C19 BUSINESS NEWS UPDATE
Today we catch up with the launch of the Local Authority Discretionary grant funds in England to help you deal with the economic impacts of coronavirus.
The Government has been updating a lot of the support and guidance pages so please take time to flick through the newsletter to look for anything that may affect you or your business.
APPLY FOR THE CORONAVIRUS LOCAL AUTHORITY DISCRETIONARY GRANTS FUND – ENGLAND
The Discretionary Grant Fund supports small and micro businesses that are not eligible for other grant schemes opened on the 8 June.
Small and micro businesses with fixed property costs that are not eligible for the Small Business Grant Fund or the Retail, Hospitality and Leisure Grant Fund may be eligible for the Discretionary Grants Scheme.
What you get
You can get a grant of £25,000, £10,000 or any amount under £10,000.
You may be eligible if your business:
- is based in England
- has relatively high ongoing fixed property-related costs
- occupies property (or part of a property) with a rateable value or annual mortgage/rent payments below £51,000
- was trading on 11 March 2020
You will need to show that your business has suffered a significant fall in income due to coronavirus.
The Government has asked local councils to prioritise businesses such as:
- small businesses in shared offices or other flexible workspaces, such as units in industrial parks or incubators
- regular market traders
- bed and breakfasts paying council tax instead of business rates
- charity properties getting charitable business rates relief, which are not eligible for small business rates relief or rural rate relief
Local councils have discretion about how to prioritise this funding. Please check with your council for details of their scheme.
You cannot apply if your business is in administration, insolvent or has received a striking-off notice.
If you are already claiming funding
You cannot apply if you are already claiming under another government grant scheme, such as:
- Small Business Grant Fund
- Retail, Hospitality and Leisure Grant
- Fisheries Response Fund
- Domestic Seafood Supply Scheme
- Zoos Support Fund
- Dairy Hardship Fund
Businesses that apply for the discretionary grants scheme can still apply for coronavirus-related loans if they are eligible.
You are still eligible if you have applied for the Coronavirus Job Retention Scheme or the Self-Employed Income Support Scheme.
If you already get state aid
The discretionary grants fund counts towards state aid.
Payments of £10,000 or less count towards the total de minimis state aid you are allowed to get over a 3-year period – €200,000. If you have reached that threshold, you may still be eligible for funding under the COVID-19 Temporary Framework.
Payments of £25,000 count as state aid under the COVID-19 Temporary Framework. The limit for the framework is €800,000.
Your local council will ask you to complete a declaration confirming that:
- you will not exceed the relevant state aid threshold
- you were not an ‘undertaking in difficulty’ on 31 December 2019. This applies only to the COVID-19 Temporary Framework
To find your local council see: https://www.gov.uk/find-local-council
Full report see: https://www.gov.uk/guidance/apply-for-the-coronavirus-local-authority-discretionary-grants-fund?utm_source=281bab0e-92ec-4a01-ab95-81f8181c1364&utm_medium=email&utm_campaign=govuk-notifications&utm_content=immediate
The information contained in this article is for general information purposes only and does not constitute advice, Whilst we endeavour to keep the information up-to-date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability for a particular purpose. We recommend that professional advise should be taken from a suitably qualified expert before undertaking any action.