Small Businesses: Government Assistance

(asked on 28th April 2020) - View Source

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

To ask the Secretary of State for Business, Energy and Industrial Strategy, what support the Government plans to provide to small firms without their own premises.


Answered by
Paul Scully Portrait
Paul Scully
This question was answered on 11th May 2020

On 1 May 2020, the Business Secretary announced that up to £617 million is being made available to Local Authorities in England to allow them to provide discretionary grants. This is an additional 5% uplift to the £12.33 billion funding previously announced for the Small Business Grants Fund (SBGF) and the Retail, Hospitality and Leisure Grants Fund (RHLGF). The additional Local Authority Discretionary Grants Fund is aimed at small businesses with ongoing fixed property-related costs but not liable for business rates or rates reliefs.

We are asking local authorities to prioritise businesses in shared spaces, regular market traders, small charity properties that would meet the criteria for Small Business Rates Relief, and bed and breakfasts that pay council tax rather than business rates. Local Authorities are responsible for defining precise eligibility for this fund and may choose to make payments to other businesses based on local economic need, subject to those businesses meeting the specific eligibility criteria. Businesses already in receipt of the Small Business grant, a Retail, Hospitality and Leisure grant or Self-employed Income Support Scheme payment are not eligible.

Eligible small businesses are also encouraged to seek support through the Coronavirus Business Interruption Loan Scheme, the Coronavirus Large Business Interruption Loan Scheme and the Bounce Back Loan Scheme - support which is available to both tenants and landlords.

Government has also introduced temporary new measures to further safeguard the high street and millions of jobs by helping to protect them from permanent closure through aggressive forms of rent recovery during this time. Statutory demands and winding up petitions issued to commercial tenants will be temporarily voided and changes have been made to the use of Commercial Rent Arrears Recovery, building on measures already introduced in the Coronavirus Act.

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