Publication - Advice and guidance

Coronavirus (COVID-19) local restrictions grants: information for businesses

Published: 14 May 2021
Last updated: 21 Jul 2021 - see all updates

Financial support for businesses impacted by covid restrictions, including the softplay and wedding sectors.

Coronavirus (COVID-19) local restrictions grants: information for businesses
Route Map Extension Restrictions Fund

Route Map Extension Restrictions Fund

On 22 June 2021 the Scottish Government announced that local authorities will be kept at their current Protection Levels (PL) for an additional three-week period with effect from 28 June 2021 with the next review on 13 July. Additional financial support will be offered for eligible businesses that are subject to ongoing restrictions at Protection Levels 1 and 2 as a result of the extension of the Routemap and that were previously in receipt of support through the Strategic Framework Business Fund.

This fund will provide grants of up to £750 per week, depending on Rateable Value, sector, and the duration of these restrictions - subject to review this is currently expected to be 13 July - to specific businesses that previously received financial support through the Strategic Framework Business Fund. 

Retail, accommodation providers that are not impacted by hospitality regulations, and sectors closed by law elsewhere in Scotland at Level 0 or 1 are not eligible for this additional support.

What you will get

Businesses in Protection Level 1

Specified hospitality businesses that the Regulations require to modify its operations as a result of being in Protection Level 1 are eligible for:

  • a grant of £525 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £350 each week for properties with Rateable Value up to £51,000

Specified casino businesses that the Regulations require to modify its operations as a result of being in Protection Level 1 are eligible for:

  • a grant of £525 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £350 each week for properties with Rateable Value up to £51,000

Specified nightclub businesses that the Regulations require to modify its operations as a result of being in Protection Level 1 are eligible for:

  • a grant of £750 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £500 each week for properties with Rateable Value up to £51,000

Businesses in Protection Level 2

Businesses in the Soft Play (Soft Play businesses must have separate 'pay to play' charges (for clarity, this grant is not available to businesses that have a courtesy soft play area for customers i.e. car showroom, restaurant, airport, dentists waiting area, or is free to use as part of a larger entity etc). If a 'pay to play' soft play is within a multiple use unit, and use is not separately defined in the valuation roll, the 'pay to play' soft play's Rateable Value will be determined on the percentage of floor space it occupies including a pro-rata percentage of any attached café/retail area.) sector that the Regulations[2] require to remain closed at Protection Level 2 but were permitted to open in other parts of Scotland from 5 June 2021 are eligible for:

  • a grant of £750 each week for properties with Rateable Value of £51,001 or over or 
  • a grant of £500 each week for properties with Rateable Value up to £51,000

Specified hospitality businesses that the Regulations require to modify its operations as a result of being in Protection Level 2 are eligible for:

  • a grant of £525 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £350 each week for properties with Rateable Value up to £51,000

Specified casino businesses that the Regulations require to modify its operations as a result of being in Protection Level 2 are eligible for:

  • a grant of £525 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £350 each week for properties with Rateable Value up to £51,000

Specified nightclub businesses that the Regulations require to modify its operations as a result of being in Protection Level 2 are eligible for:

  • a grant of £750 each week for properties with Rateable Value of £51,001 or over or
  • a grant of £500 each week for properties with Rateable Value up to £51,000

How grants will be paid

Where possible grants will be processed by local authorities by Friday 2 July (and weekly thereafter, as appropriate) to businesses that meet the eligibility criteria and which have previously received support through the Strategic Framework Business Fund. Businesses do not need to apply for this grant funding.

Eligibility 

To be eligible for financial support through this fund you must operate a business that is impacted by our decision to retain your local authority being kept in the current Protection Level 1 or 2 Restrictions in the area.

Hospitality premises include restaurants, including restaurants and dining rooms in hotels or members’ clubs; cafes; bars, including bars in hotels or members’ clubs; and public houses. They do not include accommodation premises where these features are not present. Members’ clubs may include social or sports clubs with a liquor licence. Wet pubs and those that serve food are both included.  

Only businesses that have previously received financial support through the Strategic Framework Business Fund are eligible for a grant through this scheme. 

These support applies to restriction levels which apply with effect from 28 June 2021, and grants will not be backdated prior to this period. 

How to apply

The Grants will be paid automatically to eligible businesses, there is no application process for this fund.

Will grants be subject to tax? 

Grant income received by a business is taxable. The Routemap Extension Restrictions Grant will need to be included as income in the tax return of the business. 

Only businesses that make an overall profit once grant income is included will be subject to tax. 

Payments made to businesses will fall into the 2021/22 tax year. Unincorporated businesses will be taxed when they receive the grant income.


First published: 14 May 2021 Last updated: 21 Jul 2021 -