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COVID19: Are you eligible for 100% business rate relief?

Daily COVID-19 Update 19th March 2020: Are you eligible for 100% business rate relief? We have set out which businesses qualify here. Business Rate Holiday information. The Government advice has been received about which businesses will receive 100% business rate relief which we have set out for you below:

Properties that will benefit from the relief will be occupied properties that are wholly or mainly being used:

  • as shops, restaurants, cafes, drinking establishments, cinemas and live music venues,
  • for assembly and leisure; or
  • as hotels, guest & boarding premises and self-catering accommodation

The government considers shops, restaurants, cafes, drinking establishments, cinemas and live music venues to mean:

Buildings that are being used for the sale of goods to visiting members of the public:

  1. Shops (such as: florists, bakers, butchers, grocers, greengrocers, jewellers, stationers, off licences, chemists, newsagents, hardware stores, supermarkets, etc)
  2. Charity shops
  3. Opticians
  4. Post offices
  5. Furnishing shops/ display rooms (such as: carpet shops, double glazing, garage doors)
  6. Car/caravan showrooms
  7. Second-hand car lots
  8. Markets
  9. Petrol stations
  10. Garden centers
  11. Art galleries (where art is for sale/hire)

Buildings that are being used for the provision of the following services to visiting members of the public:

  1. Hair and beauty services (such as: hairdressers, nail bars, beauty salons, tanning shops, etc)
  2. Shoe repairs/key cutting
  3. Travel agents
  4. Ticket offices e.g. for theatre
  5. Dry cleaners
  6. Launderettes
  7. PC/TV/domestic appliance repair
  8. Funeral directors
  9. Photo processing
  10. Tool hire
  11. Car hire

Buildings that are being used for the sale of food and/or drink to visiting members of the public:

  1. Restaurants
  2. Takeaways
  3. Sandwich shops
  4. Coffee shops
  5. Pubs
  6. Bars

Buildings which are being used as cinemas

Buildings that are being used as live music venues

The government consider assembly and leisure to mean:

Buildings that are being used for the provision of sport, leisure and facilities to visiting members of the public (including for the viewing of such activities).

  1. Sports grounds and clubs
  2. Museums and art galleries
  3. Nightclubs
  4. Sport and leisure facilities
  5. Stately homes and historic houses
  6. Theatres
  7. Tourist attractions
  8. Gyms

Buildings that are being used for the assembly of visiting members of the public.

  1. Public halls
  2. Clubhouses, clubs and institutions

The government consider hotels, guest & boarding premises and self-catering accommodation to mean:

Buildings where the non-domestic part is being used for the provision of living accommodation as a business:

  1. Hotels, Guest and Boarding Houses
  2. Holiday homes
  3. Caravan parks and sites

It was also announced on 18th March that private childcare providers will also be included within the 100% rate relief during 2020/21.

The list set out above is not intended to be exhaustive as it would be impossible to list the many and varied uses that exist within the qualifying purposes.


A £25,000 grant will be provided to retail, hospitality and leisure businesses operating from smaller premises, with a rateable value between £15,000 and £51,000.

Any inquiries on eligibility for, or provision of, the reliefs should be directed to the relevant local authority. Guidance for local authorities on the business rates holiday will be published by 20 March.

The government will provide additional funding for local authorities to support small businesses that already pay little or no business rates because of small business rate relief (SBBR). This will provide a one-off grant of £10,000 to businesses currently eligible for SBRR or rural rate relief, to help meet their ongoing business costs.

If your business is eligible for SBRR or rural rate relief, you will be contacted by your local authority – you do not need to apply.

Will these COVID19 grant schemes be subject to tax?

Yes the COVID19 grant schemes are subject to tax.

  • Grant income received by a business is taxable therefore the Small Business Grants,
    and Retail, Hospitality and Leisure Grants will be subject to tax.
  • Only businesses which make an overall profit once grant income is included will be
    subject to tax.

Small business rates relief

You can get small business rate relief if:

  • your property’s rateable value is less than £15,000
  • your business only uses one property – you may still be able to get relief if you use more

Support for businesses through the Coronavirus Business Interruption Loan Scheme

A new temporary Coronavirus Business Interruption Loan Scheme, delivered by the British Business Bank, will launch next week to support primarily small and medium-sized businesses to access bank lending and overdrafts.

The government will provide lenders with a guarantee of 80% on each loan (subject to a per-lender cap on claims) to give lenders further confidence in continuing to provide finance to SMEs.

The government will not charge businesses or banks for this guarantee, and the Scheme will support loans of up to £5 million in value. Businesses can access the first 6 months of that finance interest-free, as the government will cover the first 6 months of interest payments.

Further details, including on the lenders providing access to this scheme will be announced in the coming days, and the scheme will be available from early week commencing 23 March 2020.

Rateable Value

You can check your property’s rateable value here:

Team HB will be updating our clients and contacts as the government released new information – we want to assure you that we will be here throughout this crisis for our clients and contacts, if you have any concerns at all please do not hesitate to contact us.

Our business contingency plan is in place and we will do everything we can to support our clients during this uncertain period, please do not hesitate to contact us here by email or call 01992 444466 if you have any concerns or queries regarding the above or anything to do with the COVID-19 outbreak. We are here for you during this difficult time.

If you missed our earlier mail out on “What you can do to help your business/sole trade through the COVID-19 crisis” please click here.

Stay safe & healthy

From all the Team at HB Accountants

The information contained above is for general guidance purposes only. Whilst every effort has been made to ensure the contents are accurate, please note that each individual has different circumstances and it is essential that you seek appropriate professional advice before you act on any of the information contained herein. HB Accountants can accept no liability for any errors or omission or for any person acting on or refraining from acting on the information provided in the above

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