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The four-week national lockdown from 5 November 2020 requires the council to determine any additional measures necessary to support the city over and above the support already in place and/or simplifying timescales or parameters for that support. The Council is addressing this by:
• implementing national business grant support schemes, both mandatory, and those where the council has some discretion to address local economic needs;
• confirming support that it provides within its own authority (e.g., to market and street traders in Cambridge); and
• confirming support it provides within its own authority through city centre car-parking arrangements.
Decision Maker: Programme Director – Major Regeneration
Decision published: 16/11/2020
Effective from: 13/11/2020
Decision:
Cambridge City
Council
Officer Urgent
Decision Record
Decision(s) taken: |
To take action to address the implications for
businesses and the city centre and to provide support for them in the context
of the Coronavirus restrictions |
||
Decision of: |
Strategic
Director 1 |
||
Date
of decision: |
12
November 2020 |
|
|
Matter
for Decision: |
The four-week national lockdown from 5 November 2020
requires the council to determine any additional measures necessary to
support the city over and above the support already in place and/or
simplifying timescales or parameters for that support. The Council is
addressing this by: ·
implementing national business grant
support schemes, both mandatory, and those where the council has some
discretion to address local economic needs; · confirming support that it
provides within its own authority (e.g., to market and street traders in
Cambridge); and ·
confirming
support it provides within its own authority through city centre car-parking
arrangements. |
||
Any alternative options considered and rejected: |
The decisions
are taken based on the latest guidance and information at 12 November 2020
and will be kept under review. |
||
Reason(s)
for the decision including any background papers considered: |
An urgent decision under paragraph 2 of section 9, Council Procedure
Rules was necessary to enable business support grants, support for market and
street traders and city centre car-parking arrangements to be finalised and
implemented in the context of the four-week national lockdown from 5 November
2020. The
Government’s announcement of the national lockdown on 31 October 2020
followed by the start of the lockdown on 5 November 2020 requires decisions
outside of the normal cycle with additional delegated authority to oversee
detailed implementation where appropriate. |
||
Conflicts of interest and dispensations
granted by the Chief Executive: |
None. |
||
Other
Comments: |
The Executive Councillors for (i) Finance
and Resources (ii) Climate Change, Environment and City Centre, and (iii)
Transport and Community Safety were consulted and approved the Strategic
Director’s decision. |
||
Reference: |
2020/OfficerUrgency/SR+EC+PT/16 |
||
Contact
for further information: |
Fiona Bryant, 01223 457325 fiona.bryant@cambridge.gov.uk |
ADDRESSING THE IMPLICATIONS FOR BUSINESSES AND THE CITY CENTRE in the context of
the Coronavrius ReSTRICTIONS
1.
Introduction
and context
1.1 Cambridge City
Council has introduced a number of initiatives to support the city through the
Coronavirus pandemic.
1.2 On 31 October 2020, the Government
announced a four-week national lockdown from 5 November to 2 December 2020 to
help address a second wave of the pandemic. This has required following types
of businesses and venues to close or restrict how they provide goods and
services for the duration of the national lockdown:
·
non-essential retail
·
hospitality venues
·
accommodation
·
leisure and sports facilities
·
entertainment venues
·
personal care facilities
Guidance on what this period requires can be found
at www.gov.uk/guidance/new-national-restrictions-from-5-november#businesses-and-venues.
1.3
The announcement of the lockdown, and its subsequent start, have
brought forward the need to review support arrangements and confirm those
arrangements remaining in place, any small changes required to those, for
example in terms of timescale for the support, as well as any new initiatives.
1.4
This report outlines the above, and requests approval on any new
or amended support to be put in place. The report also asks for approval for
delegated authority
2.1
The Strategic Director, following
consultation and agreement with the Executive Councillor for Finance
and Resources:
a. confirms
the intention to introduce the Local Restrictions Support Grant scheme, a
mandatory scheme, in line with the Section 31 grant determination and
Government support and the information in paragraphs 3.3-3.7
b. approves
the initial proposals in paragraphs 3.8-3.15 for support to be provided via the
Additional Restrictions Grant (ARG) Scheme in line with Section 31 grant
determination, with the Government Guidance for the ARG, and with local
economic need over the current national lockdown period from 5 November 2020;
c. will
finalise the local policy and process for the Additional Restrictions Grant
scheme, approve updates (where required by government guidance and updates) and
oversee application assessment and grant distribution relating to the Covid-19
national lockdown from 5 November 2020;
d. will,
in consultation with the Executive Councillor, Chair and Spokes, develop and
agree amended proposals for support under the Additional Restrictions Grant
scheme in line with further Government guidance and local economic need.
