Lockdown 3.0 - Business Support

Posted on 14th January 2021 by Streets

Following the introduction of the third national lockdown, the Chancellor of the Exchequer has pledged a further £4.6 billion in new lockdown grants to support businesses and protect jobs.

This move is deemed to provide businesses with much needed support and some certainty through the first quarter of 2021.

This support includes:

one-off top up grants for retail, hospitality and leisure businesses worth up to £9,000 per property
£594 million discretionary fund made available to support other impacted businesses
£1.1 billion further discretionary grant funding for Local Authorities, Local Restriction Support Grants worth up to £3,000 a month and an extension of the furlough scheme

The one-off top up grants will be available to those businesses that have had to close in order to control the virus and are as follows:

£4,000 for businesses with a rateable value of £15,000 or under
£6,000 for businesses with a rateable value between £15,000 and £51,000
£9,000 for businesses with a rateable value of over £51,000

The new one-off grants come in addition to billions of existing business support, including grants worth up to £3,000 per month for closed businesses and up to £2,100 per month for impacted businesses once they reopen.

The government has also provided 100% business rates relief for retail, hospitality and leisure businesses.

The £594 million discretionary fund is being made available for Local Authorities and the Devolved Administrations to support other businesses not eligible for the grants, that might be affected by the restrictions.

The grants are to be administered by Local Authorities. Therefore, businesses will need to contact their relevant authority for further information on the schemes.

No Advice

The content produced and presented by Streets is for general guidance and informational purposes only. It should not be construed as legal, tax, investment, financial or other advice. Furthermore, it should not be considered a recommendation or an offer to sell, or a solicitation of any offer to buy any securities or other form of financial asset. The information provided by Streets is of a general nature and is not specific for any individual or entity. Appropriate and tailored advice or independent research should be obtained before making any such decisions. Streets does not accept any liability for any loss or damage which is incurred from you acting or not acting as a result of obtaining Streets' visual or audible content.

Information

The content used by Streets has been obtained from or is based on sources that we believe to be accurate and reliable. Although reasonable care has been taken in gathering the necessary information, we cannot guarantee the accuracy or completeness of any information we publish and we accept no liability for any errors or omissions in material. You should always seek specific advice prior to making any investment, legal or tax decisions.