Further details on £200m to support Welsh businesses: Restrictions Business Fund Extension 25 January - end of March 2021

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: 2nd phase opening week commencing 8th February 2021

To support businesses who are not registered on the NDR register and with a turnover below £50k, a further £30m phase of the Local Discretionary Fund has also been approved and will provide a £2,000 grant via a second round application and payment. Businesses will need to submit an application to access the fund.

This will provide support to sub VAT sole traders without a property who are materially impacted (>40% reduced turnover) as a result of the restrictions, e.g. cleaners providing services to the hospitality industry.

Application forms for the Local Discretionary Grant can be accessed by visiting the relevant local authority website. Applications for the first round of funding for Torfaen businesses have now closed. Applications for the new second grant for eligible Torfaen businesses are due to open week commencing 8th February 2021 via the Torfaen County Borough Council website

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
•    If you have 50 or more employees
•    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.

Posted on: Monday 1st February 2021