Sunderland gets £93m in virus support - and counting

Businesses in Sunderland have received around £93m in support through grants and rates relief during the coronavirus pandemic, new figures reveal.
Coronavirus business support in Sunderland hits £92mCoronavirus business support in Sunderland hits £92m
Coronavirus business support in Sunderland hits £92m

Figures from the House of Commons Library show that 4,101 businesses in the city were identified as eligible for either a Small Business Fund grant or a help from the Retail, Hospitality and Leisure Fund – with the Government initially allocating £52.9m to Sunderland City Council to divide among companies.

By the time both schemes wrapped up in September, 3,977 firms had received £45.3m – 86% of the initial pot.

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Firms excluded from these grants could still receive cash through a discretionary scheme – with councils able to award up to £25,000 to businesses.

The figures show Sunderland City Council handed out 201 discretionary grants totalling £2.4m by the end of September.

Subsequent lockdowns prompted further Government support packages and, by January 17, the area had received another £3.5m, covering 1,667 business properties.

Pubs were also eligible for a one-off £1,000 payment if they were impacted by closures over Christmas and 102 had claimed the grant in city by mid-January and, since November, local authorities have also had powers to award further cash to businesses which have not benefited from other grant schemes.

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Sunderland City Council had given out 361 discretionary scheme grants by January 17 – totalling £561,144.

Business rate relief also meant that 1,490 eligible properties had been relieved of paying £41.6m, meaning businesses in the city have received around £93m in support so far – not including cash provided through the furlough scheme or the controversial Eat Out to Help Out scheme.

The Government's £5bn restart scheme – launched on April 1 – will see non-essential retail business able to access up to £6,000, while businesses in the hospitality, accommodation, leisure, personal care and gym sectors will be eligible for grants of up to £18,000.

Councils have been urged in a letter to release grant funding to business owners “as soon as possible” to help boost the economy, after a warning that it had taken too long for previous funds to be released.

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A spokesman for the Local Government Association said councils have had to come to terms with a "rapidly changing landscape and guidance" and are

"working fast to ensure businesses can receive funding as quickly as possible".