Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to ensure wider access to Government support for small businesses during the covid-19 outbreak.

The Government introduced an unprecedented and comprehensive package of business support measures to help as many individuals and businesses as possible during this difficult period. This support package included measures such as the small business grants, the coronavirus loan guarantee schemes, the Coronavirus Job Retention Scheme (CJRS), the deferral of VAT and income tax payments, and more. These measures were designed to be accessible to businesses in most sectors and across the UK.

Further measures were also announced by the Chancellor that build on the significant support already available as well as set out how current support will evolve and adapt. This includes the extension of the CJRS until the end of April 2021, the extension of the coronavirus loan guarantee schemes until 31 March 2021, and the introduction of Pay As You Grow measures, meaning businesses now have the option to repay their Bounce Back Loans over a period of up to ten years. Businesses who also deferred VAT due from 20 March to 30 June 2020 will now have the option to opt-in to a scheme to allow them to pay in smaller instalments up to the end of March 2022, interest free.

Business premises that are required by law to close during the current period of national restrictions which began on 5 January 2021 can also access grants of up to £4,500 per 6 weeks of closure under the Local Restrictions Support Grant (Closed). In addition, each closed business will be eligible for a one-off payment of up to £9,000 via the Closed Business Lockdown Payment. Local authorities have also been allocated a further £500 million in discretionary funding via the Additional Restrictions Grant to support businesses that are significantly impacted by the restrictions even though not required to close. This is in addition to £1.1 billion already allocated in November 2020. Local authorities have discretion to use this funding to support businesses in the way they see fit.

Further initiatives include the BEIS-led Small Business Leadership Programme and Peer-to-Peer networks, to help businesses build resilience and grow. In addition, the Ministry of Housing, Communities and Local Government (MHCLG) announced £20 million in July 2020 to help small and medium-sized businesses acquire new technology and seek advice on digital adoption in order to continue or diversify their business activities in light of the pandemic. This is provided through grants of between £1000 and £5000 and is fully funded by the Government with no obligation for businesses themselves to contribute financially.

Additionally, businesses are able to access tailored advice through our Freephone Business Support Helpline, online via the Business Support website or through their local Growth Hubs in England. The Government will also continue to work closely with local authorities, businesses, business representative organisations, and the financial services sector to monitor the implementation of current support.