Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to ensure that multiple businesses residing in multi occupancy business premises are able to directly access funds from the Small Business Grants scheme during the covid-19 outbreak.
The Small Business Grants Fund and the Retail, Hospitality and Leisure Grants Fund have been designed to support the smallest businesses, and smaller businesses in the some of the sectors which have been hit hardest by measures taken to prevent the spread of Covid-19. The two schemes have been tied to the business rates system and rating assessments, which together provide a framework for Local Authorities to make payments as quickly as possible. Businesses in the business rates system are also likely to face particularly high fixed costs, such as fixed rents.
In some cases, businesses operating in multi-occupancy spaces will have their own rating assessments and may therefore be eligible for the grants schemes. In these cases, Local Authorities are urging landlords and management agents to support them in ensuring that the grants reach the correct ratepayers.
Businesses operating in multi-occupancy spaces which do not have their own ratings assessment are not eligible for the grants schemes. Extending eligibility to these businesses would not be practicable as it would require Local Authorities to create an entirely new system and to put in place appropriate anti-fraud checks. This would significantly increase Local Authorities’ workloads at a time when they are already working under pressure to support struggling businesses as quickly as possible.
Small businesses which are not eligible for the Small Business Grant Fund and the Retail, Hospitality and Leisure Grant Fund should still be able to benefit from other measures in the Government’s unprecedented package of support for business, including: