Shropshire Council

Discretionary additional restrictions grant

Due to exceptional demand this grant scheme will now close on Friday 12 February at 5pm.  It may re-open if further funding becomes available.

Following the third lockdown announced by Government and commencing on Tuesday 6 January 2021, further discretionary funding was announced to help support businesses not eligible for the Local Restrictions Support Grant but have been significantly impacted by COVID-19.

If you applied to Shropshire Council during the November 2020 lockdown for the previous DARG grant you do not need to apply again. If you were successfully awarded funding you will be eligible for this award, subject to you still meeting all eligibility criteria and final checks being completed and approved.

These grants are focused on those key sectors that were mandated to close by Government immediately, plus those closely aligned to them such as businesses in the supply chain of retail, hospitality and leisure businesses and events businesses. This also includes non-essential retail, personal care and sport businesses.

As with all Discretionary schemes the Council has the right to amend the grant amounts on offer and close the scheme earlier if funding allocations have been met so you are encouraged to apply as soon as possible.

Grant awards

All applications will be eligibility checked, including having to meet the financial need/justification for public sector support criteria.

One grant will be awarded at one of the levels that followed:

  • A grant of £4,000:
    • Where a business operates from a home address that is liable for Council Tax
  • A grant of £6,000:
    • Businesses operating in a commercial premises with ongoing associated costs.
      This can include businesses liable for business rates and those that contribute to business rates through rent. In these circumstances we will consider B&Bs paying council tax due to the considerable ongoing costs.

You must ensure that you have read the following details before you apply. Failure to do so may result in your application being rejected, or cause a delay in processing your payment.


Eligibility

To be eligible for the Discretionary Additional Restrictions Grant;

  • The business must have been trading on or before 4 November 2020.
  • Must be a micro or small business with up to 50 employees, in exceptional cases at our discretion, larger businesses may apply.
  • Businesses should have ongoing fixed business costs (these do not include employee costs), for example; rent, mortgage payments, business rates, insurances, utilities and equipment rental.
  • Business must demonstrate a financial need/strong justification for support. The business has taken reasonable steps and measures to mitigate the financial impact of COVID-19.
  • Business must have suffered a fall in income of at least 50% from pre-COVID-19 levels.
  • Businesses must be able to evidence a minimum annual income of £10,000 (pre-COVID-19 and pro rata if a newly established business).

General Conditions

  • Businesses approved for funding will receive a one-off grant award (not monthly payments) under the Discretionary Additional Restrictions Grant.
  • Where a number of businesses share premises with a common ownership, then if approved, only one grant will be awarded.
  • Where your business operates from multiple sites, you will only be eligible for one grant.
  • The business severely affected by COVID-19 National lockdown, must be the applicants’ main source of income (particularly relevant to self-employed, sole traders).
  • Fall in income levels due to COVID-19 – those experiencing falls in income of less than 50% will not be considered for support.
  • Businesses who have not been able to access or only access small amounts of previously released government grant or loan funding will be deemed a higher priority at the discretion of Shropshire Council.
  • The grant application process will remain open for a four week period up until 21 February 2021. We reserve the right to close the scheme at short/no notice – potential applicants should apply without delay.
  • Further rounds may be subsequently opened subject to the availability of funds but cannot be guaranteed.
  • Unsuccessful applicants will be advised of the outcome of an application by email.
  • There is no right to appeal a decision.

What evidence needs to be provided?

To help process your grant payment as efficiently as possible please ensure you have the following documentation ready to upload with your application:

  • Business bank statements / trading accounts to evidence the business was trading and has seen a significant reduction in income as a result of COVID-19 (pre-March lockdown and current bank statements).
  • Copy of lease agreement / tenancy agreement where applicable.
  • Copy of council tax where applicable.

Exclusions

Businesses that are excluded from the Discretionary Additional Restrictions Grant include;

  • Businesses that are able to access the Local Restrictions Support Grant due to being required to close by Government under national lockdown restrictions.
  • Businesses that are able to continue to trade and have suffered a drop in income of less than 50%.
  • Take-away businesses.
  • Financial services (e.g. banks, building societies, cash points, bureaux de change, short-term loan providers).
  • Medical services (e.g. vets, dentists, doctors, osteopaths, chiropractors).
  • Professional services (e.g. solicitors, accountants, insurance agents/ financial advisers).
  • Air B&Bs.
  • Property related businesses that include;
    • Property developers and construction.
    • Buy to let businesses.
    • Property refurbishment projects.
    • Residential/commercial landlord businesses.
  • Businesses that have already received grant payments that equal the maximum levels of State Aid permitted under the EU State aid De-Minimis Regulation and the Covid-19 Temporary State Aid Framework.
  • For avoidance of doubt, businesses that are in administration, insolvent or where a striking off order has been made, are not eligible for funding under this scheme.

Frequently asked questions

We understand that this a hard time for businesses, and that you may have questions or concerns about the grants and the application process. To help, we have set up a dedicated page of frequently asked questions, which will be updated as needed. Please do take a look at these before contacting us.

How to apply for the DARG

Please note, this grant scheme closed on Friday 12 February at 5pm.

We ask that you do not contact us to follow up on your request or payment. Doing so requires us to redirect limited resources to answer calls and individual enquiries, slowing our ability to check and process payments to everyone as quickly as possible.

Please also see our list of frequently asked questions for details on how long the process will take, when you will be paid (if your application is approved), and other similar topics.