Budget 2020: help for business

Budget 2020: help for business

Information on the new business rate discounts following the 2020 budget and the Chancellors statement 17 March.

During the 2020 budget the Chancellor announced that there will be extra new  business rate temporary relief to:

  • targeted to certain business ratepayers
  • to alleviate some of the effects of the Coronavirus (Covid-19)

These reliefs will be wholly funded by the government and are expected to be administered through local authorities’ discretionary powers under section 47 (3) of the Local Government Finance Act 1988.

The range of reliefs and bodies which are likely to be eligible is wide and not all of the criteria will be applicable in each case.

The government have issued guidelines on how to determine the reliefs.

We'll apply and grant relief to qualifying ratepayers from the start of the 2020/21 billing cycle.

Rate discounts

Retail rate discount

Businesses in the retail, hospitality, and leisure sectors will pay no business rates in 2020-21.  In last week’s budget, the only businesses in these sectors exempt from business rates were those with rateable values of less than £51,000.  

The “business rates holiday” will now be extended to all businesses in these sectors regardless of rateable value.

Where we can, we will award any relief direct to the account. Where we can't, we will contact affected businesses and will provide updates on this page giving advice on how to claim.

Visit our business rate discount page for information on how to apply for this discount.

Child care providers

Nurseries will not have to pay businesses rates for one year commencing April 2020. The discount will automatically be awarded and an amended bill sent.

Small businesses

Businesses in the retail, hospitality and leisure sectors will receive a cash grant of up to:

  • £10,000, for businesses with rateable values up to and including £15,000
  • £25,000, for businesses with a rateable value over £15,000 but less than £51,000

It means you won't pay any business rates in 2020-21 and will be eligible for a grant of up to £25,000. 

All businesses in receipt of small business rates relief, regardless of sector will be eligible for a cash payment of £10,000.

Apply for grant

Loans and lending

  • a Coronavirus Business Interruption Loan Scheme offering loans of up to £5 million for SMEs through the British Business Bank
  • a new lending facility from the Bank of England to help support liquidity among larger firms, helping them bridge coronavirus disruption to their cash flows through loans
  • Time To Pay Scheme from the HMRC

You can find full details of the support available on the government website.