Tier 2 Local Restrictions Support Grant - for closed businesses

The Tier 2 Local Restrictions Support Grant (LRSG) (Closed) is available to businesses which have been forced to close because of the Tier 2 restrictions and have a business rates account.

Businesses that have chosen to close but not been required to will not be eligible for this grant.

Pubs that remain open in Tier 2 because they serve substantial meals are not eligible for this grant.

Tier 2 LRSG (Open) grants are available to businesses which have not been forced to close but have been severely impacted due to Tier 2 restrictions.

Further Government guidance on qualifying businesses and businesses that are excluded from the scheme can be found below:

Eligibility criteria

In Tier 2, the only businesses required to close are pubs and bars who serve alcohol without table meals.

To be eligible for a Tier 2 LRSG (Closed) grant businesses must:

  • Be located within East Cambridgeshire
  • Have been registered for Business Rates on 1 December 2020
  • Have been forced to close because of the Tier 2 restrictions
  • Had been trading the day before local restrictions came into force. Where local restrictions are preceded by national 'lockdown' measures, requiring the extended closure of eligible businesses, it is accepted that those businesses are still trading
  • Be closed for the entirity of the 14 day payment cycle to be eligible. If a business is open and then decides to close during a payment cycle, it will only become eligible for a grant when it enters the next 14 day payment cycle

In Tier 2, a businesses running a public house, bar or other businesses involving the sale of alcohol for consumption on the premises must cease to carry on that business, unless alcohol is only served for consumption on the premises as part of a table meal, and the meal is such as might be expected to be served as the main midday or main evening meal, or as a main course at either such meal.

For the purposes of the above paragraph, a 'table meal' is a meal eaten by a person seated at a table, or at a counter or other structure which serves the purposes of a table and is not used for the service of refreshments for consumption by persons not seated at a table or structure serving the purposes of a table.

If a business is required to close its main, in-person service but adapts its business to operate takeaway, click and collect or online with delivery services, it will be considered closed and be eligible to receive grants under this scheme because its substantive business must close.

Businesses will need to notify their Local Authority immediately if they no longer meet the eligibility criteria for this grant. For example, you open for trade or your business ceases to trade completely.

Exclusions

  • Businesses that are able to conduct their main service because they do not depend on providing direct in-person services from premises and can operate their services effectively remotely (e.g. accountants, solicitors)
  • Businesses subject to local restrictions that are implemented for less than 14 days and businesses that are closed for less than 14 days are not eligible for grant funding
  • Businesses that have chosen to close but not been required to will not be eligible for this grant
  • Businesses that have already received grant payments that equal the maximum levels of State Aid permitted under de minimis and the Covid-19 Temporary State Aid Framework
  • Businesses that were in administration, are insolvent ot where a striking-off notice has been made are not eligible for funding under this scheme.

How much funding will be awarded?

For eligible businesses, the amount of Local Restrictions Support Grant payable is as follows:

  • Businesses occupying properties appearing in the Rating List with a rateable value of exactly £15,000 or under on 2 December 2020, the grant payment will be £667 per 14 day qualifying restriction period
  • Businesses occupying properties appearing in the Rating List with a rateable value of between £15,001 and £50,999 on 2 December 2020, the grant payment will be £1,000 per 14 day qualifying restriction period
  • Businesses occupying properties appearing in the Rating List with a rateable value of £51,000 or over on 2 December 2020, the grant payment will be £1,500 per 14 day qualifying restriction period.

Subject to EU State Aid limits, businesses are entitled to receive a grant for each eligible premises for which they are a ratepayer.

Who are the grants payable to?

The person who according to the billing authority's records was the ratepayer in respect of the property on 1 December 2020.

Where East Cambridgeshire District Council has reason to believe that the information held about the ratepayer on 1 December 2020 is inaccurate, the council may withhold or recover the grant and take reasonable steps to identify the correct ratepayer. Any changes to the rating list (rateable value or to the hereditament) after 1 December 2020 will not be taken into account.

Once your application has been verified, the Council will be in touch regarding further payments whilst the Tier 2 restrictions remain in place.

How to apply

Eligible ratepayers will be contacted by the Council. We will ask you to complete a declaration form confirming that your business was legally required to close and that you will not exceed the relevant State Aid threshold.

Please read the eligibility criteria before completing the application form.

If you have any problems completing the form, or need any further help or advice, please email covid19businessgrants@eastcambs.gov.uk or tel 01353 665555.