The coronavirus Local Restrictions Support Grant provides financial assistance to businesses which have been forced to close due to the national lockdown restrictions imposed by the Government between 5 November and 2 December 2020. Through the grant, eligible businesses can claim up to £3,000 for each 28-day qualifying period.
Which businesses are eligible?
Eligible businesses include those which:
- occupy property on which it pays business rates
- have been forced to close as a result of the national restrictions (5 Nov – 2 Dec 2020)
- have been unable to provide normal in-person service from its business premises
- are based in England
Services which are likely to be affected include non-essential retail, cafes/restaurants and leisure among others. In the example of a restaurant, they may primarily function as a dine-in service but could have been forced to close and to solely provide a takeaway service in its place. In this scenario, they would eligible to receive support (assuming they also meet the criteria above).
While most businesses will need to demonstrate that they are subject to business rates, their local authority may be able to use their discretion to provide funding for a limited number of additional businesses.
How much could my business receive?
Grants are based on the rateable value of your business property as follows:
- Rateable value of £15,000 or less – cash grant of £1,334 for each 28-day qualifying restrictions period.
- Rateable value of over £15,000 and less than £51,000 – cash grant of £2,000 for each 28-day qualifying restrictions period.
- Rateable value of £51,000 or above – cash grant of £3,000 for each 28-day qualifying restrictions period.
It is also important to note that eligible businesses are entitled to one grant for each non-domestic property. Therefore, if a business owns two restaurants, it can claim under this scheme for each of the locations.
Are there any exclusions?
Businesses that do not depend on in-person services at their premises and can therefore continue to operate during the lockdown period are not eligible for Local Restrictions Support Grants.
Additionally, businesses that have opted to close by choice rather than as a result of the national restrictions are excluded, as are businesses that have reached the state aid limit of €200,000 (over a 3-year period).
If you have any questions regarding the Local Restrictions Support Grant, please speak to a member of the Kingston Burrowes team, who will be happy to advise or look into this for you. The team can be contacted on email@example.com or by calling 020 8912 2040.
Your local council should also be able to provide information on eligibility and application process. A number of these are listed below.