ALL YOU NEED TO KNOW: Local Restrictions Support Grant
November 16, 2020
Local Restrictions Support Grant by Staffordshire Local Authorities
Please see below a list of Staffordshire Local Authority’s Local Restrictions Support Grant policy, criteria and eligibility.
The Council has received notification of financial support that we will be able to support local businesses with through the difficult weeks ahead. Businesses closed or seriously affected by the Lockdown measures from 5 November will be entitled to claim grants from the Council to help to compensate for their lost income over the four week period.
Businesses forced to close on 5 November can claim a Local Restriction Support Grant (Closed) as follows:
- Properties with a rateable value of £15k or under, grants of £1,334 per four weeks;
- Properties with a rateable value of over £15k and below £51k, grants of £2,000 per four weeks;
- Properties with a rateable value of £51k or over, grants of £3,000 per four weeks.
Businesses forced to close since March (such as nightclubs) will be able to claim a Local Restriction Support Grant (Sector) of £3,000 per four weeks from 1 November.
The Council’s Policy for the initial distribution of funds – Local Restrictions Grant Policy (pdf 276kb) – this Policy initially covers the urgent need to support businesses that have been mandated to close from 5 November and will be updated in the coming weeks to support as many businesses as possible.
An online application will be required. View the form and instructions
*Applications not yet open*
The recently announced Government forced closure grants that will soon be available to businesses across Lichfield district.
These schemes are designed to support local businesses during the 5 November to 2 December 2020 national lockdown and during periods of local restrictions.
Local Restrictions Support Grants (LRSG)
Businesses that are eligible under the LRSG scheme in Lichfield district are initially those that have been mandated to close by Government and include non-essential retail, leisure, personal care, sports facilities and hospitality businesses.
The value of grants payable under that LRSG scheme are linked to the Rateable Value (RV) for occupied properties. These are:
- RV of £15,000 and below: £1334 per 28-day qualifying restriction period
- RV above £15,000 and below £51,000: £2000 per 28-day qualifying restriction period
- RV of £51,000 and above: £3000 per 28-day qualifying restriction period
Additional Restrictions Grant (ASG)
Under the Additional Restrictions Grant, local authorities will receive a one-off lump sum payment to fund additional business support now that widespread national restrictions have been imposed.
We envisage this will primarily take the form of discretionary grants to businesses that don’t qualify for help under the LRSG schemes, but we could also use this funding for wider business support activities. The aim is to provide appropriate support for the financial years 2020/21 and 2021/22 and we will publish further details about this scheme soon.
For updates and more information click here
*Applications not yet open*
The council’s economic development and revenues teams are currently sorting through the database of businesses which could be eligible for grants. This scheme provides grants to businesses which are forced to close rateable premises for three weeks or more due to local imposed lockdowns in England. It has now been extended to provide grants of up to £3,000 per month (up from £1,500).
Grants will be available for businesses required to close in England due to local or national restrictions as per the below. These grants will be administered by Tamworth Borough Council, but we are still waiting for details of the scheme from Government. As guidance the amounts are set out below:
- For properties with a rateable value of £15k or under, grants to be £1,334 per month, or £667 per two weeks;
- For properties with a rateable value of between £15k-£51k, grants to be £2,000 per month, or £1,000 per two weeks;
- For properties with a rateable value of £51k or over, grants to be £3,000 per month, or £1,500 per two weeks.
For updates and more information click here
Businesses that were open as usual, but were then required to close between 5 November and 2 December 2020 due to the national restrictions imposed by government may be eligible for LRSG (Closed) Addendum, Eligible businesses may be entitled to a cash grant from their local council for each 28 day period under national restrictions.
Your business may be eligible if it:
- is based in England
- occupies property on which it pays business rates (and is the ratepayer)
- has been required to close because of the national restrictions from 5 November to 2 December 2020
- has been unable to provide its usual in-person customer service from its premises
For example, this could include non-essential retail, leisure, personal care, sports facilities and hospitality businesses. It could also include businesses that operate primarily as an in-person venue, but which have been forced to close those services and provide a takeaway-only service instead.
Eligible businesses can get one grant for each non-domestic property.
Businesses excluded from the fund
You cannot get funding it:
- you can continue to operate during the period of restrictions because you do not depend on providing direct in-person services from your premises (for example accountants)
- you have chosen to close, but have not been required to close as part of national restrictions
- you have exceeded the permitted state aid limit
You must notify your local council if your situation changes and you no longer meet the eligibility criteria.
If you already get state aid:
LRSG (Closed) Addendum counts towards the total de minimis state aid you’re allowed to get over a 3-year period – €200,000.
If you have reached the de minimis threshold, you may still be eligible for funding under the COVID-19 Temporary Framework. The limit for this 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 to the temporary framework only)
The undertaking in difficulty test does not apply to small and micro undertakings (less than 50 employees and less than €10 million of annual turnover or annual balance sheet), unless any of the following apply:
- the business is already in insolvency proceedings
- the business has received rescue aid that has not been repaid
- the business is subject to a restructuring plan under state aid rules
What you get:
The grant will be based on the rateable value of the property on the first full day of restrictions.
