Councils given additional funding to award grants to small businesses hit-hard by lockdown
The government has set up a discretionary fund for local authorities to award additional financial grants of up to £25,000 to small businesses hit the hardest as a result of coronavirus restriction measures.
The Business Secretary Alok Sharma and Minister for Regional Growth and Local Government, Simon Clarke spoke to local authorities in England on the 1st May to set out that up to £617 million would be made available.
It comes an additional five per cent uplift to the £12.33 billion funding previously allocated for the Small Business Grants Fund and the Retail, Hospitality and Leisure Grants Fund.
According to the government, this funding is aimed at small businesses with ongoing fixed property-related costs and local authorities are advised to prioritise businesses in shared spaces, regular market traders and small charity properties.
Local authorities, however, will have the power to allocate the additional fund at their own discretion and may choose to make payments to other business based on economic need.
Only companies with under 50 employees that are able to demonstrate they have seen a significant drop in income due to the coronavirus lockdown measures will be eligible to receive the additional grants.
There will be three levels of grant payments: a maximum of £25,000, grants of £10,000, and discretionary payments made by local authorities of under £10,000.
The government is set to issue guidance to local authorities shortly, as well as confirm the exact amount for each local authority this week.https://thiis.co.uk/councils-given-additional-funding-to-award-grants-to-small-businesses-hit-hard-by-lockdown/https://i2.wp.com/thiis.co.uk/wp-content/uploads/2020/05/High-street-charity-shops-covid.jpg?fit=900%2C507&ssl=1https://i2.wp.com/thiis.co.uk/wp-content/uploads/2020/05/High-street-charity-shops-covid.jpg?resize=150%2C150&ssl=1Business SupportCoronavirus NewsCOVID-19 Trade NewsGovernment & Local AuthoritiesInvestments & FundingNewsroomSector NewsAlok Sharma,Business Secretary,Councils,COVID-19,financial support,funding,grants,local authorities,pandemicThe government has set up a discretionary fund for local authorities to award additional financial grants of up to £25,000 to small businesses hit the hardest as a result of coronavirus restriction measures.The Business Secretary Alok Sharma and Minister for Regional Growth and Local Government, Simon Clarke spoke to...Calvin BarnettCalvin Barnettcalvin@thiis.co.ukAdministratorTHIIS Magazine