Additional restrictions grant (discretionary) (ARG) January 2021

About the grant

The additional restrictions grant (ARG) January 2021 scheme is now live. Please read the policy below before clicking the button at the bottom of the page to apply.

ARG policy

The government recognised that some businesses that are required to close may not have rateable commercial premises (and therefore won’t be covered by the LRSG scheme), and others won’t have been forced to close, but they will be significantly financially impacted. As such local councils have been allocated additional restrictions grant (ARG), which will cover businesses that fall into these categories.

This grants scheme is fully funded by central government and the funds will be administered by Hinckley & Bosworth Borough Council in accordance with the guidance issued by the Department for Business, Energy and Industrial Strategy (BEIS).

Deadline/timeline

Grants will be initially administered for the 28 day period of the national lockdown from Thursday 5 January 2021. Applications for the additional restrictions grant will need to be submitted using the online form. The January scheme will close on 12 March 2021, and a new February scheme launched at that date.
 
Applications will be considered over the coming weeks and applicants notified of the outcome as soon as possible, with payments being made within a week of the decision notification.

This ARG funding will be available for the period announced under the new restrictions starting on 5 January 2021. Beyond this time, this policy will be reviewed if a national or localised lockdown is implemented or extended. A separate application will be needed for these periods.

Eligibility criteria

Eligible businesses:

  • Businesses that qualify as either a micro or a small business (as defined in the Small Business, Enterprise and Employment Act 2015 and the Companies Act 2006)

Businesses are eligible, where one or more of the below statements apply:

  • Non-rated businesses that have been mandated to close, but are ineligible to apply for a grant under the Local Restrictions Support Grant (closed) scheme
  • Businesses which have previously been awarded grants under the small business grant fund (SBGF) or local authority discretionary grant fund (LADGF)
  • Businesses that are NOT mandated to close, but are adversely impacted by national restrictions and/or other factors associated with COVID-19
  • Businesses that have applied for the coronavirus job retention scheme (the so called furlough scheme) are eligible to apply for a grant under this scheme
  • Businesses that are eligible for the self-employed income support scheme (SEISS) are eligible to apply for a grant under this scheme as well. The council will limit this to where there are specific business related fixed costs and the business is in our priority areas
  • Businesses must have been trading on 5 January 2020 to be eligible to apply for a grant under the additional restrictions grant scheme
  • Independent financial advisors with a turnover of less than £85,000 can now apply (for example: mortgage or pension advisors). Note this is an amendment to the previous policy

The council will need to see proof that any business making an application was trading on the 5 January 2020 and as such was NOT in administration, insolvent or where a striking off notice has been made
Applicants to this scheme will be required to make a legal declaration that they meet the above eligibility criteria and provide evidence of the following:

  • A recent bank statement for the bank that you are requesting the payment to be made to
  • A recent rent invoice, mortgage statement or lease for the business premises which shows the relevant costs. (If your do not have these, but have other declared fixed costs provide evidence of these other annual fixed costs)
  • A recent utility bill linking your business to the premises that you are applying for
  • Provide proof of normal annual turnover or income
  • Proof that you were able to trading on 5 January 2020 (for example, delivery note, sales receipts, or other suitable information)
  • Evidence that your business has closed or was severely affected for the majority of the lockdown period

If you have lost over 60% and want to be considered for a hardship top up grant, you will need to supply evidence of turnover/income by month for the period March to December 2020, compared to 2019. This can from your accounting system or a spreadsheet comparing the two periods linked to bank statement.

Exclusions to the additional restrictions grant (discretionary):

  • Businesses that are able to continue to trade and can operate their services effectively remotely
  • Businesses that have chosen to close but not been required to will not be eligible for this grant, unless they can demonstrate significant impact, for example through cancelled orders for products and services to closed businesses in the retail, hospitality, leisure or events sectors
  • Businesses which have already received grant payments that equal the maximum levels of state aid permitted under the de minimis and the Covid-19 temporary state aid framework
  • For the avoidance of doubt, businesses that are in administration, insolvent or where a striking-off notice has been made, are not eligible for funding under this scheme

Grant levels

Business can receive between £1,350 up to a maximum of £3,000 for any given property over a 28-day period. In exceptional circumstances a higher level of grant may be awarded at the discretion of the council and subject to the level of funds available at the time of applying. Significant additional amounts of evidence will need to be provided in order to be considered for a higher level of grant.

Grants will be awarded on a first come first served basis within the funding allocation limits of the scheme agreed by the council.

Indicative amounts for grants under the ARG scheme are noted below:

Turnover: Below VAT threshold of:

  • Threshold: £85,000 
  • Grant award: £1,350

   Turnover: Above VAT threshold, below half Micro business size (50% of £632,000):

  • Threshold: £316,000 
  • Grant award: £2,000

Turnover: Above half Micro business size (50% of £632,000):

  • Threshold: Companies Act small business definition (Appendix 2) 
  • Grant award: £3,000

Where the impact on businesses can be identified to be lower than £1,350, officers will have discretion to administer grants at a lower level to reflect the financial impact on income.

Applications

Apply for additional restrictions grant (grantapproval.co.uk)

Last updated: ‎08‎/‎02‎/‎2021‎ ‎11‎:‎44‎