Month: October 2020

Lockdown Business Grants Available from the Welsh Government

Calling Neath Businesses

Make sure you understand which “Lockdown Grants” are available to you from the Welsh Government.

Don’t miss out!

Lockdown Business Fund

This is a fund to provide financial assistance to businesses that are facing operational and financial challenges caused by the national lockdown announced for Wales as a result of COVID-19.

The purpose of the fund is to support businesses with cash flow support to help them survive the economic consequences of the restrictions put in place.

To receive the grants outlined below you will need to register and or make an application for the discretionary elements. Registration and applications will be open on the *28th October 2020 via links to Neath Port Talbot web site. (* The NPTC links will be made available over two working days so please do not worry if the site is not immediately visible on the 28th).

Applications will close at 5pm on the 20th November 2020 or when the fund is fully committed. The fund will be administered by your Local Authority.

The fund consists of two separate grants:


Lockdown Non Domestic Rate Grant

Grant 1
A grant of £5,000 is being made available for retail, leisure and hospitality businesses that have been forced to close (as defined by the regulations) and occupy properties with a rateable value of between £12,001 and £51,000.

In line with the regulations, the primary operation of the business at the qualifying hereditament must be closed during the firebreak period to be eligible for this element of support. However, if a food delivery or takeaway service is in operation (and is not the normal primary income source for the business) and aligns fully to the reasonable measures required you may apply for the £5k grant.

Grant 2 
A grant of £1,000 is being made available to all businesses eligible for small business rates relief (SBRR) in Wales with a rateable value of up to £12,000 (for further details and exemptions see guidance document).

  •  Businesses eligible for small business rates relief that have been subject to local restrictions for 3 weeks or more and have been materially impacted (for example – 50% reduction in turnover) up to the 23rd October will be eligible for a further grant of £1,000
  • A discretionary enhanced £2,000 top-up grant [see below] will be made available on an application basis for those businesses with a rateable value of £12,000 or less who are forced to close by the firebreak lockdown (as defined by the regulations).

You are not eligible for this grant if:
•    You are eligible for, or have received, the Lockdown Discretionary Grant from your Local Authority

You will need to be on the NDR rating list for your local authority on 1 September 2020 and will need to complete a simple registration form to receive this grant.

For further information on this grant read:

Enhanced Lockdown Non Domestic Rate Grant – Guidance (ENG)_0.docx

[.DOCX, 36.01 KB]

 

Lockdown Discretionary Grant

Grant amount 1 – a discretionary grant of £1,500 is available to assist businesses that have:
•    Been forced to close as a result of the national firebreak lockdown
•    OR are able to demonstrate that the national firebreak lockdown will result in at least a 80% reduction in their turnover for that period

Grant amount 2 – a discretionary grant of £2,000 is available to assist businesses that have:
•    Been forced to close as a result of the national firebreak lockdown
•    OR are able to demonstrate that the national firebreak lockdown will result in at least a 80% reduction in their turnover for that period

  •  ANDhave been subject to local restrictions for 3 weeks or more up to the 23rd October and experienced at least a 50% reduction in their turnover for that period.

You cannot apply for Grant 1 and Grant 2.
You are not eligible for this grant if:
•    You are eligible for, or have received, the Lockdown Non-Domestic Rate Grant from your Local Authority

  • If you have 50 or more employees
  • If the business generated less than 50% of your income, the business must be your main source of income.

For further information on this grant please read the

Enhanced Lockdown Discretionary Grant – Guidance (ENG)_0.docx

[.DOCX, 32.71 KB]

£140 million to Support Welsh Businesses

The Welsh Government is making an additional £140 million available to businesses to help them deal with the economic challenges of coronavirus (COVID-19) and the UK’s impending exit from the EU, Economy Minister Ken Skates has announced.

The funding from the third phase of the Welsh Government’s Economic Resilience Fund (ERF) will see wider support being provided to secure jobs and help businesses develop, as well as additional help for firms affected by local lockdowns.

To date, the ERF has delivered almost £300 million of support to more than 13,000 companies in Wales. This has helped to protect in excess of 100,000 jobs which might otherwise have been lost.

This new phase of the ERF will see £80 million being made available to support businesses with projects that can help them transition to the economy of tomorrow. It will require co-investment from companies and a clear plan about how they will adjust to the post-covid economy.

Of this, £20 million will be ring fenced to support tourism and hospitality businesses who are facing particular challenges as they enter the winter months.

Meanwhile an additional £60 million will be allocated to support businesses impacted by local lockdown restrictions.

The rest of the funding will be used flexibly to provide additional support, for example to increase lending to Welsh businesses through Development Bank of Wales initiatives and to help companies deal with the impacts of the UK leaving the European Union.

The ERF has been designed to complement and build on the support offered by the UK Government.

Economy Minister Ken Skates said:

Our Economic Resilience Fund has been absolutely crucial in supporting businesses throughout Wales in dealing with the economic challenges of the coronavirus and helping protect the livelihoods of more than 100,000 people.

The next phase of the fund, worth £140 million, builds on that success, helping us to secure jobs and enabling businesses to continue to develop and grow in these challenging times. There is also a specific part of the fund earmarked to support businesses affected by local lockdowns.

This additional help has been designed to complement and build on the support announced by the Chancellor last week, again demonstrating the Welsh Government’s proactive approach to go above and beyond in providing extra financial assistance that we know our businesses and workers need.

The £80 million worth of business development grants will be open to micro businesses, SMEs and large businesses.

  • Micro businesses (employing between 1 and 9 people) will be able to apply for up to £10,000 on the condition they match this with their own investment of at least 10%.
  • SMEs (employing between 10 and 249 people) will be able to apply for up to £150,000 on the condition they match this with their own investment of at least 10% for small business (1 to 49 staff) and 20% for medium sized (50 to 249) business.
  • Large businesses (employing 250+ people) will be able to apply for up to £200,000 on the condition they match this with their own investment of at least 50%.

Companies that received grant funding through phases one and two of the ERF, or Non-Domestic Rate linked support, could also be eligible for phase three of the ERF.

The Minister added:

We are going through a time like no other. Coronavirus and the increasing risk of the UK reaching the end of the European Union transition period without a deal have placed incredible challenges on our businesses.

As a Welsh Government, we continue to do all we can to back our businesses, our workers and our communities.

Finance Minister Rebecca Evans said:

The package of support we have provided for Welsh businesses has been, and will continue to be, absolutely critical as we move into the next phase of addressing this crisis.

Today’s announcement provides reassurances to businesses at a time they need it most.

The Eligibility Checker for companies to find out if they can access funding from the third phase of the ERF will be live during week commencing 5 October.