£4.6 billion in new lockdown grants to support businesses and protect jobs have been announced
Following the Prime Minister’s announcement of a nationwide lockdown on Monday night, the chancellor has announced new lockdown grants to support businesses in the retail, hospitality and leisure sectors.
These one-off grants worth up to £9,000 per property are intended to help businesses through to the Spring. In addition, a £594 million discretionary fund has also been made available to support other impacted businesses.
The new lockdown grants are in addition to the £1.1 billion further discretionary grant funding for Local Authorities, Local Restriction Support Grants and the extension of the furlough scheme.
Retail, hospitality and leisure business have been forced to close until at least after the February half-term in order to help control the increase in Coronavirus cases. This leaves many of these businesses in a very difficult financial position, and it is the hope of the government that these new lockdown grants will provide business owners with increased certainty through to the Spring period.
“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.” – Rishi Sunak
Eligibility For The New Lockdown Grants
The new grants will be provided on a per-property basis and are expected to benefit over 600,000 business properties, worth £4 billion in total across all nations of the UK.
Any business which is legally required to close, and which cannot operate effectively remotely, is eligible for a grant.
The one-off grant will be open to businesses in hospitality, retail and leisure forced to close their doors and the amount will be judged on the rateable value 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
Support For Other Businesses
A further £594 million has also been made available for Local Authorities and the Devolved Administrations to support other businesses which are not eligible for the new lockdown grants, but that might be affected by the restrictions. Businesses can apply for funds via their Local Authorities. You can find your local authority by using this tool.
This package of support will support businesses until the 3rd of March when The Chancellor has said that he will “take stock of our wider support, and set out the next stage in our economic response”.
“The next few weeks are going to be difficult but we are vaccinating more and more people every day. So that’s why we are re-doubling our efforts to protect businesses, jobs and incomes,” – Rishi Sunak
Can We Help?
The news of additional funding will be welcome to many businesses, however you may need additional support from a professional. Our friendly team are always on hand to answer your questions and help in any way they can.
You can contact us on 01704 211 434 or firstname.lastname@example.org
If you are struggling to keep up to date with the various policies, grants and schemes which affect your business we are here to help. Our Coronavirus Business Support page contains up to date information for businesses, sole-traders and employees.