New lockdown support measures revealed
The chancellor has announced one-off top up grants for retail, hospitality and leisure businesses.
The chancellor has announced one-off top up grants for retail, hospitality and leisure businesses worth up to £9,000 per property to help businesses through to spring.
In a support package from Rishi Sunak that totals £4.6bn, a £594m discretionary fund will also be made available to support other impacted businesses.
It is likely that the on-trade will see the new measures as insufficient, with many repeatedly calling for support beyond April when the business rates holiday, lower VAT rates and furlough scheme all end.
The support package follows the prime minister’s announcement last night that these business will be closed until at least February half-term in order to help control the virus.
"Today we’re announcing a further cash injection to support businesses and jobs until the spring," says Sunak. "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.
"A further £594m 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 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
Business support is a devolved policy and therefore the responsibility of the devolved administrations, which will receive additional funding as a result of these announcements in the usual manner:
- The Scottish government will receive £375m
- The Welsh government will receive £227m
- The Northern Ireland executive will receive £127m