Business Rates Holiday and Grants

As part of the coronavirus support package for businesses, the chancellor announced a number of different business rates reliefs and/or cash grants.  

The measures are:

• A business rates holiday for businesses operating in the retail, hospitality and/or leisure industry.
• Cash grants for eligible businesses operating in the retail, hospitality and and/or leisure industry.
• A business rates holiday for eligible nursery businesses.
• A cash grant for businesses qualifying for Small Business Rate Relief (SBRR), Rural Rate Relief (RRR) or tapered relief.

Further details and the eligibility criteria for each scheme is detailed separately below:

Business rates holiday for retail, hospitality and leisure businesses

You are eligible for the business rates holiday if your business is based in England and operates in the retail, hospitality and/or leisure sector.

Properties that will benefit from the relief will be occupied properties that are wholly or mainly being used:

• as shops, restaurants, cafes, drinking establishments, cinemas and live music venues
• for assembly and leisure
• for hospitality, as hotels, guest & boarding premises or self-catering accommodation

A detailed list of the businesses that the government consider qualifying can be found in the local authority guidance (page 5-8):

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/877758/Expanded_Retail_Discount_Guidance_02.04.20.pdf

Cash grants for retail, hospitality and leisure businesses

The Retail and Hospitality Grant Scheme provides businesses in the retail, hospitality and leisure sectors with a cash grant of up to £25,000 per property.

You are eligible for the grant if:

• your business is based in England
• your business is in the retail, hospitality or leisure sector
• your business has a rateable value of under £51,000

Eligible businesses in these sectors with a property may qualify for the following grants:

£10,000 – for properties with a rateable value of up to £15,000.

£25,000 – for properties with a rateable value between £15,000 and £51,000.

You can find your rates valuation at the following link:

https://www.gov.uk/correct-your-business-rates

Properties that will benefit from the relief will be occupied properties that are wholly or mainly being used:

• as shops, restaurants, cafes, drinking establishments, cinemas and live music venues
• for assembly and leisure
• as hotels, guest and boarding premises and self-catering accommodation

Again, a full list can be found within the local authority guidance provided above.

Support for nursery businesses that pay business rates

There is also a business rates holiday for qualifying nurseries in England for the 2020 to 2021 tax year.

You are eligible for the business rates holiday if:

• your business is based in England

Properties that will benefit from the relief must be:

• occupied by providers on Ofsted's Early Years Register
• wholly or mainly used for the provision of the Early Years Foundation Stage

Support for businesses that pay little or no business rates

The government will provide funding for local authorities to support small businesses that already pay little or no business rates because of Small Business Rate Relief (SBRR), Rural Rate Relief (RRR) and tapered relief. This is known as the Small Business Grant Scheme. This will provide a one-off grant of £10,000 to eligible businesses to help meet their ongoing business costs.

You are eligible if:

• your business is based in England
• you are a business that occupies property
• you are receiving Small Business Rate Relief or Rural Rate Relief as of 11 March.

How to access the above schemes

All of the above schemes are administered by the local authority. It was initially announced that the relevant local authority would contact eligible businesses, however some local authorities have decided to operate an applications process. Therefore if you believe your business will be eligible but have not been contacted by your local authority, we would recommend you enquire about the application process.