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Business Support Grants and Business Rates

Date created: 7/08/2020
Business rates online

Local Tier 2 and Additional Restrictions Grant scheme PDF (145KB)

Date submitted: 12/23/20

Business Rates Update  12 January 2021

UK Government Support for Business
The Government has provided Local Authorities with funding to operate a number of grant schemes to provide support to businesses. The summary below covers local restrictions grants that are being administered from 16 October 2020, including the national restriction grants that applied between 5 November 2020 to 2 December 2020.

On 5 January 2021, the Chancellor announced a one-off grant payment of up to £9,000. Once further information and allocations are made to Local Authorities, this page will be updated, and assessment of business eligibility will start. There is no need to contact us in the interim.

Business grant payments for National Restrictions Support Grant 

Local Restrictions Support Grant (Addendum)

This grant is payable for periods when full National Restrictions have been in place. Applicable between 5 November and 2 December 2020.

The payments for this grant are currently being made. It is anticipated that eligible businesses will receive payment within three weeks of submitting a properly completed application form.
Eligibility - All businesses that are ratepayers and that were instructed to close by the recent Government regulations during the temporary national restrictions. This includes non-essential retail, leisure, personal care, sports facilities and hospitality businesses.

The grant amounts are dependent on the rateable value range for the “28 day” temporary national restrictions period: -

Rateable value less than £15,001 - £1,334
Rateable value £15,001 – £50,999 - £2,000
Rateable value greater than £50,999 - £3,000

This grant scheme is also applicable from 5 January 2021 for a minimum of six weeks to 15 February 2021. Payment of these grants will commence at the end of January. In most cases an application will not be required and there is no need to contact the City Revenues Team as payments will be made automatically.

Check if your business is eligible for a coronavirus grant due to national restrictions (for closed businesses)

Christmas Support Payment for wet-led Pubs.

The government announced the introduction of additional support over the festive period for wet-led pubs in areas under Tier 2 or 3 restrictions. This is a one-off payment of £1,000.

Application forms have been sent out to eligible pubs. Please check your email and complete and return the application form. There is no need to contact the City in the interim. Payments for this grant are currently being made.

Eligibility – Public houses that derive less than 50% of sales from food and the ratepayer was established in the pub before 1 December 2020.

You must be defined as a pub according to the following description as determined by Central Government: open to the general public, allow free entry other than when occasional entertainment is provided, allow drinking without requiring food to be consumed and permit drinks to be purchased at a bar.

A business is ineligible for this funding if they have exceeded the permitted state aid threshold or is in administration, insolvent or has been struck off the Companies House register

Check if your business is eligible for the Christmas Support payment for wet-led pubs.

Grants for businesses impacted while in Tier 3 and 4 - LRSG (Closed)

London moved into Tier 3 with effect from 16 December 2020.

Eligibility - All businesses that are ratepayers and that were instructed to close by the recent Government regulations. This includes hospitality businesses and accommodation services. Leisure, personal care services and sports facilities can open and are not eligible for this grant.

We expect to pay these grants in January 2021. In most cases payment will be made automatically and there is no need to contact the City Revenues Team

The grant amounts are dependent on the rateable value range for each 14-day period: -

Rateable value less than £15,001 - £667

Rateable value £15,001 – £50,999 - £1,000

Rateable value greater than £50,999 - £1,500

London moved to Tier 4 on 20 December 2020.

Eligibility - All businesses that are ratepayers and that were instructed to close by the recent Government regulations. This includes all retail, hospitality businesses and accommodation services. Leisure, personal care services and sports facilities were mandated to close and are eligible for this grant.

We expect to begin paying these grants by the end of January 2021. In most cases payment will be made automatically and there is no need to contact the City Revenues Team.