- If your business has a property with a rateable value of £15,000 or less, you may be eligible for a cash grant of £1,334 for each 28-day qualifying restrictions period.
- If your business has a property with a rateable value over £15,000 and less than £51,000, you may be eligible for a cash grant of £2,000 for each 28-day qualifying restrictions period.
- If your business has a property with a rateable value of £51,000 or above, you may be eligible for a cash grant of £3,000 for each 28-day qualifying restrictions period.
Newcastle Under Lyme Borough Council have now opened the Local Restrictions Support Grant for businesses that have not previously been contacted by us with an invitation. Please note, to be eligible for a grant payment under this scheme you must be a business rate payer and your business must be legally required to close as part of the national lockdown restrictions.
A cash grant will be made available to businesses according to their rateable value:
- For premises with a rateable value of £15,000 or less: £1,334
- For premises with a rateable value greater than £15,000 but less than £51,000: £2,000
- For premises with a rateable value of £51,000 or more: £3,000
During the current national lockdown, payments are made for each 28 day qualifying period of closure.
Who is eligible?
– You must be an existing business rate payer in order to be eligible for this scheme.
– Your business must have been registered with the Local Authority and trading on or before November 4th, 2020.
Eligible businesses are those that have been mandated to close by government under the National lockdown restrictions and include:
- Non-essential retail
- Personal care
- Sports facilities
- Hospitality businesses
You must also have been trading normally prior to the introduction of national restrictions and offering in-person services from your business premises.
Who receives the grant?
The grant will be paid to the person who was registered with Newcastle under Lyme Borough Council as the ratepayer on November 4th, 2020.
If you make an application, a grant is paid and you are subsequently found not to be the actual ratepayer (on November 4th, 2020) you will be liable for recovery of any payments made.
If the details the Council hold are incorrect, grant payments may be delayed whilst they establish who the correct rate payer is
The council have already emailed businesses who successfully applied for a business support grant during the first lockdown period that we believe may be eligible for support under the Local Restrictions Grant scheme. For these businesses, a shortened application process is available and details are contained within the email.
As part of your application you will need to provide evidence of your business bank account details; a statement which is less than three months old and clearly shows your business name (or the name of the registered rate payer), address and account details.
Businesses mandated to close and eligible for this grant are:
- Non-essential retail, such as clothing and homeware stores, vehicle showrooms (other than for rental), betting shops, tailors, tobacco and vape shops, electronic goods and mobile phone shops, and market stalls selling non-essential goods. These venues can continue to be able to operate click-and-collect (where goods are pre-ordered and collected off the premises) and delivery services
- Hospitality venues such as cafes, restaurants, pubs, bars and social clubs; with the exception of providing food and drink for takeaway (before 10pm; and not including alcohol), click-and-collect, drive-through or delivery
- Accommodation such as hotels, hostels, guest houses and campsites. Except for specific circumstances, such as where these act as someone’s main residence, where they cannot return home, for homeless people, or where it is essential to stay there for work purposes
- Leisure and sports facilities such as leisure centres and gyms, swimming pools, tennis and basketball courts, golf courses, fitness and dance studios, climbing walls, archery, driving, and shooting ranges
- Entertainment venues such as theatres, concert halls, cinemas, museums and galleries, casinos, amusement arcades, bingo halls, bowling alleys, skating rinks, go-karting venues, soft play centres and areas, circuses, funfairs, zoos and other animal attractions, water parks, theme parks. Indoor attractions at botanical gardens, heritage homes and landmarks must also close, though outdoor grounds of these premises can stay open
- Personal care facilities such as hair, beauty, tanning and nail salons. Tattoo parlours, spas, massage parlours, body and skin piercing services must also close. It is also prohibited to provide these services in other peoples’ homes
- Community centres and halls must close except for a limited number of exempt activities as set out below Libraries can also remain open to provide access to IT and digital services – for example for people who do not have access at home – and for click-and-collect
- Places of worship, apart from for the purposes of independent prayer, and service broadcasting and funerals
Only businesses mandated to close will be eligible to claim this grant. Exclusions to Local Restrictions Support Grant (CLOSED BUSINESSES) are:
- Businesses that have chosen to close but have not been required to will not be eligible for this grant
- Businesses that are able to continue to trade because they do not depend on providing direct in-person services from premises and can operate their services effectively remotely (e.g. accountants, solicitors).
- Businesses which have already received grant payments that equal the maximum levels of State aid permitted under the de minimis and the Covid-19 Temporary State Aid Framework.
- Businesses that are in administration, are insolvent or where a striking-off notice has been made are not eligible for funding under this scheme.
Only businesses which are listed on our business rates system (and have a business rates account number) will be eligible to apply. You must be the registered ratepayer on our business rate system on the date of the first full day of local restrictions (5 November). If you claim this grant and it becomes clear at a later date you were not the ratepayer on the eligible day, you will be liable to repay the grant in full. The Local Authority will take further action to recover the grant if needed.
