy should be urgently addressed, and that they will act to improve the public finances at a time when the economy reaches the path of recovery. Sunak said that they will take whatever steps are necessary to recover the economy, adding that they can reach GDP levels before the Coronavirus outbreak by next year. In this context, Office for Budgetary Responsibility (OBR) forecast gross domestic product (GDP) would grow 7.3 percent, 1.7 percent and 1.6 percent in 2022, 2023 and 2024 respectively. In November, the OBR had forecast growth in those years of 6.6 percent, 2.3 percent and 1.7 percent.

In Sunak's presentation, it was observed that the work allowances will be extended until the end of September, and that they will continue to support freelancers until September and they will spend £ 33 billion for support. Sunak also shared his view that they will focus on placing people in workplaces to increase employment rates as the economy recovers.

The Chancellor said the grants, worth as much as £18k per each accomodation firm and £6k per each retailer will be helpful and they will also increase the cash suppor to £25B in total. Noting that businesses can apply for loans from £25k to £10M, Sunak said 5 percent Value Added Tax (VAT) discount for accommodation, catering businesses has been extended until September, while the extended VAT discount is £5B now. And Rishi Sunak finally noted that the stamp duty holiday on properties up to £500,000 will be extended to June 30 and from July 1, the holiday will apply only on properties up to £250,000 until the end of September.