Financial Support for Business (COVID-19)

This page will be updated regularly with the latest information on support available to businesses impacted by Coronavirus.   

Welsh Government:

 Economic Resilience Fund: Phase 3

RESTRICTIONS BUSINESS FUND: UPDATE FOR TORFAEN BUSINESSES FEBRUARY 10th  2021

The Welsh Government has launched the Restrictions Business Fund to support businesses (principally in the hospitality, tourism, leisure and non-essential retail sectors) with cash flow support and to help them survive the economic consequences of the additional restrictions put in place to control the spread of Covid-19 starting on Friday 4th December 2020.

The fund consists of two separate grants.

  • Restrictions Business Fund Non Domestic Rate Grant
  • Restrictions Business Fund Grant (Discretionary) 

 Further details have been made available by Welsh Government of the £200m package of support for non-essential retail, hospitality, leisure and tourism businesses that continue to be impacted by the ongoing Covid-19 pandemic. The Restrictions Business Fund Non-Domestic Rates (NDR) and Discretionary based grants for non-essential retail, hospitality, leisure and tourism (NERHLT) sectors have been extended to provide a single top up payment to cover the period between the 25 January and end of March 2021 for businesses affected by national restrictions.

 Restrictions Business Fund Top up:

 Businesses Eligible for the Extended Restrictions Business Fund will receive the following top up: 

  • NERHLT businesses in receipt of Small Business Rate Relief (SBRR) and with a rateable value of £12,000 or less will be eligible for an additional £3,000 payment. Supply chain businesses qualifying for SBRR will also be eligible for this support if they have greater than 40% reduction in turnover during the restriction period.
  • NERHLT businesses with a rateable value of between £12,001 and £51,000 will also be eligible for a £5,000 payment if impacted by the restrictions. Supply chain businesses in the same rateable value bracket will also be eligible for this support if they have greater than 40% reduction in turnover during the restriction period.
  • NERHLT businesses with a rateable value of between £51,001 and £500,000 will also be eligible for a £5,000 payment if impacted by the restrictions. Supply chain businesses in the same rateable value bracket will also be eligible for this support if they have greater than 40% reduction in turnover during the restriction period.                                                                                                                                                                                                    

 NERHLT businesses with a rateable value up to £150k who registered and received the ERF Restriction Fund Grant in December/January via their Local Authority will begin receiving payments into their bank account during February. These businesses will not be required to re-register their details. 

 If you are eligible for the payments and haven’t received the grant to date please register and you may also register for the previous period at the same time. Torfaen businesses can do this via  the Torfaen County Borough Council website

 This extension will also provide support to retail, leisure and tourism business properties with rateable values of between £150k and £500k p.a. This will enable support to be provided to a cohort of medium sized firms that to date have not received support via the Restrictions Business Fund schemes. These businesses will be required to register their details, as well as making a short on-line application. Torfaen businesses can  access the registration and application process to access the funding through the Torfaen County Borough Council website.

 How to access the Fund: 

  • Businesses must be on the non-domestic rates (NDR) rating list for their local authority on 1 September 2020.
  • Businesses who received the Restrictions Business Grant in December via their Local Authority will begin receiving payments via the Restrictions Business Fund into their bank account during February. These businesses will not be required to re-register their details.
  • For all other eligible businesses to receive any of the Restrictions Business Fund, businesses they will need to register their details. These payments will also start to reach businesses in Februaryl.  Torfaen businesses will be able to access the registration and application process to access the funding through the Torfaen County Borough Council website

 Local Discretionary Grant: Phase 2 now open for applications 10th February 2021

Applications are now open for the second round of the Discretionary Grant aimed at supporting  sub VAT sole traders without a property who are materially impacted (>40% reduced turnover) as a result of the restrictions.  The fund can provide a grant of £2,000 and eligible Torfaen businesses will need to submit an application to access the fund.