The grant amounts are dependent on the rateable value range for each 14-day period: -

Rateable value less than £15,001 - £667

Rateable value £15,001 – £50,999 - £1,000

Rateable value greater than £50,999 - £1,500

Check if your business is eligible for the coronavirus Local Restrictions Support Grant (for closed businesses)

A Mandatory grant for Nightclubs and Sexual Entertainment Venues – LRSG – (Sector)

Nightclubs and sexual entertainment venues have been required to close since 23 March. The Government has asked local authorities to pay grants for the period 1 November 2020 to 4 November 2020 and subsequently after the temporary national restrictions (during this period the businesses will be entitled to the above-mentioned National Restrictions grant).

The grant amounts dependant on rateable value range for “14 day” periods: -

Rateable value less than £15,001 - £667

Rateable value £15,001 –£50,999 - £1,000

Rateable value greater than £50,999 - £1,500

Check if your nightclub, dance hall or adult entertainment business is eligible for a coronavirus grant due to national restrictions

In addition to the above mandatory grants, there are two discretionary schemes. For both schemes, the City of London Corporation has been provided with a set funding allocation and it will be for the organisation to determine eligibility.

Grants for businesses impacted whilst in Tier 2

The Government have outlined the types of business that they suggest local authorities should support under this grant scheme (hospitality, hotel and bed & breakfast accommodation and leisure businesses). However, it is a discretionary scheme and it will be for the City of London Corporation to determine its own eligibility criteria and the levels of grant, taking account of their capacity to do so having regard to Government funding allocations. This scheme is applicable for the following periods:

17 October 2020-4 November 2020 and

2 December 2020-15 December 2020

The discretionary scheme for the City of London has been determined based on the level of available funding. It is not anticipated that payments for this scheme will be made before February 2021. The details of the City of London scheme can be found at the top of this page. This page will be updated when application forms are sent out in January 2021

Please do not contact the City in the interim as we will not be able to provide any additional information

National Restrictions Additional Restrictions Discretionary Grants

The Government has additionally allocated a fixed funding allocation to each local authority based on a population estimate to use at its discretion. The City Corporation’s funding allocation has been published at £194,000. This is much lower than is required due to it being based on population rather than the extent of our business community. As a result, the City Corporation is unable to administer an adequate discretionary scheme and is using this funding in conjunction with the Grants for Businesses impacted in Tier 2 above. The details of the scheme can be found at the top of this page.

 Please do not contact the City Corporation if you are seeking a grant through the discretionary scheme.

 More information about Central government support for businesses is available at [GOV.UK – Support for Business]

 Enhanced Retail Relief and Small Business Rates Relief

Based on guidance from central government the City Revenues Team has now awarded the 100% retail relief to those occupied properties that are eligible to receive the Enhanced Retail Relief and Small Business Rates Relief in the 2020/21 financial year. Revised bills showing the adjustment have been issued. The private nurseries on Ofsted’s early years Register have had the accounts updated to reflect 100% relief in the 2020/21 financial year and revised bills have been issued. This relief is awarded on an ongoing basis to hereditaments that qualify.

Detailed guidance on hereditaments that qualify can be found at the GOV.UK website.

Business Rates

Under the business rates retention arrangements, introduced from 1 April 2013, local authorities keep a proportion of business rates raised.

However, due to the amount of rates collected by the City of London Corporation, it pays a tariff to central Government to be redistributed to local government. As a result, the amount retained is quite small compared with the amount collected.

The City Corporation share of rate income and the income from its council tax payers is used to pay for the services provided by us and other local authorities in your area.

Because of its special circumstances - notably its very small resident population and high daytime population - the City Corporation can set its own rate and retain part of the proceeds to help pay for the services it provides. The City Corporation keeps the sum resulting from the premium which has been levied, following consultation, to further enhance the Police Service, security, resilience and contingency planning in the City.

For further information, please use the links on the left to navigate around and, if you are unable to find the information you require, refer to the contacts page.​​

If you have a business rate account with the City Corporation you can register to view your account details online. For further information about this self service facility please see our business rates online​ page.