Omicron Hospitality and Leisure Grant

BRCC - Omicron Hospitality and Leisure Grant:

This application form is for the Omicron Hospitality and Leisure Grant scheme only.

Introduction:

On 21 December 2021, Government announced the introduction of grant support for hospitality and leisure businesses in England. See announcement here:

The scheme provides support to hospitality, leisure and accommodation businesses, in recognition that the rise of the Omicron variant means that some businesses are likely to struggle over the coming weeks.

This support will take the form of a one-off grant funding scheme in the Financial Year 2021-2022.  The scheme is called the Omicron

Hospitality and Leisure Grant. 

Under the Omicron Hospitality and Leisure Grant scheme, grants of up to £6,000 will be paid to hospitality, leisure and accommodation businesses in England.

The primary principle of the Omicron Hospitality and Leisure Grant scheme is to support businesses that offer in-person services, where the main service and activity takes place in a fixed rate-paying premises, in the hospitality, leisure and accommodation sectors.

Grant income received by a business is taxable. The Omicron Hospitality and Leisure Grant will need to be included as income in the tax return of the business.

In accordance with Government guidance, Local Authorities are required to undertake pre-payment checks for all Omicron Hospitality and Leisure Grant payments. These checks are required to be undertaken before any payments are issued to businesses. This requirement is not limited to new applicants and should look at both the company and the company’s bank account.

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

What you will receive: HOSPITALITY, ACCOMMODATION, LEISURE BUSINESSES

The amount to be paid will be determined by the rateable value of the property for business rates purposes. There are 3 rates of grant payments as detailed below:- 

Eligibility:

The Council will administer the Omicron Hospitality and Leisure Grant scheme in accordance with the Government guidance that has been issued to all Local Authorities.

•  The Omicron Hospitality and Leisure Grant scheme is for business on the ratings list only.
• The Omicron Hospitality and Leisure Grant is a one-off grant.
• The Omicron Hospitality and Leisure Grant scheme is effective from 30 December 2021
• The business is recorded on the Councils Non Domestic Rates records as the ratepayer, or business liable for Non Domestic Rates on 30 December 2021.
• Business must have been trading, engaged in business activity on 30 December 2021.
• Examples of eligible Hospitality, accommodation, and leisure businesses for the purpose of the Omicron Hospitality and Leisure Grant scheme, as per Government guidance are set out in the table below.

 Exclusions to Omicron Hospitality and Leisure Grant funding

The Council will administer the Omicron Hospitality and Leisure Grant scheme in accordance with the Government guidance that has been issued to all Local Authorities.

• Businesses that are not in the ratings system will not be eligible to receive funding under this scheme.
• Businesses that have already received grant payments the equal the maximum subsidy allowance will not be eligible to receive funding.
• Businesses that are in administration, insolvent or where a striking-off notice has been made, are not eligible for funding under this scheme.
• Examples of excluded Hospitality, accommodation, and leisure businesses for the purpose of the Omicron Hospitality and Leisure Grant scheme, as per Government guidance are set out in the table below.
• Business excluded from the Omicron Hospitality and Leisure Grant scheme can submit an application to the Council to be considered for support under the Councils Additional Restriction Grant scheme

A copy of the Government guidance issued to Local Authorities in relation to the Omicron Hospitality and Leisure Grant scheme is available here:

In line with Government guidance, the Council are required to share data from your application with the Department for Business, Energy and Industrial Strategy (BEIS). The BEIS privacy notice, setting out how BEIS will handle personal data across all COVID-19 business grant schemes, can be found here:

Data may be shared with other enforcement agencies for the prevention and detection of crime.

The EU State aid rules no longer apply to subsidies granted in the UK following the end of the transition period, which ended on 31 December 2020. This does not impact the limited circumstances in which State aid rules still apply under the Withdrawal Agreement, specifically Article 10 of the Northern Ireland Protocol. The United Kingdom remains bound by its international commitments, including subsidy obligations set out in the Trade and Cooperation Agreement (TCA) with the EU. BEIS Guidance for public authorities explaining the subsidies chapter of the TCA, World Trade Organisation rules on subsidies, and other international commitments can be found here:

On Thursday 4 March 2021 new subsidy allowances were established for the COVID-19 business grants schemes, on the basis of the principles set out in Article 3.4 of the TCA.

