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Discretionary small business grants

We have received £3.5m from the government for an additional discretionary grant fund to widen support for small and micro businesses and charities. These grants are non-repayable. The deadline for round two of applications is 6pm on Friday 14 August. If you were eligible to apply in the first round, you will not be able to apply in this round.

Further information

The following small/micro businesses and charities can apply in this round of applications:

  • Shared office or other flexible workspaces: this would be open to all business and charitable shared space occupiers in the city, subject to annual rent or mortgage payment being below £51,000 (as defined by the government). Businesses that do not have a business premises or operate from a domestic property (i.e homeworkers) cannot apply.
  • Charities with premises with their own rating assessment and a rateable value of over £15,000 but less than £51,000, and which pay rates to the council: £51,000 is the national upper limit for the retail, hospitality and leisure grant and the nationally suggested upper limit for the discretionary scheme.
  • Factories and workshops with their own rating assessment and a rateable value of over £15,000 but less than £51,000, and which pay rates to the council: £51,000 is the national upper limit for the retail, hospitality and leisure grant and nationally suggested upper limit for the discretionary scheme. These businesses do not benefit from rates relief or a business grant.

In line with government guidance and rules, businesses and charities thinking of applying must:

  • demonstrate at least a 40% income loss due to Covid-19 and have relatively high ongoing fixed property costs
  • not have received a small business or hospitality, retail or leisure grant previously
  • have been trading as at 11 March 2020 and still be trading, and
  • not be in administration, insolvent or subject to striking off notice.

Please note: only one discretionary grant will be paid to each business or charity.

Businesses that do not have a business premises or operate from a domestic property (i.e homeworkers) cannot apply.

We have some discretion on the level of grant to be awarded, within the government rules. The expected grant levels in this second round of applications are:

Grant category (full descriptions in appendix 2 of the policy) Grant per business
Shared spaces To be determined dependent on the number of eligible applications - between £2,000 and £7,000. 
Charities with premises, £15,000 - £51,000 rateable value £2,000 fixed payment
Factories and workshops, £15,000 - £51,000 rateable value £2,000 fixed payment

Yes. However, the government guidance states that only businesses which make an overall profit once grant income is included will be subject to tax.

Yes. However, councils have discretion to make payments to eligible applicants under either the De Minimis rules or the COVID-19 Temporary Framework for UK Authorities (provided all the relevant conditions are met).

Payments of up to and including £10,000 can be provided under the De Minimis rules, meaning applicants can receive up to €200,000 of aid within a three-year period.

Please see the state aid section of our full policy document (PDF) if you are in any doubt. Applicants will be required to confirm State Aid compliance.

To assess the impact of Covid-19 on your business/charity please complete the income/expenditure form (ODS) and submit it with the other supporting evidence for your application. This will help us with the decision making process.

Please have the following documents ready before you start your application:

  • ID - such as a passport or driving license
  • business bank statements covering the period October 2019 to June 2020
  • any further evidence to demonstrate 40% loss of income.

You can apply online. Deadline for this round of applications is 14 August 2020, 6pm.

We aim to pay the grants as quickly as we can. The £2,000 fixed grant amounts may be paid as soon as applications are accepted. The shared spaces grant will be determined as soon as possible after 14 August, with payments following soon thereafter.

We understand that this grant is important to you. Once you have applied and received an acknowledgement, please do not contact us for updates. You will receive notice of our decision as soon as possible.

We have discretion over which businesses qualify for the grant and the amount of the award.

There will be no automatic right of appeal against a decision not to award a grant, or against the value of any grant. However, we may at our discretion reconsider any refusal or grant value if there is clear evidence that a significantly wrong decision may have been made.

You may also challenge our legal right to make a discretionary decision by applying to the Administrative Court for a judicial review. Please read guidance at GOV.UK.

 

Discretionary grant refunds from round one 
Type Number Amount
Shared building 29 £203,000
Market trader 25 £43,200
Bed and breakfast 0 £0
Small charity 39 £273,000
Hospitality 2 £17,000
Hire 8 £71,000
Worship 9 £63,000
Nursery 10 £250,000
Total 122 £920,200

Alongside the government, we will not accept deliberate manipulation and fraud. Any business or person caught falsifying their records to gain a grant award will face prosecution and any funding issued will be subject to clawback, as may any grants paid in error.