Coronavirus grant announced to ease pressure on small businesses
The government has announced small businesses that already pay little or no business rates will be eligible for a one-off coronavirus grant worth up to £3,000. However, last night (17 March), the Chancellor increased this amount to £10,000.
As smallbusiness.co.uk reports, around 700,000 businesses in England currently eligible for Small Business Rate Relief (SBBR) or Rural Rate Relief can apply for the emergency funding.
The Department for Business, Energy & Industrial Strategy will be writing to local authorities this week to outline the scheme, and encourage local authorities to prepare.
However, once up-and-running, your local authority will contact you rather than having to apply yourself.
And funding will not be available until April, as stated on the government website.
This additional funding for local authorities who collect business rates is part of a package of fiscal measures to help small business survive the coronavirus pandemic.
The coronavirus grant only applies to small business in England. Business rates in Scotland, Wales and Northern Ireland are set by their devolved administrations.
Business Rates Scrapped
All retail, leisure and hospitality companies will be exempt from business rates for a whole year. Those with a rateable value under £51,000 will also be eligible for cash grants up to £25,000 although details of this are yet to be published.
The government will also review the long-term future of business rates, a property tax which many say is unfair given the rise of online shopping and out-of-town retail parks.