MORE than 600,000 retail, hospitality and leisure sites across the UK will be able to claim a one-off grant of up to £9,000, the UK Government has announced in a £4.6 billion aid package aimed at helping British businesses get through the latest lockdowns.

Rishi Sunak also announced a further £594 million for local authorities and devolved administrations to support businesses not eligible for the grants.

The new money will mean the Scottish Government will receive £375m, the Welsh Government £227m and the Northern Ireland Executive £127m.

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The Chancellor said: “The new strain of the virus presents us all with a huge challenge and, whilst the vaccine is being rolled out, we have needed to tighten restrictions further.

“Throughout the pandemic we’ve taken swift action to protect lives and livelihoods and today we’re announcing a further cash injection to support businesses and jobs until the spring.

“This will help businesses to get through the months ahead and, crucially, it will help sustain jobs, so workers can be ready to return when they are able to reopen.”

The payments will be based on the size of each store, pub, cafe or hotel tied into the business rates typically paid by each business. The smallest sites will be able to claim up to £4,000 and medium-sized ones £6,000.

However, the Chancellor stopped short of extending the business rates holiday, which ends in April, despite calls from retail and hospitality leaders for such a move.

Other noticeable absences being called for by business groups and unions include a VAT cut and improvements to sick pay or support for working parents.

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On Monday night, Helen Dickinson, Chief Executive of the British Retail Consortium, said: “The biggest difference the Government can make is to extend business rates relief from April for those hardest hit by repeated lockdowns.”

According to real estate specialists Altus Group, 401,690 non-essential shops, 64,537 pubs/restaurants, 20,703 personal care facilities and 7,051 gyms and leisure centres are now closed.

The new one-off grants come in addition to grants worth up to £3,000 for closed businesses, and up to £2,100 per month for impacted businesses once they reopen.

The UK Government has already provided £1.1bn of discretionary funding for local authorities, extended the furlough scheme until April and taxpayer-backed business loans until March.

Roger Barker, Director of Policy at the Institute of Directors, said: “This new grant package is welcome and will go some way to reassuring the worst affected businesses.

“We are particularly pleased the Treasury has taken on board our recommendation to increase the discretionary local authority grant fund. This policy has helped to reach those who haven’t been able to access other support. The Government should be prepared to top up the fund if necessary.”

He added: “The Chancellor must remain wary of a Spring cliff-edge in business support as the furlough scheme and other support measures unwind.

“Businesses will also be keen for the Government to continue setting out its plans for the vaccine roll-out, to support their planning. The path of the virus is extremely uncertain, and Government must be agile in its response to prevent lasting economic damage.”