New local lockdown grant fund to act as business “safety net”
Businesses in England affected by “local lockdowns” are set to receive up to £1,500 per property every three weeks to keep their operation afloat, it has been announced.
The announcement comes after a spate of regionalised spikes in Covid-19 cases in towns and cities such as Bolton, Leicester, and Blackburn.
The local restrictions mean that almost all hospitality and leisure venues are required to close throughout certain times of the day or shut their doors to the public completely.
To protect businesses affected by such restrictions, the Government has this week announced new grants which will act as a “safety net” for jobs and livelihoods.
- Businesses still closed at a national level (e.g. nightclubs) will not be eligible
- if a business occupies a premises with a rateable value less than £51,000 or occupies a property or part of a property subject to an annual rent or mortgage payment of less than £51,000, it will receive £1000
- if a business occupies a premises with a rateable value of exactly £51,000 or above or occupies a property or part of a property subject to an annual rent or mortgage payment of exactly £51,000 or above, it will receive £1500
Commenting on the initiative, Chief Secretary to the Treasury Steve Barclay said: “These grants provide businesses with a safety net as they temporarily close their doors to help save lives in their local areas.”
Business Secretary Alok Sharma added: “No business should be punished for doing the right thing, which is why today’s package will offer additional breathing space for businesses that have had to temporarily close to control the virus.”
The local lockdown grant funding scheme is just one of many initiatives launched by the Government to protect vulnerable businesses. The rescue package also includes Business Rates Relief, the Coronavirus Business Interruption Loan Scheme (CBILS) and grant funding of up to £25,000 available through the Retail, Hospitality and Leisure Grant Fund.
For more business support or advice applying for grant funding, please get in touch with our expert team today.