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Hardship Grant Extension for Small Businesses

South Tyneside Council is extending the support to small businesses to help them through the economic impact of the pandemic.

Last month the Council established a Small Business Hardship Grant Fund to help those small businesses which had fallen outside the scope for funding from Central Government's Covid-19 financial support schemes to date.

Funded by the Council's Additional Restrictions Grant allocation, this is now being extended for businesses which provide in person face-to-face services which have had to close and were not eligible for the main Small Business Hardship Grant. This includes driving instructors, mobile hairdressers and beauticians.

Those applying must be able to demonstrate hardship as a result of a significant impact on their business due to the Coronavirus pandemic.  

Businesses who can demonstrate ongoing business-related fixed costs (excluding wage costs) amounting to a minimum of £100.00 per month will receive a grant of £1,000. Those who can demonstrate ongoing business-related fixed costs (excluding wage costs) amounting to a minimum of £200.00 per month will receive a grant of £2,000.

Eligible businesses:

  • Sole traders, limited companies and limited liability partnerships;
  • Must be based in South Tyneside;
  • Employ less than ten people;
  • The business must provide in-person face to face services and have been mandated to close by local or national restrictions.
  • Must be currently trading (or would be if coronavirus restrictions were not in place) and have been trading before 11 March 2020;
  • Should be able to demonstrate ongoing business-related fixed costs (excluding wages) amounting to a minimum of £100 per month;
  • Must have a business bank account or be able to demonstrate business transactions from a personal bank account;
  • Must be able to demonstrate a significant drop of income due to coronavirus restrictions;
  • Must be able to provide clear evidence they have not been able to access other grant schemes including Local Restrictions Support; Additional Restrictions; Retail, Hospitality and Leisure; Local Authority Discretionary (Small Business Recovery Fund); Christmas Support Payment, Closed Business Support Payment and Small Business Hardship (main).

John Scott, Head of Economic Growth at the Council, said: "There is a limited amount of funding available so not all businesses applying will receive a grant. However, I would encourage people to check the eligibility criteria carefully and apply if they think they meet them."

On-line applications are now open at www.southtyneside.gov.uk/business For more information call the Business Support Hub on (0191) 481 3456 or email business@southtyneside.gov.uk