The Discretionary Grant Fund supports small and micro-businesses that are not eligible for other grant schemes.

Small and micro businesses with fixed property costs that are not eligible for the Small Business Grant Fund or the Retail, Hospitality and Leisure Grant Fund may be eligible for the Discretionary Grants Scheme.

What you get

You can get a grant of £25,000, £10,000 or any amount under £10,000.

Eligibility

You’re eligible if your business:

• is based in England
• has fewer than 50 employees
• has fixed building costs such as rent
• was trading on 11 March 2020
• has been adversely impacted by the coronavirus

We’ve asked local councils to prioritise businesses such as:

• small businesses in shared offices or other flexible workspaces, such as units in industrial parks or incubators
• regular market traders
• bed and breakfasts paying council tax instead of business rates
• charity properties getting charitable business rates relief, which are not eligible for small business rates relief or rural rate relief

Who cannot apply

You cannot apply if your business:

• pays business rates
• is in administration, insolvent or has received a striking-off notice

If you’re already claiming funding

You cannot apply if you’re already claiming under another government grant scheme, such as:

• Small Business Grant Fund
• Retail, Hospitality and Leisure Grant
• Fisheries Response Fund
• Domestic Seafood Supply Scheme
• Zoos Support Fund
• Dairy Hardship Fund

You’re still eligible if you’ve applied for the Coronavirus Job Retention Scheme or the Self-Employed Income Support Scheme.

Businesses that apply for the Discretionary Grant Scheme can still apply for coronavirus-related loans if they’re eligible.

If you already get state aid

The Discretionary Grants Fund counts towards state aid.

Payments of £10,000 or less count towards the total de minimis state aid you’re allowed to get over a 3 year period - €200,000. If you have reached that threshold, you may still be eligible for funding under the COVID-19 Temporary Framework.

Payments of £25,000 count as state aid under the COVID-19 Temporary Framework. The limit for the framework is €800,000.

Your local council will ask you to complete a declaration confirming that:

• you will not exceed the relevant state aid threshold
• you were not an ‘undertaking in difficulty’ on 31 December 2019. This applies only to the COVID-19 Temporary Framework

How to apply

Visit your local council’s website to find out how to apply:

Find the website for your local council.

What happens next

Your local council will run an application process and decide whether to offer you a grant.

You do not have to pay the grant back but it will be taxable. Only businesses which make an overall profit once grant income is included will be subject to tax.

Published 29 May 2020