Support for businesses

Government financial support for business

Business Rates Relief

The business rates multiplier will be frozen in 2022-23, which is a tax cut for all ratepayers worth £4.6 billion over the next five years. Eligible retail, hospitality, and leisure businesses will also benefit from a new temporary 50% Business Rates Relief worth £1.7 billion.

Green reliefs for Business Rates

The Government has brought forward the introduction of targeted business rate exemptions from 1 April 2023 to as soon as possible after 1 April 2022 for eligible plant and machinery used in onsite renewable energy generation and storage; and also 100% relief for eligible low-carbon heat networks with their own rates bill to support the decarbonisation of non-domestic buildings. Both measures will be in force until 31 March 2035.

Tax cuts and deferrals

VAT relief for energy saving materials

The Government has expanded the scope of VAT relief available for energy saving materials and ensured that households having energy saving materials installed pay 0% VAT. The changes took effect in April 2022.

Loans

Start Up loan for your business

Apply for a government-backed Start Up Loan of £500 to £25,000 to start or grow your business.

Recovery Loan Scheme

(launched on 6 April 2021)

The Recovery Loan Scheme ensures businesses of any size can continue to access loans and other kinds of finance up to £10 million per business once the existing COVID-19 loan schemes close.

Recovery Loan Scheme - Guidance changed from 1 January 2022

The Recovery Loan Scheme from 6 April - 31 December 2021 ensured businesses of any size could continue to access loans and other kinds of finance up to £10 million per business once the existing COVID-19 loan schemes closed, providing support as businesses continue to recover and grow following the disruption of the pandemic and the end of the transition period.

  • The finance can be used for any legitimate business purpose, including growth and investment.
  • The government guarantees 80% of the finance to the lender to ensure they continue to have the confidence to lend to businesses.

New offer from 1 January 2022

The Recovery Loan Scheme has now been extended until 30 June 2022. All offers made from 1 January 2022 will need to meet the following criteria:

  • The scheme will only be open to small and medium sized enterprises
  • The maximum amount of finance available will be £2 million per business
  • The guarantee coverage that the government will provide to lenders will be reduced to 70%

Other financial support

To find other financial support for your business including list of financial institutions, investors, external grants, loans and expert advice please visit the government finance finder tool kit.

Renewable energy finance

Newable is a company which offers specialist funding solutions to UK-based SMEs providing, advice on growing a business. 

It provides specialist funding solutions for renewable energy projects such as electric vehicle charging points, agricultural, composting and recycling equipment, LED lighting and solar PV (photovoltaic) systems.

Commercial rent code of practice following the COVID-19 pandemic

This Code is intended to assist landlords and tenants in resolving disputes relating to rent owed as a result of premises having been closed or having had business restricted during the COVID-19 pandemic. The Code seeks to do this by:

  • providing guidance on behaviours and negotiation aimed at assisting any business to resolve unpaid rent and to promote best practice within landlord and tenant relationships;
  • providing guidance on the Act, including statutory guidance about how landlords and tenants are to make a reference to arbitration and explaining the modifications made by the Act to remedies for unpaid rent.

See guidance to assist arbitrators. The intent is that the arbitration process, including the paperwork required, is simple and streamlined, enabling cases to conclude rapidly and landlords and tenants to return to business as usual.

Spring Statement 2022

More information can be found here.