Local Restrictions Support Grant (Closed)

3.0 Eligibility criteria and awards

3.1: Government, whilst wanting Councils to exercise their local knowledge and discretion, has set national criteria for the funds. In all cases, the Council will only consider businesses for grants where all of the criteria are met. Businesses will only be eligible where they are trading on the date of the announcement of either the local restriction or the widespread national restrictions.

3.2: The Department for Business, Energy and Industrial Strategy (BEIS) has stated that businesses that were open as usual and providing in-person services to customers from their business premises and then required to close for a consecutive period of no less than 14 days as a result of regulations made under the Public Health (Control of Disease) Act 1984 will be eligible for this funding.

3.3: Where there is a widespread national restriction, business premises will be required to close for the entirety of the national restriction period.

3.4: Guidance from the Department states that this could include, non-essential retail, leisure, personal care, sports facilities and hospitality businesses that operate primarily as an in-person venue but have been forced to close these services.

Local restrictions awards and frequency of payment

3.5: Businesses which are forced to close in a localised restriction (LCAL3) that is implemented for less than two weeks and businesses that are closed for less than two weeks are not eligible for grant funding.

3.6: The amount of grant and the frequency of awards in respect of local restrictions are fixed as follows:

  • (a) Businesses occupying hereditaments appearing not he local rating list with a rateable value of exactly £15,000 or under
  • (b) Businesses occupying hereditaments with a rateable value of over £15,000 and less than £51,000 will receive a payment of£ 1,000 per 14-day qualifying restriction period; and
  • (c) Businesses occupying hereditaments with a rateable value of £51,000 or over will receive a payment of £1,500 per 14-day qualifying restriction period.

3.7: It should be noted that, in the case of local restrictions, grants will be paid every two weeks.

3.8: Any business failing to meet the criteria will not be awarded a grant.

National restrictions awards and frequency of payment

3.9: Where there are widespread national restrictions, the Local Restrictions Support Grant (Closed) scheme will move from a 14-day payment cycle to an alternative payment cycle.

3.10: For the national restriction from 5 November 2020 to 2 December 2020, a 28-day payment cycle will be applied.

3.11: The amount of grant and the frequency of awards in respect of the national restriction  are fixed as follows:

  • (a) Businesses occupying hereditaments appearing on the local rating list with a rateable value of exactly £15,000 or under on the date of the commencement of the widespread national restrictions will receive a payment of £1,334 per 28-day qualifying restriction period;
  • (b) Businesses occupying hereditaments appearing on the local rating list with a rateable value over £15,000 and less than £51,000 on the date of the commencement of the widespread national restrictions will receive a payment of £2,000 per 28-day qualifying restriction period; and
  • (c) Businesses occupying hereditaments appearing on the local rating list with a rateable value of exactly £51,000 or above on the commencement date of the widespread national restrictions, will receive £3,000 per 28-day qualifying restriction period.

3.12: At the end of any widespread national restriction, businesses may qualify for further grants depending on the LCAL that applies to the area at that time and the schemes in operation by the Council.

Businesses that are not shown in the local rating list

3.13: Businesses which are not shown in the local rating list may be able to apply for an award under the Council's Additional Restrictions Grants (ARG) Scheme.

Excluded businesses - both local and national restrictions

3.14: The following businesses will not be eligible for an award:

  • (a) Businesses that are able to continue to trade because they do not depend on providing direct in-person services from premises and can operate their services effectively remotely (e.g. accountants, solicitors);
  • (b) Businesses in areas outside the scope of the localised restrictions, as defined by Government (and not subject to a widespread national restriction);
  • (c) Businesses that have chosen to close but not been required to, will not be eligible;
  • (d) Businesses that have already received grant payments that equal the maximum levels of State aid permitted under the de minimis and the COVID-19 Temporary State Aid Framework;
  • (e) Businesses that were in administration, are insolvent or where a striking-off notice has been made at the date of the local restriction or national restriction; and
  • (f) Specific businesses subject to national closures since 23rd March 2020 will not be eligible for this funding. They will be provided support through the strand of the Local Restrictions Support Grant (Sector) for nationally mandated business closures. However, In the event of renewed widespread national 'lockdown' restrictions being imposed, the Local Restrictions Support Grant (Sector) will cease to apply, as relevant businesses will receive funding from the Local Restriction Support Grant (Closed) Scheme.

The Effective Date

3.15: The effective date for eligibility is determined as follows:

  • (a) In the case of local restrictions, the date of the local restrictions; and
  • (b) In the case of widespread national restrictions, the date of the commencement of the widespread national restrictions.

3.16: In all cases, the following must have existed at the effective date:

  • The hereditament must be shown in the local rating list as at the effective date;
  • Any changes to the local rating List (Rateable Value or to the hereditament) after that date, including changes which have been backdated to this date, will be ignored for the purposes of eligibility;
  • The Council is not required to adjust, pay or recover grants where the local rating list is subsequently amended retrospectively to the effective date;
  • In cases where it was factually clear to the Council that, at the effective date, the local rating List was inaccurate on that date, the Council may withhold the grant and/or award the grant based on their view of who would have been entitled to the grant had the list been accurate. (The Department for Business, Energy and Industrial Strategy (BEIS) has stated that this provision is entirely at the discretion of the Council and is only intended to prevent manifest errors. It is not intended for ratepayers who subsequently challenge their Rateable Value); and
  • Where a hereditament is exempt from rating as at the effective date, no grant shall be payable.

The Ratepayer

3.17: In all cases, the following shall apply:

  • The person who will receive the grant will be the person who, according to the Council's records, was the ratepayer in respect of the hereditament at the effective date;
  • The ratepayer must be liable to occupied property rates at that date. It should be noted that grants will not be awarded where the hereditament is unoccupied;
  • Where the Council has reason to believe that the information it holds about the ratepayer at the effective date is inaccurate, it may withhold or recover the grant and take reasonable steps to identify the correct ratepayer;
  • Where it is subsequently determined that the records held are incorrect, the Council reserves the right to recover any grant incorrectly paid; and
  • Where any ratepayer misrepresents information or contrives to take advantage of the scheme, the Council will look to recover any grant paid and take appropriate legal action. Likewise, if any ratepayer is found to have falsified records in order to obtain a grant.