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 help ensure that (a) local authorities correctly categorise businesses for the Restart Grant application and (b) there is consistency across local authorities in the funds granted to (i) bridal shops and (ii) other businesses.
The primary principle of the Restart Grant scheme is to support businesses that offer in-person services, where the main service and activity takes place in a fixed rate-paying premises, in the relevant sectors. Non-essential retail businesses, such as bridal shops, will be able apply for Restart Grants of up to £6,000. Businesses in the hospitality, leisure, personal care and gym sectors are able to apply for grants of up to £18,000.
If a business operates services that could be considered non-essential retail and also fall into another category, such as hospitality in the higher funding threshold, the main service can be determined by assessing which category constitutes 50% or more of their overall business.
The main service principle will determine which threshold of funding a business receives. Businesses will need to declare which is their main service. Local Authorities will need to exercise their reasonable judgement to determine whether or not a business is eligible for grants under which funding threshold and be satisfied that they have taken reasonable and practicable steps to pay eligible businesses and to pay them the correct amount
Throughout the pandemic, BEIS officials have worked closely with Local Authorities to ensure that grants are delivered as quickly as possible, while safeguarding public funds. As the range of grants available has increased, officials have continued regular briefings with all 314 Local Authorities to provide the latest guidance and respond to questions. Ministers have also held regular conversations with leaders and chief executives.