Additional Restrictions Grant (ARG)

The ARG is a discretionary scheme to help businesses that continue to trade but are still severely affected by the COVID-19 restrictions, regardless of whether they pay business rates.

Please read the eligibility criteria and only make an application if you are eligible.

Contents


Eligibility

Any business which is located in Uttlesford district is eligible to apply for ARG if they have been and continue to be severely impacted by the Coronavirus restrictions.

Micro, Small or Medium (SME) business, as defined in Section 33 Part 2 of the Small Business, Enterprise and Employment Act 2015 and Sections 382 and 465 of the Companies Act 2006.

For the purpose of this scheme, business applying for ARG must also meet the following eligibility criteria and be able to provide the necessary evidence that:

  • The business has ongoing, fixed business-related costs e.g., business premises and/or equipment costs (excluding staffing costs) critical to the continued operation of the business, which are unavoidable. As part of the application process, the business is required to provide evidence of these costs; and

  • The business must demonstrate that they continue to suffer a significant fall in income due to the COVID-19 crisis. Businesses will be required to provide evidence to the Council of their turnover / income in both 2019 and 2021 and the Council must be sure that the fall in income is due to the COVID-19 crisis and not a general failure of business; and

  • The business must be trading, and engaged  in business activity. This should be interpreted as carrying on a trade or profession or buying and selling goods or services in order to generate turnover. Fully constituted businesses in liquidation, dissolved, struck off or subject to a striking-off notice are not eligible under these conditions.

⚠  Supporting evidence for fixed business-related costs and significant fall in income for the appropriate period will be uploaded by the applicant when making their application.


Excluded businesses

The following businesses will not be eligible for an award:

  • These will include businesses in the following sectors:
    • Agriculture, forestry, or fishing
    • Mining or quarrying
    • Electricity, gas steam and air-conditioning supply
    • Water supply or sewerage
    • Financial and insurance services
    • Information and communication services
    • Professional services
    • Recruitment consultants
    • Real estate activities
    • Education or social work activities
    • Manufacturing or construction
    • Medical services
  • Businesses that are in administration, are insolvent or where a striking-off notice has been made

  • Businesses that have already received grant payments that equal or exceed the maximum permitted subsidy allowance


How much can you receive?

Award levels will be based on the circumstances of each individual business, taking into consideration the evidence submitted which must show that business turnover continues to be severely impacted compared with turnover data from 2019.

Other considerations taken into account will be;

  • number of employees;

  • amount of business grant funding already received (from any coronavirus business support grant scheme); and

  • evidenced, ongoing and unavoidable business-related costs.

Awards are not intended to compensate businesses for losses. They are intended to support and encourage businesses to continue to invest in themselves to secure their survival.

Awards will be subject to the number of approved applications and the level of available funding to ensure that all eligible claims receive some level of grant support.


Tax

Grant income is taxable but only businesses making an overall profit once the grant is included will be subject to tax. 


Counter fraud

Local authorities will not accept deliberate manipulation and will work collaboratively across the region and nationally to share intelligence and resources to detect fraud.

Any business found to be giving false eligibility information or seeking to gain an additional grant will be investigated.

The council will recover money paid in error and fraudulent claims will be prosecuted in the courts. 


State aid

The EU State Aid rules no longer apply and from 4 March 2021 new subsidy allowances were established for the COVID-19 business grant schemes. Payments received by the applicant from any of the business grant schemes administered by local authorities or anything similar from the government, for all business properties they are responsible for, counts as Subsidy Allowance.

There are three subsidy allowances:

  1. Small Amounts of Financial Assistance Allowance
    This allowance is £335,000 over three fiscal year periods at 03 March 2021.
     
  2. 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 Trade and Cooperation Agreement. For the purpose of this scheme, this allowance is £1,600,000 per business and includes grants previously received under the COVID-19 business grant schemes. This may be combined with the Small Amounts of Financial Assistance Allowance to equal £1,935,000. The COVID-19 Business Grant Special Allowance. (Grants provided in excess of the Small Amounts of Financial Assistance Allowance may not be granted to applicants that were defined as an 'undertaking in difficulty).
     
  3. The Special Allowance
    Where an applicant has reached its limit under the Small Amounts of Financial Assistance Allowance and the COVID-19 Business Grant Allowance, it may be able to access a further allowance of funding under these scheme rules of up to £9,000,000 for business, provided the following conditions are met:
    • The Special Allowance covers only the applicants uncovered fixed costs incurred during the period 1 March 2020 and 31 March 2022. Uncovered fixed costs means fixed costs not otherwise covered by profit, insurance, or other subsidies
    • Applicants can demonstrate a decline in turnover from audited or official accounts of 30% compared to 2019
    • The Grant payment must not exceed 70% of the applicant's uncovered fixed costs (except where you have less than 50 employees and less than £9m annual turnover), where the grant payment must not exceed 90% of the uncovered fixed costs
    • Grants under this scheme shall not be cumulated with other subsidies for the same costs
    • Evidence is provided to demonstrate eligibility

The Additional Restrictions Support Grant counts towards state aid. Read the rules on State Aid guidance and Temporary Framework for State Aid for COVID-19 responses (GOV.UK).

By accepting this grant you must confirm that you are not in breach of these rules. 

Within a three-year period, payments of up to and including approximately £721,000 can be provided under the De Minimis rules, the equivalent of up to €800,000 of aid.


Apply

Please apply using our online form where you will also be able to upload all documentation in support of your application.

Apply for the grant

⚠  Applications should be made as soon as possible as grants will be awarded on a first-come-first served basis until funding has been exhausted. If you have previously been in receipt of funds from the ARG scheme, and your circumstances have not changed, please do not resubmit an application.


Additional information

We have adopted a policy for this scheme.

Icon for pdf Uttlesford District Council Additional Restrictions Grants (ARG) Scheme [369.16KB]

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