Further development of the scheme is required to support businesses through
further restrictions where ARG support is appropriate, up to and including 31st
March 2021 for grants approval, and where appropriate for grant use in 2021/22
in line with Government decision over timescales for the funding, and as
outlined in section 3.14. Support will be in line with the provisions of the
Local Economic Recovery Strategy and the Greater Cambridge local economic needs
and opportunities will underpin this further development;
2.2
The Strategic Director, following consultation
and agreement with the Executive Councillor for Climate Change, Environment and City Centre:
a.
approves the introduction of a rental holiday
for all market and street traders during the initial periods of national
lockdown from 5 November 2020 and, with agreement by Exec Councillor, for
subsequent periods of national lockdown required on or before 31 March 2021;
b. approves the
extension of a 25% discounted pitch fee for all market traders from the
end of the national lockdown period until 31 March 2021;
c.
approves the arrangement that, up until 31 March 2021, any market
trader who chooses to surrender their pitch may do so without giving notice and
will also have the right to return to take up a pitch again (after that
date, they will need to make a new application in order to return); and
d.
approves the waiver of normal notice
periods until 31 March 2021 for any market trader wishing to terminate lease
permanently
2.3 The Strategic Director, in consultation
and agreement with the Executive Councillor for Transport & Community
Safety:
a. approves
proposals set out in section 5 for
the introduction of free city centre worker permits for city centre car
parks (as agreed by the Council’s car parking team), primarily aimed at helping
lower paid essential business workers during period(s) of national lockdown up
until March 2021; and
b. delegates
authority to the Head of Commercial Services to implement this approval in line
with best practice, and compliance requirements.
Background
3.1 Earlier this
year, the Council implemented a number of government-funded Covid‑19-related,
which have now closed and are no longer available. These include:
a. £13.9 million for businesses
in the Retail, Hospitality and Leisure sectors (based on 507 properties with a
rateable value between £15,000 and £51,000 which received £25,000 single grant
payments each and 121 properties with a rateable value below £15,000, which
received £10,000 single grant payments each)
b.
£8.31 million in Small Business Grant
payments to 831 business-rated companies (£10,000 single grant payments each);
c. £1.19
million to small businesses through additional funding for which the Council
could apply some discretion in meeting local economic circumstances. The
Council scheme focussed on businesses in flexible officer space, market and
street traders and charities and not-for-profit organisations, which were not
eligible for the previous two Covid-19 grant payments (3.1 a and b).
3.2 Although those earlier government-funded
schemes were based on different applicant categories and grant-funding levels
(not directly comparable with the new grant schemes introduced by the
government for the national lockdown from 5 November), it is worth noting
that the Council is able to draw on this previous experience and the practical
arrangements put in place at that time. Now, the Government has asked the City
Council to implement two new Covid-19 grant schemes for business support in
relation to the national lockdown.
Local Restrictions Support Grant (LRSG)
3.3 This is a
mandatory, national scheme applying across local government in England and
covers businesses in properties with a rateable value. There are different
versions of the scheme which apply to different Covid alert levels (and whether
or not businesses are forced to close), but the current focus is on the scheme
that applies in periods of national lockdown[1].
3.4 Under the LRSG scheme during a national lockdown, a single grant to cover the
four-week period will be paid to each eligible business. Businesses with more
than one qualifying property will receive more than one grant. The rate of
payment for eligible businesses will be:
a.
For properties with a rateable value of £15,000 or
under, grants will be £1,334 for the four weeks
b.
For properties with a rateable value of over
£15,000 and below £51,000, grants will be £2,000 for the four weeks
c. For
properties with a rateable value of £51,000 or over, grants will be £3,000 for
the four weeks.
This
‘£51,000 or over’ rateable value category is worth noting because the previous
Covid-19 grant schemes earlier this year were limited to businesses with a
rateable value below £51,000.
3.5 The Government
has allocated the City Council £2.727 million to distribute to eligible
businesses relating to the current four-week national lockdown period
(5 November to 2 December). This allocation currently represents 90% of
the of the
estimated grant funding requirement, that was calculated using Valuation Office
Agency (VOA) data, based on the categories of business relevant to the closures
imposed by Government. If the allocation proves insufficient for all eligible
businesses, top-up funding will be provided. Government have also indicated
that the grant allocation will be extended if the
national lockdown restrictions are extended. Should restrictions on leaving
national lockdown be phased via a Government decision to move through other
Covid alert levels[2], the grant provisions may be amended by Government
in line with their guidance on mandatory grants for businesses within specific
tiers.
3.6 The Grant payments to the Council are made under section 31 of the
Local Government Act 2003 and in line with the section 31 grant determination
approved by the Treasury. The grant will be managed in accordance the relevant
official guidance (see background papers in Section 8, below).
3.7 The LRSG is a mandatory grant. It therefore does not require
an urgent decision but is included in this paper for information and
completeness only. The LRSG scheme for the period of the national lockdown is
being launched in the week ending Friday 13 November.
Additional
Restrictions Grant (ARG)
3.8 Support under this
scheme will be in line with Additional Restrictions Grants: guidance for
Local Authorities. On the basis of £20 per head of population[3], the Government has allocated Cambridge
£2.495 million for this scheme. It has indicated that this is a one-off payment
under such a scheme, and may need to meet needs up to end of March 2021 and
even into 2021/22. Therefore, the Council needs to consider the immediate needs
for support during the current national four‑week lockdown, but also
those beyond that period, for which, at the moment, we do not have specific
guidance.
