Business Grants for Second Lockdown Now Available in East Cambs

Following guidance from central government on its newest COVID-19 business grants, East Cambridgeshire District Council has started contacting businesses eligible for grant funding due the second national lockdown.

The Local Restrictions Support Grant has been created to provide support to businesses where the Secretary of State for Health and Social Care has required the closure of their business under regulations made in response to the threat posed by coronavirus.

An estimated 600 eligible businesses have been identified by the Council’s ratings list and will now be contacted by East Cambridgeshire District Council via email and post.

Councillor David Brown, Chairman of the Finance and Assets Committee, said:

“We must do all we can to stop COVID-19 in its tracks and this has meant the necessity of a second national lockdown.

“This has meant the closure for some of our district’s businesses and the Council will do what we can to help.

“The team is getting in contact with businesses from today. This will include all the information business owners need and a form for them to fill in and send back to the Council to be processed.

“I implore those eligible businesses that are contacted to accept the grant funding provided, so we can support them during lockdown.”

The amount of funding awarded is based on the rateable value of the business’ premises on 5th November 2020 and subject to eligibility criteria.

Businesses forced to close that have premises with a rateable value of £15,000 or below will receive a one-off grant of £1,334. Those within the rateable value of £15,001 and £50,999 will receive a grant of £2,000. Businesses with a rateable value of £51,000 or above will get a one-off grant of £3,000.

To be eligible for the grant, firstly organisations must be included within the list of business set out by central government that are required to close during the second national lockdown. Businesses on the list must have also been open as usual in the week commencing 2nd November 2020 and have been providing in person services to customers from the premises before being required to close.

Organisations currently choosing to operate as a takeaway, click and collect or online with delivery services will be counted as closed due to the substantive business still being required to close.

Organisations whose sole business model is to provide takeaways will not be eligible for the grant as they are not required to close.

Other businesses not eligible for the Local Restrictions Support Grant are:

  • Organisations who are able to continue to trade, because they do not depend on providing direct in-person services from the premises and can operate their services effectively remotely
  • Businesses that have chosen to close, but have not been required to close as directed by central government
  • Businesses that were in administration, are insolvent or where a striking-off notice has been made, are also not eligible for the grant.
  • Businesses which have already receive grant payments that equal the maximum levels of EU State Aid permitted under the Deminimis and the COVID-19 Temporary State Aid Frameworks

If a business that is required to close by government but continues to operate in-person services and successfully applies for a grant, the grant may be recovered, and the business referred for enforcement action under public health legislation. 

In addition to the Local Restrictions Support Grant, local authorities will be providing a discretionary scheme for businesses that are still subject to or impacted by COVID-19 restrictions. Further information on this scheme will be announced as soon as possible.

To view the list of businesses and venues that must close due to the second lockdown:  https://www.gov.uk/guidance/new-national-restrictions-from-5-november?priority-taxon=09944b84-02ba-4742-a696-9e562fc9b29d#businesses-and-venues

Press release from East Cambridgeshire District Council

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