Two new business support grants were been announced by the Chancellor of Exchequer Rishi Sunak on the 5th January 2021.
The schemes are as follows.
One-off Top Up Business Support Grants
One-off top up grants are being issued across January and are similar to the to the initial grants paid by local authority in March 2020. Cash is to be provided on a per-property basis to support rate-paying businesses in the retail, hospitality and leisure sectors through the latest restrictions. One-off top-ups will be granted to closed businesses, as follows:
£4,000 for businesses with a rateable value of £15,000 or under
£6,000 for businesses with a rateable value between £15,000 and £51,000
£9,000 for businesses with a rateable value of over £51,000
This grant is given in addition to (and not replacing) the Business Support Grants that are already in existence.
A further £594 million is also being made available for Local Authorities and the Devolved Administrations to support other businesses not eligible for the grants, that might be affected by the restrictions. Businesses should apply to their Local Authorities.
The new one-off grants come in addition to billions of existing business support, including grants worth up to £3,000 for closed businesses, and up to £2,100 per month for impacted businesses once they reopen.
The government has also provided 100% business rates relief for retail, hospitality and leisure businesses, £1.1 billion existing discretionary funding for Local Authorities, the furlough scheme now extended to April and 100% government backed loans, extended until March.