To assist SMEs in ensuring they have enough liquidity to survive the current crisis, the Chancellor announced several measures to support small businesses and those operating in the hospitality and leisure sectors.
Local Authority grant funding schemes
SMEs will have access to two principle grant funding schemes in the short-term whereby the government will reimburse local authorities that pay grants to eligible businesses:
Small Business Grant Fund (SBGF)
Businesses in England in receipt of Small Business Rates Relief (SBRR) and Rural Rates Relief (RRR) in the business rates system will be eligible for a payment of £10,000.
Retail, Hospitality and Leisure Grant Fund (RHLGF)
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 the following cash grants per property:
i. Those that have a rateable value of up to £15,000 will receive a grant of £10,000 per property;
ii. Those with a rateable value of over £15,000 and less than £51,000 will receive a grant of £25,000 per property.
These grants will not be available for hereditaments occupied for personal use, car parks and parking spaces, or where the rateable value is over £51,000.
This principally covers business used as shops, restaurants, cafes, pubs, cinemas, music venues; hotels, guest and boarding houses, and self-catering accommodation.
Guidance for businesses has been provided on the GOV.uk website setting out details of the Small Business Grants Fund (SBGF) and Retail, Hospitality and Leisure Grant Fund (RHLGF).