To ask the Secretary of State for Business, Energy and Industrial Strategy, whether local authorities receive funding for the Local Restrictions Support Grant (LRSG) and Additional Restrictions Grant (ARG) up front or are reimbursed.
19 January 2021
The Government has put forward an unprecedented package of support for businesses in recognition of the disruption caused by Covid-19. This support includes extensive grant funding for businesses that have been required by law to close as a result of, or have been severely impacted by, localised and national restrictions.
As set out in the Government guidance, local authorities have received an initial allocation of 90% of the estimated grant funding amount for the Local Restrictions Support Grant (Closed) Addendum and Closed Business Lockdown Grant schemes. When this threshold of funding is reached, Government will pay local authorities the further agreed funding. The additional £500 million distributed through the Additional Restrictions Grant scheme was paid to local authorities in one lump sum payment, as with the previous ARG payment. We are working closely with local authorities to ensure that funding is delivered to businesses that are in scope of these schemes as quickly as possible.