Business grants for Tier 4 and lockdown restrictions

Shield, Closed, After Work, Sign, Note, Board

East Cambridgeshire District Council has published details of three new government business grants which aim to help eligible businesses severely impacted by Tier 4 and current lockdown restrictions.

The schemes

  • Local Restrictions Support Grant (Closed), to cover the Tier 4 Restrictions from 26 December 2020 to 4 January 2021
  • Local Restrictions Support Grant (Closed), to cover the National Lockdown from 5 January 2021 to 15 February 2021
  • Closed Business Lockdown Payment, a one-off payment to cover the period 5 January 2021 to 15 February 2021.

The funding for all three schemes is available only to businesses with a business rates account that were required to close because of the formal publication of lockdown regulations under Public Health legislation. The funding is not available to businesses who have chosen to close for other reasons.

Businesses required to close under national restrictions include all non-essential retail, indoor and outdoor leisure facilities, entertainment venues and personal care facilities. A more detailed list of the businesses required to close can be found on the gov.uk website.

Qualifying businesses

East Cambridgeshire District Council has identified eligible businesses using the ratings list and will be contacting businesses by email and post.

To be eligible for this funding, a business must be in East Cambridgeshire, and must have been open as usual in the week before Government restrictions required them to close, either through tier-based restrictions or national restrictions.

For wet-led pubs, this is from 2 November 2020, and for all other businesses this is from 21 December 2020.

Businesses must also have been providing services in person to customers from the premises, and must have been registered as the occupier for business rates on 26 December 2020.

Businesses setting up ‘click and collect’ services and restaurants providing a takeaway service are still able to claim grants as their substantive business was closed.

Businesses that chose to close but were not required to, and businesses that have already received grant payments that equal the maximum levels of EU State Aid permitted, are not eligible for these grants.

What if my business doesn’t qualify?

Businesses that do not meet the criteria, but have still been severely impacted by Government COVID-19 restrictions, will be considered as part of the Council’s discretionary scheme, which is currently being set up. More information on this will be published as soon as possible.

The grants that will be awarded to businesses are based on the rateable value of their premises on 26 December 2020.

  • Businesses with a rateable value of £15,000 or below will receive £476.43 for the ten days they were put into Tier 4 restrictions, £2,001 for the six weeks they were placed under national lockdown restrictions, and £4,000 from the Closed Business Lockdown Payment, resulting in a total of £6,477.43 in Government support.
  • Businesses with a rateable value of over £15,000 and less than £51,000 will receive £714.29 for the ten days they were put into Tier 4 restrictions, £3,000 for the six weeks they were placed under national lockdown restrictions, and £6,000 from the Closed Business Lockdown Payment, resulting in a total of £9,714.29 in Government support.
  • Businesses with a rateable value of £51,000 or above will receive £1,071.43 for the ten days they were put into Tier 4 restrictions, £4,500 for the six weeks they were placed under national lockdown restrictions, and £9,000 from the Closed Business Lockdown Payment, resulting in a total of £14,571.43 in Government support.

These grants will be issued as one-off payments to cover the period from 26 December 2020 to 15 February 2021.

Eligible businesses will get one grant for each property liable for business rates.

Applying for the grants

Eligible ratepayers will be contacted by the Council, who will ask you to complete a declaration confirming that your business meets all the eligibility criteria and that by accepting these grants it will not exceed the relevant State Aid threshold.

Please read the eligibility criteria before completing the application form. The closing date for applications to be returned is 31 March 2021.

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