Government announces £20 million in grants for small businesses

Small businesses can apply for grants of between £1,000 and £5,000 to cover the cost of financial advisors, accountants or upgrade IT systems.

11 August 2020

What is the new government grant scheme?

On 30th July, the government announced a new grant scheme that would help small businesses invest in their recovery. The aid package totals £20m, and is designed to help businesses adapt to the new ways of working brought about by coronavirus.

Business owners will be able to apply for grants of between £1,000 and £5,000, to spend on:

  • technology or IT equipment
  • accounting and financial services
  • human resources
  • legal services

Use of the grant appears to be relatively flexible – for example, you could use the funds to host an event or webinar giving advice on working through coronavirus.

How do I apply for this grant?

The funds will be distributed by the government’s LEP Growth Hubs throughout England. There’s limited information at the moment regarding whether businesses in Wales, Scotland or Northern Ireland will be able to apply for this grant.

Find your local LEP Growth Hub.

When can I apply for this grant?

Because these grants will be issued by local Growth Hubs, it’s likely that they’ll be available as and when each hub is ready. Find your local hub using the link above and check their website for the latest information.

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Dan is part of the content team at iwoca. He writes articles explaining financial topics, as well as guides on the best support for small businesses during coronavirus.

Article updated on: 11 August 2020

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