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Additional Restrictions Grant (discretionary scheme)

Update: 15 November 2021

The scheme has now closed for applications. The application process closed on 15 November 2021 at 12noon.

All applicants will be notified of the outcome by email and payments for successful claims will be made by 13 December 2021.

Please do not contact us for an update on your application as this will only delay the process.

There is no statutory right of appeal against a decision regarding discretionary grants made by the council.


 

The Additional Restrictions Grant (ARG) provides funding to support closed businesses that have not qualified under the previous grant schemes. It provides additional support to areas that still need funding to help them continue to trade and provide assistance to restart their businesses.

The principle of the scheme is to reach those businesses that have been impacted by covid restrictions.

Grants will be issued at the council’s discretion and the amounts given to individual businesses will be subject to subsidy allowances.

The scheme will be open for applications for a fixed period of three weeks starting on 25 October 2021 at 12pm and ending on 15 November 2021 at 12pm.

All applicants will be notified of the outcome by email and payments for successful claims will be made within a week of receiving that email.

Please do not contact us for an update on your application as this will delay the process. There is no statutory right of appeal against a decision regarding discretionary grants made by the council.

Eligibility

Businesses must have been trading on 1 July 2021 in order to qualify for this round of grant funding.

The following trading indicators can help assess what can be defined as trading for the purposes of the grant schemes. 

Indicators that a business is trading are:

  • the business has staff on furlough
  • the business continues to trade online, via click and collect services etc.
  • the business is not in liquidation, dissolved, struck off or subject to a striking-off notice or under notice
  • the business is engaged in business activity
    • managing accounts
    • preparing for reopening
    • planning and implementing Covid-safe measures.

Specific exceptions

  • Companies or individuals in administration, insolvent or where a striking off notice has been made are not eligible

  • Businesses that have already received grant payments that equal the maximum levels of subsidy allowances. This includes Small Amounts of Financial Assistance Allowance, the Covid-19 Business Grant Allowance and the Covid-19 Business Grant Special Allowance.

  • Businesses that have been awarded a payment of ARG from previous schemes (excluding market traders). Businesses that have been awarded a payment of Local Restriction Support Grant (LRSG), Closed Business Lockdown Payment (CBLP) or Restart Grant (includes business ratepayers and non-business ratepayers).

  • Medium and large businesses are exempt from applying. This is defined according to the number of employees, where:
    • Micro: 0 – 9
    • Small: 10 – 49
    • Medium: 50 – 249
    • Large: More than 250

Categories of businesses

Regular market traders

This includes businesses who have suffered rent increases of 25 per cent or more in the last 12 months. This would affect fixed costs such as rent, trading for a period of 8 weeks in the 10-week period up to 1 September 2021.

Also covers those who do not have their own business rates assessment and are up to date with their market rent payments.

Micro and small local businesses

Are businesses whose income and turnover is directly affected by Covid restrictions and have been excluded from previous grant schemes.

These may include the following services and can include businesses in the supply chain for these services:

  • travel and tourism
  • wedding industries
  • launderettes/dry cleaners
  • nightclubs, theatres, events industries
  • educational and training institutions.

These local businesses must not have received a previously award of ARG, Local Restriction Support Grant (LRSG), Closed Business Lockdown Payment (CBLP) or Restart Grant (includes business ratepayers and non-business ratepayers).

Full time licenced taxi drivers

Full time licenced taxi drivers who live within the borough. 

Level of payments

Level of payments
Business category Payment 

Market traders

 

Full time - £1,000
Part time - £500

Local businesses

Ongoing building related cost (pa)

 
 

£25,000 and over
£10,000 to £24,999
Below £10,000

£10,000
£5,000
£2,500

Full time licence tax drivers

 

£500

Policy review

To ensure the Additional Restrictions Grant reaches those businesses most in need, this policy will be reviewed by the Chief Finance Officer three weeks after launch.

After this, the council reserves the right to modify eligibility criteria and funding thresholds, to ensure fairness and that awards do not exceed the total funding available.

Evidence to support applications

Evidence will be captured alongside the application and eligibility checks will be made before any award.

Market traders

You will be paid automatically under the new scheme with the amounts in the level of payments table if

  1. you previously qualified under the earlier discretionary scheme and
  2. have continued to trade for the 8 weeks in the 10-week period prior to the 1 September 2021

This will be subject to any qualifying trader being up to date with their market rent payments.

Micro and small local businesses

  1. Copies of lease/rental agreements (for all commercial tenants)
  2. Copies of bank statements going back to April 2021 showing ongoing payments to landlords
  3. The business must be registered in and have a principal trading address within the London Borough of Tower Hamlets area. A copy of a document from HMRC showing these details must be submitted.

Full time licensed taxi drivers

To be eligible, applicants must be able to confirm they have not qualified for support under any other grant scheme (this includes the Coronavirus Job Retention Scheme or the Self- Employed Income Support scheme) and provide the following supporting documents:

  1. be registered as living at an address within LBTH (proof of driving licence required to show the address)
  1. supply taxi/private hire driver licence document badge/ID. Must be licenced from at least before 1st April 2021.

Appeals

There is no statutory right of appeal against a decision regarding discretionary grants made by the council.

Fraud

The government will not accept deliberate manipulation and fraud. Any business caught falsifying their records to gain additional grant money will face prosecution. Any funding issued will be recovered as may any grants paid in error.