Businesses will be entitled to receive a grant for each eligible hereditament within the restriction area. A separate application needs to be made for each qualifying hereditament. Grant payments will be made on a 28 payment cycle for as long as national restrictions apply. This will commence from 5 November 2020 and payment amounts will be as follows:
- Businesses occupying hereditaments appearing on the rating list with a rateable value of £15,000 or under on 5 November will receive a payment of £1,334.
- Businesses occupying hereditaments appearing on the rating list with a rateable value of £15,001 to £50,999 on 5 November will receive a payment of £2,000.
- Businesses occupying hereditaments appearing on the rating list with a rateable value of £51,000 or above on 5 November, will receive a payment of £3,000.
Specific businesses subject to national closures since 23 March 2020 (e.g. Nightclubs) are eligible to claim this grant whilst national restrictions are in place. These businesses will also receive a pro rata payment under the Local Restrictions Support Grants (Sector) scheme from 1 November 2020 to 4 November 2020. This payment will be assessed along with the Local Restrictions Support Grant (CLOSED BUSINESSES), and a separate application does not have to be made.
*Applications not yet open*
The Government has announced a series of new grants to be made available to businesses. These grants relate to both the period of national lockdown and the period of time that an area was/is in a ‘tier 2 / tier 3’ classification, as well as support for businesses that have still not been authorised to open since the initial lockdown.
The mandatory grant scheme will be launched by the end of week commencing 16th November.
The mandatory scheme (Local Restrictions Support Grant CLOSED) is for Businesses,:
- who are liable for Business Rates AND:
- are legally required to close during the second national lockdown from 5th November 2020 AND/OR
- who are in sectors that have not been authorised to open since the first lockdown period (e.g. Nightclubs)
Further information on the qualifying criteria, and details on how to apply will be provided very soon.
There are also discretionary grant schemes – the Council is currently working through the guidance and will provide details on the application process as soon as possible. We appreciate that businesses really need this financial support and are working to ensure the application process is as simple as possible so funding can be issued to businesses quickly.
Cannock Chase Council has now received funding from the Government to help businesses in the District whose trading has been affected during the current national lockdown. Grants are now available to be claimed from the Council.
If your business was mandated to be closed from 5th November as a consequence of government restrictions you are eligible for the grant. Even if you have managed to do some business online or as a takeaway or click and collect if you have been forced to close you are eligible for the grant. The first claim is for £1334 and will cover you for 28 days.
In the first instance businesses eligible to apply include those from the non-essential retail, leisure, sports facilities and the hospitality sectors who have been required to close. Up to £3,000 can be claimed depending on the rateable value of a business.
In order to qualify a business must have closed on 5 November as required by national restrictions, or have had to significantly alter their operation – for example moving to ‘click and collect’ or takeaway only services – as they were not allowed to continue their usual way of trading or delivery of services.
Who is eligible?
The grants are available for those businesses within the Business Rates system that were open and providing in-person services to customers from their business premises and were then legally required to close. Eligible businesses are those:
- required to close from 5 November 2020 until 2 December 2020 under the national lockdown. This affects businesses as determined by central government. Details of which businesses must closed can be found here.
Who is not eligible?
- Businesses that have chosen to close but not been legally required to close
- Businesses that were already closed before being legally required to close
- Businesses that can continue to trade because they do not depend on providing direct in-person services from premises (e.g. accountants, solicitors);
- Businesses which have already received grant payments that equal the maximum levels of State Aid permitted under the de minimis and the Covid-19 Temporary State Aid Framework;
- Businesses that were in administration, are insolvent or where a striking-off notice has been made.
Local Restrictions Support Grant Guidance:
Eligible businesses will be able to access up to £3,000 per four weeks of closure:
- Properties with a rateable value of £15,000 or under will receive grants of £1,334 per four weeks of closure
- Properties with a rateable value of over £15,000 and less than £51,000 will receive grants of £2,000 per four weeks of closure
- Properties with a rateable value of £51,000 or over will receive grants of £3,000 per four weeks of closure
Please note that this payment is for the initial lockdown period of 4 weeks. If the national lockdown is extended you will be able to apply for further payments.
The application process for the Grant is now open.
It is important that all applicants read the guidelines before completing their application. Please note you will need to know your business rates property reference number in order to complete your application, this number is located on your business rates bill and begins with a ’00’.
All applications must be made online at www.grantapproval.co.uk. No other form of application will be considered.
If your property reference number cannot be identified or you have any other query relating to the Grant, please email email@example.com
The United Kingdom left the EU on 31 January 2020. Under the Withdrawal Agreement, the State Aid rules continue to apply during a transition period, subject to regulation by the EU Commission.
Businesses who receive awards of Government grant funding such as the Local Restrictions Support Grant are required to comply with the EU law on State Aid.
Payments made will be provided under the existing De Minimis rules, provided doing so does not exceed the €200,000 threshold.
Payments made where the De Minimis threshold has been reached will be paid under the Covid-19 Temporary Framework for UK Authorities (threshold €800,000).
Businesses that have reached the limits of payments permissible under the De Minimis and the UK Covid-19 Temporary State Aid Framework will not be able to receive further grant funding.