Updated COVID-19 business grants subsidy allowances provided on the basis of the TCA

There are three subsidy allowances for this scheme set out below: Small Amounts of Financial Assistance Allowance, the COVID-19 Business Grant Allowance, and the COVID-19 Business Grant Special Allowance.

Small Amounts of Financial Assistance Allowance

Grants may be paid in accordance with Article 3.2(4) of the TCA, which enables an applicant to receive up to a maximum level of subsidy without engaging Chapter 3 of the TCA. This allowance is 325,000 Special Drawing Rights, to a single economic actor over any period of three fiscal years, which is the equivalent of £335,000 as at 2 March 20211. An applicant may elect not to receive grants under the Small Amounts of Financial Assistance Allowance and instead receive grants only using the below allowances available under this scheme.

COVID-19 Business Grant Allowance

Where the Small Amounts of Financial Assistance Allowance has been reached, grants may be paid in compliance with the Principles set out in Article 3.4 of the TCA and in compliance with Article 3.2(3) of the TCA under the COVID-19 Business Grant Allowance (subsidies granted on a temporary basis to respond to a national or global economic emergency). For the purposes of these scheme rules, this allowance is £1,900,000 per single economic actor. This allowance includes any grants previously received under the COVID-19 business grant schemes and any State aid previously received under Section 3.1 of the European Commission’s Temporary Framework across any other UK scheme. This may be combined with the Small Amounts of Financial Assistance Allowance to equal £2,235,000 (subject to the exact amount applicable under the Small Amounts of Financial Assistance Allowance using the Special Drawing Right calculator).

COVID-19 Business Grant Special Allowance

Where an applicant has reached its limit under the Small Amounts of Financial Assistance Allowance and COVID-19 Business Grant Allowance, it may be able to access a further allowance of funding under these scheme rules of up to £10,000,000 per single economic actor, provided the following conditions are met:

1. The Special Allowance covers only the applicant’s uncovered fixed costs incurred during the period between 1 March 2020 and 31 March 2022, including such costs incurred in any part of that period (‘eligible period’);
2. Applicants must demonstrate a decline in turnover during the eligible period of at least 30% compared to the same period in 2019. The calculation of losses will be based on audited accounts or official statutory accounts filed at Companies House, or approved accounts submitted to HMRC which includes information on the applicant’s profit and loss;
3. ‘Uncovered fixed costs’ means fixed costs not otherwise covered by profit, insurance or other subsidies;
4. The grant payment must not exceed 70% of the applicant’s uncovered fixed costs, except for micro and small enterprises (for the purposes of this scheme defined as less than 50 employees and less than £9,000,000 of annual turnover and/or annual balance sheet), where the grant payment must not exceed 90% of the uncovered fixed costs;
5. Grant payments under this allowance must not exceed £9,000,000 per single economic actor. This allowance includes any grants previously received in accordance with Section 3.12 of the European Commission’s Temporary Framework; all figures used must be gross, that is, before any deduction of tax or other charge;
6. Grants provided under this allowance shall not be cumulated with other subsidies for the same costs.

In making this application to the Council for financial assistance from the Omicron Hospitality and Leisure Grant Fund, I warrant and agree the following on behalf of the Applicant:

1.1) I am authorised to make this application and give these warranties on behalf of the Applicant

1.2) The information submitted in support of the Applicant’s application is true, accurate and complete and the Applicant understands that the Council is relying on the truth, accuracy and completeness of this information to determine the Applicant’s application

1.3) The information provided by the Applicant in support of its application may be used by the Council for the detection and prevention of crime and this may include the Council sharing this information in whole or in part with other bodies or organisations responsible for the prevention and detection of crime or responsible for auditing and administering public funds

1.4) The Applicant will respond promptly and accurately to any request by the Council for monitoring and financial information concerning its application for financial assistance from the Omicron Hospitality and Leisure Grant Fund, any such information to be provided within the time scales reasonably required by the Council and to be in such format as the Council may reasonably request and the Applicant understands that such requests may be made both before and after payment of the financial assistance to the Applicant

2) If the Council determines that the Applicant has provided any false, untrue or misleading information, or otherwise made false statements, in support of its application for financial assistance, the Council may in writing request repayment by the Applicant of all, or such part, of that financial assistance as the Council may decide in its absolute discretion and the said repayment shall be made by the Applicant without any deduction or set off whether in law or equity within such period as the Council may reasonably allow