3.9 The Government
guidance suggests three ways in which local authorities may wish to use their
Additional Restrictions Grant via direct grants to businesses:
a. to help those businesses which – while not
legally forced to close – are nonetheless severely impacted by the restrictions
put in place to control the spread of Covid-19.(e.g., businesses which supply
the retail, hospitality, and leisure sectors, or businesses in the events
sector);
b. to help businesses outside the business rates
system, which are effectively forced to close – for example market traders; and
c.
to provide
additional support to larger local businesses which are important to the local
economy, on top of the funding provided to those businesses via the LRSG
(Closed) scheme, with due reference to State Aid.
3.10 Councils may allocate funding to meet local
economic needs. Once the Council has finalised its local policy approach, it
will be important to apply this approach consistently and without exceptions.
3.11
Council Officers have considered the
guidance and the provisions within the grant allocations letter and the
remaining gaps in clarity in detailed spend period for the funding allocation
which remain to be resolved. They have considered the key themes provided by
Government and how these might be best applied within the city, gaps where
businesses may have received no funds up to date, and also the potential for
consistency across local authorities in the Cambridge and Peterborough area. We
are also working to ensure a simple framework which can be applied to get
funding out to those who need it as soon as practically possible within the
relevant compliance parameters.
The
Additional Restrictions Grant proposal
3.12 Using previous work
to identify gaps in other support and to meet local economic need, the proposal
is to initially provide the following support in the form of a single payment
under the ARG during, initially, for the four-week lockdown period. Table 1
(see next page) sets out the proposed applicant categories and grant levels.
a.
For those businesses forced to close,
but nonetheless not eligible for the Local Restrictions Support Grant, the
payments are in line with the mandatory grant provided under the LRSG.
b.
For those not forced to close, but
where the national lockdown restrictions have severely impacted business, lower
grant figures will apply as these businesses are allowed to trade.
3.13 The proposals cover groups lying outside of
those eligible for the LRSG and where we have identified potential gaps in
support for businesses impacted by the national lockdown period, even where
they haven’t been required to close.
a.
Businesses in Cambridge not paying
business rates themselves but located in properties for which business rates
are paid
b.
Supply chain businesses in Cambridge
supporting the retail, hospitality and leisure (whether or not paying business
rates themselves).
c.
Market and street traders operating in
Cambridge.
d.
Hardship fund for self-employed people
in Cambridge excluded from the Self-Employed Income Support Scheme: (eg, those
who started businesses after the qualifying date for SEISS hair-dressers,
beauty therapy, children’s entertainers operating in others’ homes or other
community venues)[4].
3.14
The rationale for the two payment
levels are that we believe that, although many businesses will be significantly
impacted by the national lockdown, those required to close will be more heavily
impacted than those who are able to remain open.
3.15 As
the longevity of the grant extends beyond the immediate lockdown period, the
Council will monitor the initial scheme and develop any further grant offers
and or wider business support proposals, working closely with partners. The
provisions of the Local Economic Recovery Strategy and the Greater Cambridge
local economic needs and opportunities will underpin this further development.
Table 1: Additional Restrictions Grant: proposed applicant categories and
grant levels
|
|
Grant level |
|
Applicant
type |
Banding |
Forced to
close |
Not forced
to close but faces severe impact: |
Businesses not paying business rates themselves but
located in properties for which business rates are paid |
Annual rent up and including £15,000 |
£1,334 |
£934 |
Annual rent of more than £15,000 but below £51,000 |
£2,000 |
£1,400 |
|
Annual
rent of £51,000 or more |
£3,000 |
£2,100 |
|
Supply chain businesses supporting the retail,
hospitality and leisure (whether or not paying business rates themselves). |
Rateable value or annual rent up and including
£15,000 |
£1,334 |
£934 |
Rateable value or annual rent more than £15,000 but
below £51,000 |
£2,000 |
£1,400 |
|
Rateable
value or annual rent of £51,000 or more |
£3,000 |
£2,100 |
|
Market and street traders |
Flat
rate |
£500 |
£350 |
* Hardship Fund for Self-employed business owners
falling outside of the Self-Employed Income Support Scheme *Please note that this group is still subject to
further advice from BEIS |
Flat
Rate |
£500 |
£350 |
4.
Additional Support for Market and Street Traders.
4.1 The seven-day market in Cambridge
continues to play an important part in the City’s offer to residents and
visitors alike.
4.2 The Council has provided continued support
to traders since the early lockdown in March via Urgent Decisions taken in
March and September and subsequently reported to Environment & Community
Scrutiny Committee on 2 July and 1 October respectively.
4.3 Prior to the pandemic, the market had
around 170 traders, which has dropped to around 130 active traders. Monthly
income has dropped by £30,000. Street traders normally provide an income of
around £5,000-£6,000 per month
4.4 It is anticipated that only about 30
market traders and 26 street traders (out of 36 street traders) could trade as
essential traders, during the national lockdown.
4.5 To help sustain General and Sunday market occupancy
figures in the future and a viable city centre market during this lockdown
period, and to address uncertainties arising on further restrictions applied,
the following measures are proposed:
a. to provide market and street traders with a rent-free period for a
four-week period over the proposed national lockdown, and where required, to
apply similar support to further periods of national lockdown, where agreed by
executive Councillor, up until 31 March 2021;
b. To apply a 25% discount to all General and Sunday Market traders pitch
fees for any periods outside national lockdown periods up until 31 March 2021;
c. To extend the ‘relinquishing of licence’ measure for market traders
(i.e., removal of the four-week notice period condition) from the 30
November 2020 (proposed in the urgent decision taken in June and reported to
Committee in October 2020) to 31 March 2021.
d.
