Details of new grant schemes announced for Derby businesses
Published: 6 November 2020
The new national restrictions have now come into force, meaning thousands of Derby businesses have been closed until at least Wednesday 2 December. The Government has announced £1.1bn of funding for two grant schemes to support those affected, and Derby City Council is gearing up to implement and distribute the money as quickly as possible.
The Local Restrictions Support Grant is a mandatory grant for businesses that have a rateable value and that have been forced to close or stop the majority of their business activities. For the four-week period of the national measures eligible businesses will receive one payment per property. The rate of payment for eligible businesses will be:
- For properties with a rateable value of £15k or under, grants to be £1,334 per four weeks;
- For properties with a rateable value of over £15k and below £51k, grants to be £2,000 per four weeks;
- For properties with a rateable value of £51k or over, grants to be £3,000 per four weeks.
The Additional Restrictions Grant is a discretionary scheme for those businesses who have been severely impacted by the new national lockdown but do not have a rateable value or have not been forced to close The payments available for eligible businesses will be:
- For businesses that work from a shared workspace or do not own or rent their own business premises, grants to be £1,334 per four weeks;
- For businesses that own or rent their own business premises, grants to be £2,000 per four weeks;
- For businesses that own or rent their own business premises and are larger in size (based on headcount, revenue or total fixed cost base), grants to be £3,000 per four weeks. Size thresholds for this tier will be detailed in the application form.
As part of the application form, businesses will be required to explain the detrimental impact that the new national lockdown has had on their operations.
The Government has also been announced that the furlough scheme is to be extended, with employees receiving 80% of their current salary for hours not worked, at least, up to the end of March.
Councillor Nicola Roulstone, Cabinet Member for Finance and Procurement said:
As we announced last week, we were gearing up to support businesses as we entered Tier 2 but the announcement of national measures means we are now putting in place new systems to ensure we can process applications effectively and get the grants paid to businesses as quickly as possible.
I’d like to thank businesses once again for their hard work, resilience and patience in adapting to new guidance and getting on with it in true Derby spirit.
As a Council we will do all we can to get support to businesses as soon as we possibly can.
Full details of the scheme, eligibility and how to apply, will be announced as soon as possible.