The full Guidance notes and the application form can be accessed via Torfaen County Borough Council website

The Welsh Government has opened the Restrictions Business Fund to support small businesses and sole traders that have been directly impacted by the extended restrictions announced by the First Minister on 29th January 2021 needed to control the spread of Covid-19. The purpose of the grant is to provide businesses with cash flow support and to help them survive the economic consequences of the extended restrictions. Businesses can only apply for one discretionary fund grant under this extended scheme.

The Discretionary Grant is available to businesses required to close or significantly impacted by the restrictions. Businesses that meet the eligibility criteria set out in the guidance document and are able to declare a 40% or more reduction in their estimated turnover for the extended restrictions period as compared to an equivalent restriction free trading period prior to 23rd March 2020 may apply.

  You are not eligible for the Discretionary grant if:  

•    You are eligible for, or have received a Non-Domestic Rate Grant from your Local Authority
•    You received support from the Welsh Government ERF grant schemes
•    If the business generated less than 50% of your income (the business must be your main source of income).

 Applications will be dealt with on a first come first served basis. This may lead to applications not being appraised after they have been submitted if the fund is fully committed.

 

ERF Sector Specific Grant: Closed Midday Friday 29th January 2021

The ERF Sector Specific Support (operating cost) package is targeted at Hospitality, Tourism and Leisure (HTL) businesses and associated supply chain businesses that will be materially impacted by a greater than 60% impact of turnover as a result of the restrictions introduced on 4 December 2020 until the 22 January 2021.

 

  • Lockdown Business Fund : Applications closed as of 5pm November 20th 2020
  • Business Development Grant : Currently suspended due to high demand  

Businesses across Wales can find out if they can apply for funding from the third phase of the Economic Resilience Fund (ERF) Business Development Grant . 

The eligibility checker will enable businesses to see if they can access the £80 million tranche of the fund which will support firms with projects that can help them transition to the economy of tomorrow.

Of this, £20 million will be ring fenced to support tourism and hospitality businesses who are facing particular challenges as they enter the winter months.

The £80 million worth of business development grants will be open to micro businesses, SMEs and large businesses:

  • micro businesses (employing between 1 and 9 people) will be able to apply for up to £10,000 on the condition they match this with their own investment of at least 10 per cent
  • SMEs (employing between 10 and 249 people) will be able to apply for up to £150,000 on the condition they match this with their own investment of at least 10% for small business (1-49 staff) and 20% for medium sized (50-249) business
  • large businesses (employing 250+ people) will be able to apply for up to £200,000 on the condition they match this with their own investment of at least 50% 

The grant fund will be open for applications from the week commencing 26 October 2020 and remain open for four weeks.

  • Wales Cultural Recovery Fund: Freelancer Support                                                                                                  Phase 3 applications closed Monday 7th December 5pm

Business Wales Barriers Grant: Open until 31st March 2021 

The Welsh Government is putting put in place a programme of employment and skills support to help people back to work as part of it's COVID 19 commitment 

Part of this programme includes additional support for individuals considering self-employment. In addition to the existing start-up service, a grant to support unemployed individuals that face greater economic barriers to starting a business is being made available. This discretionary grant will help up to 600 individuals become self-employed or start a business, between December 2020 and March 2021.

The grant will be open to all unemployed individuals, however priority in allocating funding will be given to those most affected by the Covid-19 outbreak:

  • Women
  • Disabled people
  • People from BAME backgrounds
  • Young people not in education or training (NEETS) aged 18-24 or a College and University leaver in 2019 or 2020

Individuals will be able to apply for up to £2,000 to contribute towards the essential costs of starting a business.

The grant will be managed through the Business Wales service.

The fund will open for applications on 1 December 2020.

For further information please visit the Business Wales Barriers Grant pages.

Torfaen Start Up Grant:

Now Fully Allocated (Closed)

Business Rates Grant:

Applications closed as of 5pm 30th June 2020

Development Bank of  Wales 

Visit the website to find out more about finance options available for business in Wales 

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UK Government Financial Support: 

Coronavirus Job Retention Scheme: Now extended until April 2021

Following the recent UK Government announcement that the CJRS would be extended until 2 December, the scheme has now been extended until the end of April  2021. 