Market traders who choose to surrender pitch may do so without
usual notice and have right to return up until 31 March 2021
e. Further
support is available to eligible market traders through the proposed Additional
Resources Grant in section 3 above (see Table 1).
4.6 Based on a recent average four-week income
from trading, the proposal for a four-week rental holiday is estimated to cost
c£50k in income for the council, but the support is based on underpinning
longer term viability for the marketplace.
5.
Car
Parking
5.1 The requirement for social distancing
measures to help prevent transmission of the pandemic in the last six months
has led to Government guidance prioritising car travel when appropriate.
5.2 The Council has continued to help delivery
of services to residents during 2020 through the provision of parking
concessions including free parking permits in the city centre for public and
voluntary sector workers requiring access to support the most vulnerable
residents in their homes. The Council has also supported essential businesses
to remain open during lockdown and provided a period of reduced-price parking
through to the late summer to help encourage customer confidence to return to
the centre in a Covid-safe way after the initial lockdown period.
5.3 In applying any support through changes to
parking, the Council needs to balance the public health and economic recovery
requirements with its commitment to addressing climate change and transport
related emissions.
5.4 In October 2020, an urgent decision by
Executive Councillor agreed that the support for free parking permits for
approved public and voluntary sector workers supporting residents in relation
to the pandemic restrictions would be extended until 31 March 2021.
5.5 The announcement and subsequent start to a
national lockdown has led to a further review of support, and a proposal to
provide further support to essential businesses within the city centre. The
proposal is to:
a.
Introduce a new “city
centre worker” permit providing free access for parking across all
multi-storey car parks except for the Grand Arcade. The permit provides support primarily aimed at
helping lower paid essential business workers to access their workplace in
compliance with the current HMG guidance.
b.
The permit will apply
during the current four-week period of national lockdown, and, by agreement
with Executive Cllr, for any subsequent periods of lockdown occurring up until
31 March 2021.
5.6 In order to manage
the support effectively the following process will apply.
a.
Applications will need to be supported by headed email or
application direct from employers
b.
Ticket will be 24/7 to allow for shift and weekend workers
5.7 Owing to the national lockdown, and the
reduction in visitors to the city centre, the estimated income impact for the
Council is around £1 million during this period. Physically, the car parks will
all have significant empty space provision. Cost of city centre worker permits
for the 4 weeks, based on the earlier lockdown, is estimated to be at a cost of
£100,000.
5.8 Social distance measures in car parks:
Socially distanced car parking is considered unenforceable: bollards would
simply be moved. More substantial and
enforceable measures would be costly, time consuming and likely to be
superseded as the guidance changes. The
current model of supermarket car parking is being replicated during lockdown;
there are no restrictions and the public actively self-police.
5.9 Control Measures in flow:
There are
appropriate signs to:
a.
encourage the use of contactless
payment at exit, reducing the risk presented by use of a keypad and possible
infringement of social distancing at pay machines;
b.
restrict the occupancy car park lifts
by using the Addenbrookes model of footprints sticker in the lift designating
where to stand and changing behaviour
c.
Stairwells to have keep left signs to
maintain social distancing
d.
Signs to encourage the able bodied to
use the stairs
e. Provision
of hand sanitiser to be provided in line with the wider city centre recovery
plan when that is published
|
Key risks |
Mitigations
in place |
6.1 |
The local
business grant support scheme for the national lockdown from 5 November does
not apply government guidance properly. The Government refuses to pay for
some grant payments. |
The
Council’s emerging policy will reflect the latest government guidance as it
becomes available and is updated. |
6.2 |
The Council
has to return to the government some of the business support grant funding
allocated to Cambridge because insufficient eligible applications are
received. |
The Council
will publicise the availability of the business support grants to business
likely to be eligible for a grant and will encourage them to apply. Grant
payment levels will be monitored regularly, and follow-up action taken to
maximise take-up of the scheme by eligible businesses. |
6.3 |
Too many
eligible applications. Cannot pay all these applicants from the government
funding available. |
Businesses
within the business rate system that are required to close as a result of the
four-week national lockdown from 5 November will receive the business grant
support to which they are entitled. For the
Additional Business Support Scheme, used to support businesses required to
close that are outside the business rates system or not required to close but
impacted by the lockdown period will be devised carefully to focus on those
types of business with particular needs: a ‘first come, first served’
approach will be applied to applicants within the Additional Business Support
Grant scheme – and this will be made clear to applicants. |
6.4 |
The Council
pays grants to ineligible applicants in error or to fraudulent applicants. |
The policy
for the business support grant scheme for the national lockdown from 5 November
will feature clear eligibility criteria and anti-fraud measures. Regular
checks will be put in place to ensure accuracy and consistency and to detect
and prevent potential fraud. |
6.5 |
Risk of
access issues for public and voluntary sector workers to city to support
vulnerable residents leading and risk of essential business employees not
accessing work during lockdown in line with government travel guidance of use
of cars where appropriate, resulting in reduced service on essential items to
customers and residents |
Provision
of appropriate support during lockdown period or periods to underpin
essential services |
6.6 |
Risk of
market trader termination of leases resulting in city centre market
degradation, void stalls and reduced income |
Review and
provision of appropriate support to help traders manage through the pandemic
period and support recovery post lockdown |
7.
