Richmondshire District Council

Grants available for businesses required to close in second lockdown

4 week period of lockdown - 5 November 2020 to 2 December 2020

At the start of the second English lockdown (Thursday 5 November 2020), local businesses who have been ordered to close for four weeks may be eligible for a government grant of up to £3,000.

This second lockdown funding has been provided by the Government and will be administered by Richmondshire District Council in line with guidance set out by the Department for Business, Energy and Industrial Strategy (BEIS).

A single grant payment for each eligible property will be made to cover the four-week national lockdown period and will be paid to each eligible business.

The grant amounts are fixed. Businesses with more than one qualifying property will receive more than one grant.

The grants are based on business rates, similar to the Retail, Hospitality and Leisure Grant Fund (RHLGF) available for the first lockdown period this spring.

The value of these grants has been set by the Government and the council has no discretion to vary these amounts under this scheme. Eligible businesses that pay business rates on their premises may expect to receive grants of the level stated below: 

  • for properties with a rateable value of £15k or under, grants to be £1,334 – per 28 day qualifying restriction period
  • for properties with a rateable value of between £15k to £51k, grants to be £2,000 – per 28 day qualifying restriction period
  • for properties with a rateable value of £51k or over grants to be £3,000 – per 28 day qualifying restriction period

 

Businesses that have had to be closed since March 2020, such as nightclubs, will also be eligible for £3,000 from 1 November.

Eligible businesses will get one grant for each property liable for business rates. Grants will be based on the rateable value of the property on the first full day of lockdown restrictions. 

As with the previous government business grant schemes, businesses will be able to request grants via our online form:

Apply for Local Restriction Support Grants

Additional Restrictions Grant

Richmondshire is home to a lot of small businesses so we are currently reviewing final guidance from the Government about discretionary grants; known as Additional Restrictions Grant (ARG). Where we can, we want to help businesses that do not pay business rates and those who have not been required to close but who have been severely affected. 

Please keep checking our website and social media channels for further information about eligibility and how to apply. Visit our additional restrictions grant page for the latest details.


Eligible premises

You may be eligible for a Local Restriction Support grant if your business:

  • occupied premises appearing on the local rating (e.g. liable for business rates) that were open as usual and providing in-person services to customers from their business premises
  • has been ordered to close by the Government on 5 November 2020 for 28 days
  • is in non-essential retail, leisure, personal care, sports facilities and hospitality sectors

Businesses and venues that must close 

The following businesses must close from 5 November until 2 December:

  • Non-essential retail, such as clothing and homeware stores, vehicle showrooms (other than for rental), betting shops, tailors, tobacco and vape shops, electronic goods and mobile phone shops, and market stalls selling non-essential goods. These venues can continue to operate click-and-collect (where goods are pre-ordered and collected off the premises) and delivery services
  • Hospitality venues such as cafes, restaurants, pubs, bars and social clubs; except for providing food and drink for takeaway (before 10pm; and not including alcohol), click-and-collect, drive-through or delivery
  • Accommodation such as hotels, hostels, guesthouses and campsites. Except for specific circumstances, such as where these act as someone’s main residence, where the person cannot return home, for homeless people, or where it is essential to stay there for work purposes
  • Leisure and sports facilities such as leisure centres and gyms, swimming pools, tennis and basketball courts, golf courses, fitness and dance studios, climbing walls, archery, driving, and shooting ranges
  • Entertainment venues such as theatres, concert halls, cinemas, museums and galleries, casinos, amusement arcades, bingo halls, bowling alleys, skating rinks, go-karting venues, soft play centres and areas, circuses, fairgrounds, funfairs, zoos and other animal attractions, water parks and theme parks. Indoor attractions at botanical gardens, heritage homes and landmarks must also close, though outdoor grounds of these premises can stay open
  • Personal care facilities such as hair, beauty, tanning and nail salons. Tattoo parlours, spas, massage parlours, body and skin piercing services must also close. It is also prohibited to provide these services in other peoples’ homes
  • Community centres and halls must close except for a limited number of exempt activities as set out below. Libraries can also remain open to provide access to IT and digital services, for example for those who do not have access to digital services at home, and for click and-collect
  • Places of worship, apart from for the purposes of independent prayer, for funerals or funeral commemorative events, to broadcast an act of worship, to provide essential voluntary services or urgent public support services, for registered childcare, and to host permitted gatherings.

