skip to main content

Accessibility and Display Options

Choose accessibility and display settings
Text Preferences
Colour Schemes
Cookies
Save Close


 


Local Authority Discretionary Grant Fund - Frequently Asked Questions

1. Discretionary Fund Overview 

What is the background of the Discretionary Fund? 

In response to COVID-19, the government announced there would be support for small businesses, and businesses in the retail, hospitality and leisure sectors, delivered through the Small Business Grant Fund and the Retail Hospitality and Leisure Grant Fund.   

The Local Authority Discretionary Grants Fund is an additional scheme aimed at small and micro businesses who were not eligible for the Small Business Grant Fund or the Retail, Hospitality and Leisure Grant Fund. 

Who is managing the Fund in the Borough? 

The administration of the Discretionary Fund within Fareham is being managed by the Council. 

How much funding is being allocated to Fareham to distribute to businesses? 

We will receive £1,019,000. 

If successful how much funding could I receive? 

Grants will be allocated on a sliding scale up to £10,000 depending on various criteria including each business's monthly fixed overheads (see below).  


2. Fund Eligibility 

What is the size of the eligible small or micro businesses? 

Businesses with fewer than 50 Full Time Equivalent (FTEs) employees, including the owner(s) and either: 

What is a balance sheet total?

Balance sheet total is defined in the Finance Act 2016 as the aggregate of the amounts shown as assets in a company's balance sheet at the end of the financial year. 

My turnover/balance sheet total on my last submitted accounts means I would not be classified as a small or micro business. But since then there have been changes which means I would be. What should I do? 

Your application will still be considered. You would still need to submit your last set of accounts, and in the application form there is a section for you to explain why this difference exists. We would also suggest you submit supporting evidence e.g. management accounts/letter from you accountant. 

Can I apply if my business has received or is entitled to receive support from other Coronavirus related funds? 

It depends on the support you've received.  You are still eligible if your business received the following: 

Your business won't be eligible for the Discretionary Fund if it has received or is eligible for any of the following: 

If you apply and we think your business would be eligible for any of the funds above, we will reject your Discretionary Fund application and direct you to apply for the scheme relevant to your business. 

I saw that using the Self-employed Income Support Scheme made a business not eligible, now it doesn't. Please explain? 

In the original guidance from central government this was a specific criteria for exclusion from this scheme. However, they later revised the guidance so that it no longer was. Our policy has been updated to reflect this change. 

Are there any other eligibility criteria? 

To be eligible for Fareham's Discretionary Fund a business must: 

What if the striking off notice is only in place for delay in filing accounts/annual return? 

You will not be eligible for this grant. Central government have stipulated this as a mandatory criteria, and no local discretion can be used. 

I hadn't started trading on 11/3/20, but was fitting out/preparing to open at that time. Am I eligible? 

You will not be eligible for this grant. Central government have stipulated this as a mandatory criteria, and no local discretion can be used. 

I use my home to run a Bed and Breakfast business, can I still apply? 

Yes, as long as: 

If deemed eligible, you will be assessed on the percentage of the overheads that relate to the Bed and Breakfast Business. 

My rateable value is £51,000 or just above £51,000, am I eligible? 

This grant is aimed at small and micro businesses. Occupying a property with a rateable value of £51,000 or above is one of the exclusion criteria. 

I work from home/use my home as an office. Can I still get the grant? 

You would not be eligible for this grant. 

Can I apply for more than one property per business? 

All fixed overheads relating to properties used for the business will be taking into account, as long as the property is not eligible for any of the grants listed previously. 


3. Making an Application

How do I apply? 

The first round of applications ran between 2 June and 16 June 2020.  The second round closed on 28 August 2020. 

Do I need to provide any supporting information when applying? 

Yes, in order to process your application, you will need to provide the following documents: 

We may contact you by email asking for further evidence once your application has been assessed.  

Will I receive a confirmation once I've submitted my form? 

Yes, you will receive a confirmation email with a 13-digit unique reference. This reference is to be used in all correspondence relating to your application. 

When will I find out if the application has been successful? 

We are anticipating a large number of applications to the Discretionary Fund. We have allocated additional resources to process them as quickly as possible, however we are unable to give an accurate anticipated turnaround at this time. 

What if my application is unsuccessful? 

We will contact you via email to inform you. We will direct you to apply for alternative grant schemes such as the Small Business or the Retail, Hospitality and Leisure Grant Fund if it appears you may be eligible.  

I know someone with a similar business to mine who received a grant, but mine was rejected. Why is this? 

Each Council will have a different set of criteria based on local needs, circumstances and funding provided. It is expected that there will be differences across the country. 

Who can I contact if I have any questions about my application? 

You can contact the Business Rates Team on 01329 824651 or by email to businessrates@fareham.gov.uk

Can I appeal a decision? 

No, there are no appeals rights for the Discretionary Fund. 


4. Payments

If successful how much grant funding could me business receive? 

Grants will be given on a sliding scale, in line with the monthly fixed overheads of the business incurred during April to June 2020.

Fixed Monthly Overheads  Grant
Grant calculation guide
£750 or below  Up to £2,500 
£751 to 1,500   £5,000
£1,501 to £2,500  £7,500
£2,501 or above  £10,000

Fixed monthly overheads include business rates or council tax (for B&Bs only), rent, business mortgage or loan interest payments, electricity, gas, water, oil and business insurance. You will need to provide evidence for each. 

How will payment be made if the application is successful? 

Payment will be made via BACS. 

Will the grant be subject to Tax? 

Yes. 

Government guidelines show that grants of £25,000 can be awarded, but your highest amount is £10,000. Please explain? 

Our analysis of businesses in Fareham suggest that this grant scheme will be over-subscribed. A decision was made to cap our grant at £10,000 to enable us to provide financial support to many more businesses. Government guidelines support this decision, and many Local Authorities have adopted the same/similar stances.


5. Oversubscription contingencies and Council priorities

 

What happens if the Discretionary Fund is oversubscribed?
If the number of applications exceeds the £1,019,000 allocated to Fareham by the Government, the Council will allocate awards to businesses on a priority basis.

What businesses will be prioritised if the fund is oversubscribed?

If oversubscribed, we will prioritise the following:

What if the Discretionary Fund is undersubscribed?

A further round of applications may be offered if, following the first round of applications, the funding has not been fully utilised, until the funding limit is reached.


6. Other

How can I find the rateable value of my business's property?

You can check your last Business Rates bill or use the Government's online checking tool External Hyperlink.

Is there additional guidance on the Discretionary Fund?

You can read the Council's agreed Local Authority Discretionary Grants Fund (LADGF) scheme here or the Government's own draft Discretionary Fund Guidance External Hyperlink.




Back to top of page Back to Top How to get here
Fareham Borough Council, Civic Offices, Civic Way, Hampshire, PO16 7AZ
Tel: +44 (0) 1329 236100 | Mobile Text/Photo: 07860 098627
RSS Feeds