York Council still not processed all grants for micro businesses

The Council says that it has made fewer than 800 grants as part of its support scheme for small and “micro” businesses launched nearly 2 months ago.

The Council is not saying what is causing the delays to the grants which were intended to provide £1000 for up to 1000 York businesses.

Despite this slow progress, the Council has now said that it is extending the scheme to take advantage of an additional £2.2 million in government support funding.

“Top up” grants could be available to a total value of up to £10,000 for those who have already received help as well as to new applicants.

In a statement the Council says,

“Council Coronavirus scheme upgraded to provide support to more of York’s businesses

Local businesses which have so far missed out on government support could benefit from grants of up to £10,000, as the council extends its scheme for small and micro businesses in the City.

The grants aim to benefit small businesses including those in shared offices and flexible work spaces, science parks and incubators. Regular market traders without a business rates assessment. Nurseries, B&Bs paying council tax instead of business rates, and charity properties which all missed out under previous schemes will also be eligible.

Shortly after lockdown was implemented, City of York Council acted quickly to create its own £1m grant scheme for businesses which do not qualify for government support. To date, this scheme has helped nearly 800 local businesses.

Following lobbying efforts, the government has recognised the additional need for financial support and has provided a discretionary fund to local authorities. City of York Council received £2.21m of this funding and has agreed to use it to deliver more grants to the city’s small and micro businesses.

The grants will be staggered between £2500 and £10000, depending on the size and nature of the business, with the following available:

Small business and childcare nurseries set to receive: £10000
Micro business: £5000
B&Bs and market traders who live in York able to apply for: £2,500

Businesses must have been trading before 11 March 2020; have a rateable value or annual mortgage of below £51,000; demonstrate an ongoing fixed property cost and significant financial impact of the coronavirus. It is not available to any business eligible for any other government COVID grant.

The council will open applications for the enhanced grants from Monday 1 June and in the meantime, the Council will continue to process applications for the existing scheme, in order to ensure no business misses out on any funding, unless they do not meet the criteria. All outstanding applicants and previous grantees will be contacted by the council next week, as many will be eligible for a top-up under the enhanced scheme.

Businesses are advised to check the criteria closely and visit www.york.gov.uk/COVIDMicroGrant to prepare key information to apply online.

Councillor Keith Aspden, Leader of City of York Council, said:

This is an exceptionally tough time for so many businesses, especially the small and micro enterprises that characterise York’s creative and independent economy.

“From the very beginning of this crisis, we have worked to ensure our local businesses received swift support from the Council, particularly those who did not meet the criteria for government support.

I am pleased that City of York Council has been recognized as one of the fastest local authorities in the country to distribute grants and rates relief, totaling £110m. We want to go further to support our business community and that is why we have set up this fund to give vital cash injections to small and micro businesses in the city.”

Councillor Andrew Waller, executive member for the economy and strategic planning, said:

I’m extremely proud that we acted quickly to provide a lifeline to many who fell through the cracks of the government support, with nearly 800 small businesses receiving grants so far. Now the government has recognised this need, we can use the funds to give more support to help our businesses survive and adapt.

“We know there are still many York businesses who need more support, and we will continue to press government for more action on their behalf while looking at the local support we can offer.”

The council acted quickly to distribute £110m of grants and rates relief to over 3000 York businesses, and created its own £1m grant scheme to benefit around 800 more which did not qualify for government support.

Under the discretionary fund, local authorities have been given an additional 5% of the total value of grants already distributed in York, and some outline guidance on which businesses should benefit. However, this means councils have to use local knowledge to decide how to fairly distribute the money to benefit as many businesses as possible.

Depending on the volume of applications and the amount of additional checking and verification required, the council aims to make weekly batches of payments starting on 8 June, and hope to pay all grants within four weeks

Coronavirus York updates; 14th May 2020

Grants to Micro businesses

The Council has said that it has now processed 766 grants totalling £738,539 for micro businesses. There is a budget ceiling of £1 million on this scheme.

It also says that it is still awaiting further guidance from the government over the discretionary grants – aimed at local businesses, small charities, B&Bs and market traders – and “we will open up applications as soon as possible”.

York’s self-employed residents could get up to £7,500 by May 25 – or within 6 days of making a claim – as applications for the Self Employed Income Support Service opened on Wednesday 13 May. Check you are eligible and make your claim on the government website here: https://www.gov.uk/government/news/self-employed-invited-to-get-ready-to-make-their-claims-for-coronavirus-covid-19-support

Lowfield & Lincoln Court building work

The Council has issued a statement saying that building work is recommencing at Lowfield and at the Lincoln Court/Disabled centre on Ascot Way.

in reality work never actually stopped!

Deaths & paitient numbers

ONE more patient with coronavirus has died at York Teaching Hospital NHS Foundation Trust, taking the total number of Covid-19 related fatalities to 186.

SEVEN further cases of coronavirus have been confirmed in the City of York Council area, taking the total number to 427.

More help for York small and micro businesses announced

York Council has issued more details of a £1 million scheme to support businesses falling through safety net of government support

1000 businesses are set for grants of up to £1000, with up to 1000 set for free access to FSB support
Council acting to put £110 m of government support into York businesses’ accounts – first grants to land in bank accounts next week

City of York Council has released details of further support for York businesses, including its £1 million scheme to help York’s small and micro businesses who are set to miss out on government support.

City of York Council’s micro business grants scheme will deliver grants of up to £1000 to 1000 self-employed, micro and small businesses who need it most.

Applications for the grants will open before Easter, and will be available to businesses which:

have 50 or fewer employees, including one person business/self-employed;
need support adapting to new trading arrangements;
are experiencing financial hardship due to coronavirus, and
do not qualify for any other government grant or rate relief support packages.

In addition, the council has created a new fund to give up to 1000 businesses free membership of the Federation of Small Business. Also set to launch before Easter, these will be available to businesses with 30 or fewer employees. This will give each business access to a range of services, covering everything from legal and advice to cyber protection and insurance.

Grants will be issued to the first 1000 businesses which meet the criteria, so businesses are advised to prepare evidence in advance.

The council will open an online application form, which will require company details, an outline of what the grant is needed for and the following evidence to demonstrate eligibility:

proof of hardship and ineligibility for other schemes
- for self-employed applicants: Business must have a Unique Tax Reference Number UTRN from HRMC with retrospective check
- Registered business – must provide Company Number, or details from other registration schemes
Evidence that the business is trading, for example adverts, web site or accounts

The council will contact businesses to review the effectiveness of grants and collect evidence of the impact of our funding.

The council has also negotiated a deal which will allow 1,000 one person businesses, or 500 ten person businesses to join and access the free helpline for business advice.

Carolyn Frank, Development Manager North Yorkshire, Federation of Small Businesses, said:

“We are seeing more demand than ever for our services as small businesses and the self-employed find themselves needing advice and guidance, financial support and a powerful collective voice with government.

“We are very grateful to City of York Council for funding free FSB memberships for microbusinesses from their emergency funding, which is helping us reach even more businesses in York with specialist 1-2-1 advice and support.

“Our benefits in higher than normal demand due to the emergency situation include employment advice and protection, legal helpline and documents hub, FSB care medical advice line, cyber protection checks, FSB funding platform and cash advance and insurance services.

“I’d encourage businesses to apply quickly to take advantage of this special scheme, because it is strictly limited to first come, first served. Of course businesses who miss out on the free scheme can still ask for our help, we have many free resources and a full priced membership starts from only £147 a year.”