New lockdown grants to support businesses during the pandemic
Following Boris Johnson’s broadcast instructing a second national lockdown from 5 January, the Chancellor announced further financial support.
Lockdown grant
New lockdown grants for affected businesses in the retail, hospitality and leisure sectors are now available. This new one-off grant of up to £9,000 is distributed on a ‘per property’ basis to support businesses and protect jobs during this second national lockdown. The grants will be to closed businesses and will range from £4,000 to £9,000 based on the business’ rateable value.
Many businesses will remain closed until at least mid-February, so this grant provides much needed financial support to aid struggling businesses.
Discretionary fund
Additionally, there is a discretionary fund to support other impacted businesses, with a further £594 million for local authorities to support businesses in their area who are not eligible for the above grant, but who are nonetheless affected by the latest restrictions. Businesses should apply directly to their local authority.
Chancellor Rishi Sunak said of the further cash injection, “This will help businesses to get through the months ahead – and crucially it will help sustain jobs, so workers can be ready to return when they are able to reopen”.