Implications
7.1 Financial implications:
a.
The Council has received notification
of expected allocations under the LRSG and ARG. Any grant-funding not
distributed by the termination of grant date will need to be returned to the
Government.
b.
The impact of the national lockdown
period of 4 weeks is expected to have an overall impact on car park income of
circa £1 million.
c.
The support for parking permits for
essential city centre business workers for the national lockdown period is
estimated to cost in the region of £100k for the 4-week period, based on the
numbers of permits applied for during the earlier lockdown period. The forecast
would be updated in line with any future national lockdown requirements up
until end of March 2021.
d.
The rent holiday for market and street
traders for the initial national lockdown period is estimated to cost around
£50k for the 4-week period. This forecast would be updated in line with any
future national lockdown requirements up until the end of March 2021
7.2 Staffing implications: A dedicated
officer team will oversee the development of local business support grants
policy, its implementation and the assessment of grant applications, in
addition to existing workloads. This includes managers experienced in co‑ordinating
a range of large‑scale funding programmes and grants schemes, assessing
claims, making payments, managing online applications and preventing fraud.
Many of them were also involved in managing the Covid-19 grants schemes earlier
this year.
The car park arrangements will be managed by the car parks team,
in line with earlier and current permit management.
7.3 Equality and
poverty implications: The Government’s Local Restrictions Support Grant and
Additional Restrictions Grant funding is intended, primarily and predominantly,
to meet the needs of business. That said, officers are mindful of the possible
implications relating to ethnicity, disability and mental health.
a. The
officers co-ordinating the Council’s Covid-19 business support grants will
liaise with colleagues involved in community engagement, inclusion &
cohesion and with the Cambridge Ethnic Community Forum in order to raise
awareness amongst black and minority ethnic communities of the availability of
the grant schemes.
b. Although
the business support grants will be accessed primarily via an online form,
paper-based forms and support will be made available to applicants who do not
find it easy to apply online.
c.
General enquiries made to the business.grants@cambridge.gov.uk
generic email address are closely monitored so that if wider concerns are
raised (e.g., in relation to hardship or mental health) the responses provided
sign-post other support that may be available, such as links to relevant
Council web pages and other useful website (e.g. for Cambridge Citizen’s Advice
Bureau).
7.4 Environmental implications: None
for this report.
7.5 Procurement implications: None for
this report.
7.6 Consultation: There has been no
formal consultation, but discussions have taken place with the other
authorities and business network partners within the Economic Recovery
Sub-Group.
7.7 Legal implications:
a. The
Local Restrictions Support Grant and Additional Restrictions Grant payments to
the Council are made under section 31 of the Local Government Act 2003. The
Council will be responsible for delivering the funding to eligible recipients
and for ensuring that recipients agree to comply with the conditions and
requirements relating to the payment of grant including the circumstances in
which grant can be clawed back and must be repaid.
b.
The Council is aligning its
assessment and management procedures for the Local Restrictions Support Grant
to the relevant official guidance provided by the Department for Business,
Energy and Industrial Strategy. Similarly, the policy and procedures for the
Council’s Additional Business Support Grant will reflect the official guidance
for the Additional Restrictions Grant. As that official guidance makes clear,
the Council’s decisions on eligibility and grant payments are final.
c. In
making grant payments, the Council will observe official guidance that local
authorities “must be satisfied that all State aid requirements have been fully
met and complied with when making grant payments, including, where required,
compliance with all relevant conditions of the EU State aid De-Minimis
Regulation, the EU Commission Temporary Framework for State aid measures to
support the economy in the current COVID-19 outbreak, the approved Covid-19
Temporary Framework for UK Authorities, and any relevant reporting requirements
to the EU Commission.”
8.
Background
papers
Relating to
Business Support Grants
· Local
Restrictions Support Grants: Guidance for Local Authorities, November 2020[5], Department of Business, Energy and
Industrial Strategy;
· Additional
Restrictions Grant: Guidance for Local Authorities, November 2020, Department
of Business, Energy and Industrial Strategy;
Relating to
Market and Street Traders
· Report
on General and Sunday Market Covid Impact to Environment and Community Scrutiny
Committee on 1 October 2020, Cambridge City Council.
Relating to
car-parking
· Record
of urgent decision on Key Public Sector and
Voluntary Sector workers free parking permits, made by the Executive
Councillor for Transport and Community Safety on 28 October 2020, Cambridge City Council;
9. Contact officer:
Name/Job
Title: |
Fiona
Bryant, Strategic Director |
Tel. no: |
07768
238708 |
Email: |
fiona.bryant@cambridge.gov.uk |
[1]. This is an addendum
to the Local Restrictions Support Grant (Closed) scheme.
[2]. That is
‘Very High’ (when the Government requires business to close during local
lockdowns) or ‘High’ (when businesses are not forced to close but some may
experience a severe impact due to other restrictions in place) and ‘Medium’.
[3]. Based on
Office for National Statistics 2019 mid-year population statistics.