 

These businesses and places will also be permitted to be open for a small number of exempt activities, including:

  • education and training (for schools to use sports, leisure and community facilities where that is part of their normal provision)
  • childcare purposes and supervised activities for children
  • hosting blood donation sessions and food banks
  • to provide medical treatment
  • for elite sports persons to train and compete (in indoor and outdoor sports facilities), and professional dancers and choreographers to work (in fitness and dance studios)
  • for training and rehearsal without an audience (in theatres and concert halls)
  • for the purposes of professional film and TV filming

 

Businesses and venues which can remain open following COVID-19 secure guidelines

This includes those providing essential goods:

  • Essential retail such as food shops, supermarkets, pharmacies, garden centres, hardware stores, building merchants and off-licences
  • Petrol stations, car repair and MOT services, bicycle shops, and taxi and vehicle hire businesses
  • Banks, building societies, post offices, short-term loan providers and money transfer businesses
  • Funeral directors
  • Laundrettes and dry cleaners
  • Medical and dental services
  • Vets and pet shops
  • Agricultural supplies shops
  • Storage and distribution facilities
  • Car parks, public toilets and motorway service areas
  • Outdoor playgrounds

Public services

Most public services will remain open.

Exclusions to the funding

  • Businesses that can continue to trade because they do not depend on providing direct in-person services from premises and can effectively operate their services remotely
  • Businesses that have chosen to close but have not been required to will not be eligible for this grant

Please send any enquiries to local.taxation@richmondshire.gov.uk


Frequently asked questions

Does a business have to be required to close to be eligible?

Yes. Please see the regulations for those businesses mandated to close.


Is there a date when businesses need to have started trading by to receive the National Lockdown Grant?

The business must have been trading the day before restrictions came into force.

Which businesses are eligible for the National Lockdown Grant?

Those that were open as usual and offering direct, in-person services to customers from their business premises and have been ordered to close by the Government on 5 November 2020 for 28 days will be eligible. This could include, for example, non-essential retail, personal services or cafes/restaurants that operate primarily as an in-person venue, but have been forced to close these services and instead provide takeaway-only or delivery services.

Businesses that are able to continue to trade because they do not depend on providing direct in-person services from premises and can effectively operate their services remotely (e.g. accountants, solicitors) are not eligible. Businesses in areas outside the scope of the restrictions, as defined by the Government, are also excluded.

Are these grants subject to tax?

Grant income received by a business is taxable, therefore the National Lockdown Grant will be subject to tax.

Are businesses that are adversely impacted by restrictions eligible for support under the National Lockdown Grant?

Businesses such as event companies and supply chain businesses will not receive funding under the National Lockdown Grant. However, those businesses may be eligible for support under the Additional Restrictions Grant.

Is there any limit on the number of different rateable premises a business can claim a grant for?

Businesses will be able to claim for any eligible hereditaments within the area established by national restrictions that were on the rating list on the first full day of national restrictions. However, businesses must remain within the financial thresholds set by State aid law, which may be reached if businesses have previously received State aid funding.

Are pubs that provide a takeaway service eligible for a grant under the National Lockdown Grant?

Yes. Any business that is required to close the part of its business that provides its main service is eligible for a National Lockdown Grant. This applies to those businesses that have adapted its business model to provide a reduced service, such as takeaways.

What happens where there is more than one liable party per property?

Do they get a grant each, or are they expected to share?

Each rateable premises will only have one ratepayer. They will take receipt of the grant.

What about retailers who have businesses that have mixed premises and only part of the business is subject to national closures?

This may be the case for businesses such as locksmith/shoe repairs or restaurant/takeaway.

The rateable premises will be eligible to receive a grant through the National Lockdown Grant if the business is required to close its main service. The council is required to exercise discretion and judge whether this is the case based on their local knowledge.

A to Z of Services