Chancellor Rishi Sunak has announced that £4.6 billion will be spent on grants to support businesses that have been affected by the lockdown to protect both businesses and jobs.
This one-off grant of up to £9000 will be available to businesses in the retail, hospitality and leisure sectors.
These one-off top-up grants will be available to help eligible businesses through the spring. There will be up to £9000 allowed per property.
A discretionary fund of £594 million has been made available to Local Authorities and the Devolved Administrations to support other businesses that are not eligible for the grants but may still be affected by the lockdown. Any business who believes they may be eligible should apply directly to their Local Authority.
This is in addition to a further £1.1 billion discretionary grant funding for Local Authorities, Local Restriction Support Grants worth up to £3,000 a month and extension of the furlough scheme.
This extra funding was announced following the Prime Minister's speech last night where we were informed that businesses in the retail, hospitality and leisure sector would be closed until February at the earliest in an effort to stop the spread of the virus. These grants are in addition to the support that is already available to support businesses and employees throughout the Spring.
These grants are expected to help over 600,000 businesses with properties throughout the UK. They will be supplied on a per-property basis to support businesses through the latest restrictions.
"The new strain of the virus presents us all with a huge challenge - and whilst the vaccine is being rolled out, we have needed to tighten restrictions further.
Throughout the pandemic, we've taken swift action to protect lives and livelihoods and today we're announcing a further cash injection to support businesses and jobs until the Spring.
This will help businesses to get through the months ahead – and crucially it will help sustain jobs, so workers can be ready to return when they are able to reopen."
These new grants are in addition to the existing business support that is available from the Government. This includes grants worth up to £3000 for closed business, and grants for up to £2100 for impacted businesses once they reopen.
The government has also provided 100% business rates relief for retail, hospitality and leisure businesses and the furlough scheme has been extended until the end of April.
The option of 100% government-backed loans has been extended until March!
Grant Eligibility and Additional Information
The one-off top-up Grants will be provided to closed businesses as follows:
- £4,000 for businesses with a rateable value of £15,000 or under
- £6,000 for businesses with a rateable value between £15,000 and £51,000
- £9,000 for businesses with a rateable value of over £51,000
Small businesses will also be able to benefit from other UK-wide support measures provided by the Government. This includes the various business lending schemes (where the repayment terms were made easier as part of the Winter Economy Plan), and the extension of the Self Employment Income Support Scheme.
To stay up to date with the latest information as and when it released by the Government, please see our COVID-19 Updates page.