Business Grants: The Lowdown

05 November 2020

If your business has been required to close as part of the latest lockdown, then it is likely that you will be able to access some level of the Government’s Business Grants package designed to support UK businesses.

ENGLAND

Businesses required to close in England due to local or national restrictions will be eligible for the following:

For properties with a rateable value of £15k or under, grants to be £1,334 per month, or £667 per two weeks;
For properties with a rateable value of between £15k-£51k grants to be £2,000 per month, or £1,000 per two weeks;
For properties with a rateable value of £51k or over grants to be £3,000 per month, or £1,500 per two weeks.

Grant applications are to be made via your Local Authority when the Fund goes live.

WALES

The Lockdown Business Fund is a fund to provide financial assistance to businesses that are facing operational and financial challenges caused by the national lockdown announced for Wales as a result of COVID-19.

The purpose of the fund is to support businesses with cash flow support to help them survive the economic consequences of the restrictions put in place.

To receive the grants outlined below you will need to register and or make an application for the discretionary elements.

Registration and applications are now open and can be accessed by visiting the relevant Local Authority, link can be found at the bottom of this page.

The fund consists of two separate grants:

Lockdown Non Domestic Rate Grant

Grant 1

A grant of £5,000 is being made available for retail, leisure and hospitality businesses that have been forced to close (as defined by the regulations) and occupy properties with a rateable value of between £12,001 and £51,000.

In line with the regulations, the primary operation of the business at the qualifying hereditament must be closed during the firebreak period to be eligible for this element of support. However if a food delivery or takeaway service is in operation (and is not the normal primary income source for the business) and aligns fully to the reasonable measures required you may apply for the £5k grant. Businesses should read the relevant regulations and make their own judgment before applying based on the regulation and broader support offer.

Grant 2

A grant of £1,000 is being made available to all businesses eligible for small business rates relief (SBRR) in Wales with a rateable value of up to £12,000 (for further details and exemptions see guidance document).

Businesses eligible for small business rates relief that have been subject to local restrictions for 3 weeks or more and have been materially impacted (>50% reduction in turnover) up to the 23rd October will be eligible for a further grant of £1,000
and a discretionary enhanced £2,000 top-up grant will be made available on an application basis for those businesses with a rateable value of £12,000 or less who are forced to close by the firebreak lockdown (as defined by the regulations).

You are not eligible for this grant if:

You are eligible for, or have received, the Lockdown Discretionary Grant from your Local Authority

You will need to be on the NDR rating list for your local authority on 1 September 2020 and will need to complete a simple registration form to receive this grant.

Lockdown Discretionary Grant

Grant amount 1 – a discretionary grant of £1,500 is available to assist businesses that have:

Been forced to close (as defined by the regulations) as a result of the national firebreak lockdown
OR are able to demonstrate that the national firebreak lockdown will result in at least a 80% reduction in their turnover for that period

Grant amount 2 – a discretionary grant of £2,000 is available to assist businesses that have:

Been forced to close (as defined by the regulations) as a result of the national firebreak lockdown
OR are able to demonstrate that the national firebreak lockdown will result in at least a 80% reduction in their turnover for that period

AND have been subject to local restrictions for 3 weeks or more up to the 23rd October and experienced at least a 50% reduction in their turnover for that period.

You cannot apply for Grant 1 and Grant 2.

You are not eligible for this grant if:

You are eligible for, or have received, the Lockdown Non-Domestic Rate Grant from your Local Authority

If you have 50 or more employees

If the business generated less than 50% of your income, the business must be your main source of income.

Applications will be dealt with on a first come first served basis. This may lead to applications not being appraised after they have been submitted if the fund is fully committed.