Oral Answers to Questions

Virendra Sharma Excerpts

Tuesday 26th January 2021 Commons Chamber

[Kemi Badenoch]

My hon. Friend raises a point mentioned by several Members about the difficulties businesses in the hospitality sector and their supply chain have faced during the pandemic. He can tell his constituents that £1.6 billion is being made available for local authorities to support businesses that are ineligible for closed business grants but that may still be impacted by restrictions, and local authorities have discretion to determine how much funding to provide to businesses and the flexibility to target local businesses that are important to their local economies, which could include businesses in the supply chains for retail, hospitality and leisure.

[Mr Virendra Sharma (Ealing, Southall) (Lab) [V]]

Some small businesses in my constituency cannot access the support they need to continue to employ staff and survive. The Government’s incomplete guidance to local authorities has left that gap in support. Will the Minister fix that flaw in the system and commit to help small businesses today?

[Rishi Sunak]

The hon. Gentleman can write to me with the specific issue he has with the guidance, but in general the grants have been functioning, I think, very well and local authorities are getting them out to businesses. They also have access to discretionary funding. As the name suggests, although there are broad guidelines, ultimately that funding is to be at the discretion of individual local authorities.