[4]. Please
note that this group is still subject to further advice from the Department of
Business, Energy and Industrial Strategy.
[5]. The set of
official guidance on the Local Restrictions Support Grant is divided into
separate documents relating to the Open, Sector and Closed schemes. There is
also an addendum to the Closed scheme which applies during periods of national
lockdown. At such times, the Open and Sector schemes do not apply.
Lead officer: Fiona Bryant
The four-week national lockdown from 5 November 2020 requires the council to determine any additional measures necessary to support the city over and above the support already in place and/or simplifying timescales or parameters for that support. The Council is addressing this by:
• implementing national business grant support schemes, both mandatory, and those where the council has some discretion to address local economic needs;
• confirming support that it provides within its own authority (e.g., to market and street traders in Cambridge); and
• confirming support it provides within its own authority through city centre car-parking arrangements.
Decision Maker: Programme Director – Major Regeneration
Decision published: 16/11/2020
Effective from: 13/11/2020
Decision:
Cambridge City
Council
Officer Urgent
Decision Record
Decision(s) taken: |
To take action to address the implications for
businesses and the city centre and to provide support for them in the context
of the Coronavirus restrictions |
||
Decision of: |
Strategic
Director 1 |
||
Date
of decision: |
12
November 2020 |
|
|
Matter
for Decision: |
The four-week national lockdown from 5 November 2020
requires the council to determine any additional measures necessary to
support the city over and above the support already in place and/or
simplifying timescales or parameters for that support. The Council is
addressing this by: ·
implementing national business grant
support schemes, both mandatory, and those where the council has some
discretion to address local economic needs; · confirming support that it
provides within its own authority (e.g., to market and street traders in
Cambridge); and ·
confirming
support it provides within its own authority through city centre car-parking
arrangements. |
||
Any alternative options considered and rejected: |
The
decisions are taken based on the latest guidance and information at 12
November 2020 and will be kept under review. |
||
Reason(s)
for the decision including any background papers considered: |
An urgent decision under paragraph 2 of section 9, Council Procedure
Rules was necessary to enable business support grants, support for market and
street traders and city centre car-parking arrangements to be finalised and
implemented in the context of the four-week national lockdown from 5 November
2020. The
Government’s announcement of the national lockdown on 31 October 2020
followed by the start of the lockdown on 5 November 2020 requires decisions
outside of the normal cycle with additional delegated authority to oversee
detailed implementation where appropriate. |
||
Conflicts of interest and dispensations
granted by the Chief Executive: |
None. |
||
Other
Comments: |
The Executive Councillors for (i) Finance
and Resources (ii) Climate Change, Environment and City Centre, and (iii)
Transport and Community Safety were consulted and approved the Strategic
Director’s decision. |
||
Reference: |
2020/OfficerUrgency/SR+EC+PT/16 |
||
Contact
for further information: |
Fiona Bryant, 01223 457325 fiona.bryant@cambridge.gov.uk |
ADDRESSING THE IMPLICATIONS FOR BUSINESSES AND THE CITY CENTRE in the context of
the Coronavrius ReSTRICTIONS
1.
Introduction
and context
1.1 Cambridge City
Council has introduced a number of initiatives to support the city through the
Coronavirus pandemic.
1.2 On 31 October 2020, the Government
announced a four-week national lockdown from 5 November to 2 December 2020 to help
address a second wave of the pandemic. This has required following types of
businesses and venues to close or restrict how they provide goods and services
for the duration of the national lockdown:
·
non-essential retail
·
hospitality venues
·
accommodation
·
leisure and sports facilities
·
entertainment venues
·
personal care facilities
Guidance on what this period requires can be found
at www.gov.uk/guidance/new-national-restrictions-from-5-november#businesses-and-venues.
1.3
The announcement of the lockdown, and its subsequent start, have
brought forward the need to review support arrangements and confirm those
arrangements remaining in place, any small changes required to those, for
example in terms of timescale for the support, as well as any new initiatives.
1.4
This report outlines the above, and requests approval on any new
or amended support to be put in place. The report also asks for approval for delegated
authority
2.1
The Strategic Director, following
consultation and agreement with the Executive Councillor for Finance
and Resources:
a. confirms
the intention to introduce the Local Restrictions Support Grant scheme, a
mandatory scheme, in line with the Section 31 grant determination and
Government support and the information in paragraphs 3.3-3.7
b. approves
the initial proposals in paragraphs 3.8-3.15 for support to be provided via the
Additional Restrictions Grant (ARG) Scheme in line with Section 31 grant
determination, with the Government Guidance for the ARG, and with local
economic need over the current national lockdown period from 5 November 2020;
c. will
finalise the local policy and process for the Additional Restrictions Grant
scheme, approve updates (where required by government guidance and updates) and
oversee application assessment and grant distribution relating to the Covid-19
national lockdown from 5 November 2020;
d. will,
in consultation with the Executive Councillor, Chair and Spokes, develop and
agree amended proposals for support under the Additional Restrictions Grant
scheme in line with further Government guidance and local economic need.
