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Local Government Finance: Coronavirus

Question for Ministry of Housing, Communities and Local Government

UIN HL7409, tabled on 27 July 2020

To ask Her Majesty's Government what plans they have to allow local authorities to use the remaining funds allocated to support businesses at the start of the COVID-19 lockdown to support businesses that are facing second or local lockdowns.

Answered on

10 August 2020

The Government has always been clear that underspend from the initial grants schemes for businesses could not be used for other purposes.

Once all?grant monies have been paid out,?local authorities?will need to?carry out a reconciliation exercise?with Government to ensure that they receive the correct amount of funding to meet the cost of grant payments to eligible businesses.

Ministers will continue to consider the need for further responses to second or local lockdowns, recognising that significant support has already been provided to businesses through grants, loans and easements.