 Key points: 

  • Eligible employees will receive 80% of their usual salary for hours not worked, up to a maximum of £2,500 per month. 
  • Businesses will have flexibility to use the scheme for employees for any amount of time and shift pattern, including furloughing them full-time. 
  • There will be NO employer contribution to wages for hours not worked. Employers will only be asked to cover National Insurance and Employer pension contributions for hours not worked. This applies to periods running to January 2021. The policy will be reviewed in January in light of economic circumstances 
  • Employers do not need to have had the CJRS previously and employers across the UK can claim whether businesses are open or closed                                                                                                                                          
  • 30 November 2020 is the last day employers can submit or change claims for periods ending on or before 31 October 2020.

    Claims from 1 November 2020 must be submitted by 11.59pm 14 calendar days after the month you’re claiming for. If this time falls on the weekend then claims should be submitted on the next working day.

    Claim for furlough days inClaim must be submitted by
    November 2020 14 December 2020
    December 2020 14 January 2021
    January 2021 15 February 2021
    February 2021 15 March 2021
    March 2021 14 April 2021

    April 2021 14 May 2021
  • The Job Retention Bonus (JRB) will not be paid in February 2021 and a retention incentive will be deployed at the appropriate time. 

Please ensure you read fuller information and more scheme details via the link below which sets out for example details around: 

  • Core employability criteria
  • Employees not claimed for previously under CJRS
  • Employees re-employed by their employer
  • When employees are on furlough
  • Other conditions of claiming CJRS
  • Making a claim

 https://www.gov.uk/government/publications/extension-to-the-coronavirus-job-retention-scheme/extension-of-the-coronavirus-job-retention-scheme

 

Job Support Scheme: Postponed 

 

Self-Employed Income Support Scheme:  Grant extension

The grant is being extended from 1 November 2020

Third grant now open for claims

To be eligible for the Grant Extension self-employed individuals, including members of partnerships, must:

  • have been previously eligible for the Self-Employment Income Support Scheme first and second grant (although they do not have to have claimed the previous grants)
  • declare that they intend to continue to trade and either:
  1. are currently actively trading but are impacted by reduced demand due to coronavirus
  2. were previously trading but are temporarily unable to do so due to coronavirus

What the Grant Extension covers

The extension will last for six months, from November 2020 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.

The third grant will cover a 3 month period from 1 November 2020 until 31 January 2021. The Government will provide a taxable grant calculated at 80% of 3 months average monthly trading profits, paid out in a single instalment and capped at £7,500 in total. This is an increase from the previously announced amount of 55%.https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme?&utm_source=twitter&utm_medium=social&utm_campaign=covid19&utm_content=seissge_guidance

The fourth grant will cover a three-month period from 1 February 2021 until 30 April 2021. The Government will review the level of the second grant and set this in due course.

The grants are taxable income and also subject to National Insurance contributions.

Further Financial Support: 

The UK Government has set out a package of measures to protect businesses through this period of disruption caused by COVID-19. Businesses in Wales could benefit from the following UK Government schemes:

  • Bounce Back Loan scheme
  • Support for businesses through the Coronavirus Business Interruption Loan Scheme
  • Support for businesses paying tax
  • Support for SMEs who are paying sick pay to employees
  • Extra protection for businesses with ban on evictions for commercial tenants who miss rent payments

Please visit:

 https://www.gov.uk/government/collections/financial-support-for-businesses-during-coronavirus-covid-19#support-for-businesses-paying-tax

In this unprecedented economic crisis, Torfaen Council will be keeping businesses updated with the latest information on Coronavirus via this Business Support web page. This will be updated on a regular basis. Please note that information on this page can change.

You can also subscribe for free to receive our e-mail updates.

You can also visit the Torfaen council website for additional information for businesses and the economy.

Page updated 10th February  2021