Further development of the scheme is required to support businesses through
further restrictions where ARG support is appropriate, up to and including 31st
March 2021 for grants approval, and where appropriate for grant use in 2021/22
in line with Government decision over timescales for the funding, and as
outlined in section 3.14. Support will be in line with the provisions of the
Local Economic Recovery Strategy and the Greater Cambridge local economic needs
and opportunities will underpin this further development;
2.2
The Strategic Director, following consultation
and agreement with the Executive Councillor for Climate Change, Environment and City Centre:
a.
approves the introduction of a rental holiday
for all market and street traders during the initial periods of national
lockdown from 5 November 2020 and, with agreement by Exec Councillor, for
subsequent periods of national lockdown required on or before 31 March 2021;
b. approves the
extension of a 25% discounted pitch fee for all market traders from the
end of the national lockdown period until 31 March 2021;
c.
approves the arrangement that, up until 31 March 2021, any market
trader who chooses to surrender their pitch may do so without giving notice and
will also have the right to return to take up a pitch again (after that
date, they will need to make a new application in order to return); and
d.
approves the waiver of normal notice
periods until 31 March 2021 for any market trader wishing to terminate lease
permanently
2.3 The Strategic Director, in consultation
and agreement with the Executive Councillor for Transport &
Community Safety:
a. approves
proposals set out in section 5 for
the introduction of free city centre worker permits for city centre car
parks (as agreed by the Council’s car parking team), primarily aimed at helping
lower paid essential business workers during period(s) of national lockdown up
until March 2021; and
b. delegates
authority to the Head of Commercial Services to implement this approval in line
with best practice, and compliance requirements.
Background
3.1 Earlier this
year, the Council implemented a number of government-funded Covid‑19-related,
which have now closed and are no longer available. These include:
a. £13.9 million for businesses
in the Retail, Hospitality and Leisure sectors (based on 507 properties with a
rateable value between £15,000 and £51,000 which received £25,000 single grant
payments each and 121 properties with a rateable value below £15,000, which
received £10,000 single grant payments each)
b.
£8.31 million in Small Business Grant
payments to 831 business-rated companies (£10,000 single grant payments each);
c. £1.19
million to small businesses through additional funding for which the Council
could apply some discretion in meeting local economic circumstances. The
Council scheme focussed on businesses in flexible officer space, market and
street traders and charities and not-for-profit organisations, which were not
eligible for the previous two Covid-19 grant payments (3.1 a and b).
3.2 Although those earlier government-funded schemes
were based on different applicant categories and grant-funding levels (not
directly comparable with the new grant schemes introduced by the government for
the national lockdown from 5 November), it is worth noting that the
Council is able to draw on this previous experience and the practical
arrangements put in place at that time. Now, the Government has asked the City
Council to implement two new Covid-19 grant schemes for business support in
relation to the national lockdown.
Local Restrictions Support Grant (LRSG)
3.3 This is a
mandatory, national scheme applying across local government in England and
covers businesses in properties with a rateable value. There are different
versions of the scheme which apply to different Covid alert levels (and whether
or not businesses are forced to close), but the current focus is on the scheme
that applies in periods of national lockdown[1].
3.4 Under the LRSG scheme during a national lockdown, a single grant to cover the
four-week period will be paid to each eligible business. Businesses with more
than one qualifying property will receive more than one grant. The rate of
payment for eligible businesses will be:
a.
For properties with a rateable value of £15,000 or
under, grants will be £1,334 for the four weeks
b.
For properties with a rateable value of over
£15,000 and below £51,000, grants will be £2,000 for the four weeks
c. For
properties with a rateable value of £51,000 or over, grants will be £3,000 for
the four weeks.
This
‘£51,000 or over’ rateable value category is worth noting because the previous
Covid-19 grant schemes earlier this year were limited to businesses with a
rateable value below £51,000.
3.5 The Government
has allocated the City Council £2.727 million to distribute to eligible
businesses relating to the current four-week national lockdown period
(5 November to 2 December). This allocation currently represents 90% of
the of the
estimated grant funding requirement, that was calculated using Valuation Office
Agency (VOA) data, based on the categories of business relevant to the closures
imposed by Government. If the allocation proves insufficient for all eligible
businesses, top-up funding will be provided. Government have also indicated
that the grant allocation will be extended if the
national lockdown restrictions are extended. Should restrictions on leaving
national lockdown be phased via a Government decision to move through other
Covid alert levels[2], the grant provisions may be amended by Government
in line with their guidance on mandatory grants for businesses within specific
tiers.
3.6 The Grant payments to the Council are made under section 31 of the
Local Government Act 2003 and in line with the section 31 grant determination
approved by the Treasury. The grant will be managed in accordance the relevant
official guidance (see background papers in Section 8, below).
3.7 The LRSG is a mandatory grant. It therefore does not require
an urgent decision but is included in this paper for information and
completeness only. The LRSG scheme for the period of the national lockdown is
being launched in the week ending Friday 13 November.
Additional
Restrictions Grant (ARG)
3.8 Support under this
scheme will be in line with Additional Restrictions Grants: guidance for
Local Authorities. On the basis of £20 per head of population[3], the Government has allocated Cambridge
£2.495 million for this scheme. It has indicated that this is a one-off payment
under such a scheme, and may need to meet needs up to end of March 2021 and
even into 2021/22. Therefore, the Council needs to consider the immediate needs
for support during the current national four‑week lockdown, but also
those beyond that period, for which, at the moment, we do not have specific
guidance.
