What is the Discretionary Grant Scheme?

The Government have announced a new scheme where councils can allocate funds to small or micro businesses who have been affected by the COVID-19 outbreak.

This fund is available to businesses who have not been eligible for any other grant, with the exception of the furlough scheme, and who were trading on 11 March 2020.

It is not available to people who are classed as self-employed, and who would therefore be eligible for the Self Employed Income Support scheme.


How can I apply?

Applications to the Discretionary Fund will open on June 1, and we anticipate that the first set of grants will be paid by 12 June.

The second and third payment runs will follow every two weeks, as follows:

Applications openPayments made by:
15 June29 June
26 June10 July


Please visit this page on 1 June in order to apply.

 


Am I eligible for a Grant?

The funding is only available to small and micro businesses, as defined in the Companies Act 2006. Your business must have been trading on 11 March 2020 and not insolvent or dissolved.

You can use the table below to find out if you are a small or micro business. You need to satisfy two out of the three conditions in order to qualify as a small or micro business.

In addition, the grants are aimed at:

  • Businesses with relatively high ongoing fixed property-related costs
  • Businesses which can demonstrate that they have suffered a signficant fall in income due to the coronavirus (COVID-19) outbreak
  • Businesses which occupy property or part of a property with a rateable value and annual rent or mortage of below £51,000.
 Small BusinessMicro Business
TurnoverNot more than £10.2 million per yearNot more than £632,00 per year
Balance Sheet TotalNot more than £5.1 millionNot more than £316,000
Number of EmployeesA headcount of staff less than 50A headcount of staff of not more than 10

How much could I receive?

Grants will range from £1,000 to £25,000. You do not need to repay the grant.


Are some businesses prioritised over others?

Yes. The Government has asked councils to prioritise the following businesses:

  1. Small businesses in shared offices or other flexible workspaces which do not have their own Business Rates assessment
  2. Regular market traders who do not have their own Business Rates assessment
  3. Bed and Breakfasts which pay Council Tax instead of Business Rates
  4. Charity properties in receipt of Charitable Business Rates Relief which would otherwise have been eligible for Small Business Rate Relief or Rural Rate Relief.

In addition, because the amount of funding provided to councils is finite, the following Local Priority Sector Businesses will be prioritised for grant assistance:

  • Tourism based businesses who fit the criteria above;
  • Food, drink and hospitality supply chain;
  • Marine sector - such as ferry companies, sailing schools, power boat schools and marine services such as boat servicing.


What documents will I need to apply?

To submit your application, you will need:

  • A bank statement from March 2020 showing the business address
  • Your latest set of accounts or Self-Assessment Return
  • Proof of your tenancy agreement if you are a tenant

You may also need to supply the following:

  • VAT Number
  • Unique Tax Reference number
  • Business Rates or Council Tax account number
  • Company number
  • Charity number

Please take care when entering details and especially numbers; incorrect information provided could significantly delay your grant.

Please check your bank details carefully. We will not be able to pay a grant twice, so if you provide incorrect account details and we are unable to reclaim the original payment, you may not receive your grant.

Applications will be checked against previously approved grants, data held on file and against HM Revenue and Customs records. Any business caught falsifying their record to obtain grant money will face prosecution and any funding issued will be reclaimed.