Government provides extra detail on business support

Government provides extra detail on business support

The government has provided additional detail surrounding the Retail, Hospitality and Leisure Grant Fund (RHLG), which forms part of its response to the Covid-19 epidemic’s effect in the UK.

Under the RHLG, businesses in England in receipt of the Expanded Retail Discount (which covers retail, hospitality and leisure) with a rateable value of less than £51,000 will be eligible for cash grants per property.

Eligible businesses in these sectors with a property that has a rateable value of up to £15,000 will receive a grant of £10,000, in line with eligibility criteria (detailed below).

Eligible businesses in these sectors with a property that has a rateable value of over £15,000 and less than £51,000 will receive a grant of £25,000.

Businesses which are not ratepayers in the business rates system are not included in the scheme.

Eligibility criteria in both cases includes:

  • Hereditaments which on the 11 March 2020 had a rateable value of less than £51,000 and would have been eligible for a discount under the business rates Expanded Retail Discount Scheme had that scheme been in force for that date are eligible for the grant
  • Eligible recipients will receive one grant per hereditament

Exclusions to the RHLG include:

  • Hereditaments occupied for personal uses. Examples of where there may be personal use include private stables and loose boxes, beach huts and moorings
  • Car parks and parking spaces.
  • Businesses which as of the 11 March were in liquidation or were dissolved will not be eligible

Only one grant may be awarded per hereditament.

So how will the grants reach restaurant operators?

The government will, in line with the eligibility criteria set out in its guidance, reimburse local authorities that pay grants to eligible businesses; it is the local authorities who will be responsible for delivering the funding to eligible businesses.

For more information about who receives this government funding, and what happens if there’s been any recent changes to a restaurant business’ rating list (after 11 March 2020), read the government’s latest guidance in full here.