3.9 The Government
guidance suggests three ways in which local authorities may wish to use their
Additional Restrictions Grant via direct grants to businesses:
a. to help those businesses which – while not
legally forced to close – are nonetheless severely impacted by the restrictions
put in place to control the spread of Covid-19.(e.g., businesses which supply
the retail, hospitality, and leisure sectors, or businesses in the events
sector);
b. to help businesses outside the business rates
system, which are effectively forced to close – for example market traders; and
c.
to provide
additional support to larger local businesses which are important to the local
economy, on top of the funding provided to those businesses via the LRSG
(Closed) scheme, with due reference to State Aid.
3.10 Councils may allocate funding to meet local
economic needs. Once the Council has finalised its local policy approach, it
will be important to apply this approach consistently and without exceptions.
3.11
Council Officers have considered the
guidance and the provisions within the grant allocations letter and the
remaining gaps in clarity in detailed spend period for the funding allocation
which remain to be resolved. They have considered the key themes provided by Government
and how these might be best applied within the city, gaps where businesses may
have received no funds up to date, and also the potential for consistency
across local authorities in the Cambridge and Peterborough area. We are also
working to ensure a simple framework which can be applied to get funding out to
those who need it as soon as practically possible within the relevant
compliance parameters.
The
Additional Restrictions Grant proposal
3.12 Using previous work
to identify gaps in other support and to meet local economic need, the proposal
is to initially provide the following support in the form of a single payment
under the ARG during, initially, for the four-week lockdown period. Table 1
(see next page) sets out the proposed applicant categories and grant levels.
a.
For those businesses forced to close,
but nonetheless not eligible for the Local Restrictions Support Grant, the
payments are in line with the mandatory grant provided under the LRSG.
b.
For those not forced to close, but
where the national lockdown restrictions have severely impacted business, lower
grant figures will apply as these businesses are allowed to trade.
3.13 The proposals cover groups lying outside of
those eligible for the LRSG and where we have identified potential gaps in
support for businesses impacted by the national lockdown period, even where
they haven’t been required to close.
a.
Businesses in Cambridge not paying
business rates themselves but located in properties for which business rates
are paid
b.
Supply chain businesses in Cambridge
supporting the retail, hospitality and leisure (whether or not paying business
rates themselves).
c.
Market and street traders operating in
Cambridge.
d.
Hardship fund for self-employed people
in Cambridge excluded from the Self-Employed Income Support Scheme: (eg, those
who started businesses after the qualifying date for SEISS hair-dressers,
beauty therapy, children’s entertainers operating in others’ homes or other
community venues)[4].
3.14
The rationale for the two payment
levels are that we believe that, although many businesses will be significantly
impacted by the national lockdown, those required to close will be more heavily
impacted than those who are able to remain open.
3.15 As
the longevity of the grant extends beyond the immediate lockdown period, the
Council will monitor the initial scheme and develop any further grant offers
and or wider business support proposals, working closely with partners. The
provisions of the Local Economic Recovery Strategy and the Greater Cambridge
local economic needs and opportunities will underpin this further development.
Table 1: Additional Restrictions Grant: proposed applicant categories and
grant levels
|
|
Grant level |
|
Applicant
type |
Banding |
Forced to
close |
Not forced
to close but faces severe impact: |
Businesses not paying business rates themselves but
located in properties for which business rates are paid |
Annual rent up and including £15,000 |
£1,334 |
£934 |
Annual rent of more than £15,000 but below £51,000 |
£2,000 |
£1,400 |
|
Annual
rent of £51,000 or more |
£3,000 |
£2,100 |
|
Supply chain businesses supporting the retail,
hospitality and leisure (whether or not paying business rates themselves). |
Rateable value or annual rent up and including
£15,000 |
£1,334 |
£934 |
Rateable value or annual rent more than £15,000 but
below £51,000 |
£2,000 |
£1,400 |
|
Rateable
value or annual rent of £51,000 or more |
£3,000 |
£2,100 |
|
Market and street traders |
Flat
rate |
£500 |
£350 |
* Hardship Fund for Self-employed business owners
falling outside of the Self-Employed Income Support Scheme *Please note that this group is still subject to
further advice from BEIS |
Flat
Rate |
£500 |
£350 |
4.
Additional Support for Market and Street Traders.
4.1 The seven-day market in Cambridge
continues to play an important part in the City’s offer to residents and
visitors alike.
4.2 The Council has provided continued support
to traders since the early lockdown in March via Urgent Decisions taken in
March and September and subsequently reported to Environment & Community
Scrutiny Committee on 2 July and 1 October respectively.
4.3 Prior to the pandemic, the market had
around 170 traders, which has dropped to around 130 active traders. Monthly
income has dropped by £30,000. Street traders normally provide an income of
around £5,000-£6,000 per month
4.4 It is anticipated that only about 30
market traders and 26 street traders (out of 36 street traders) could trade as
essential traders, during the national lockdown.
4.5 To help sustain General and Sunday market occupancy
figures in the future and a viable city centre market during this lockdown
period, and to address uncertainties arising on further restrictions applied,
the following measures are proposed:
a. to provide market and street traders with a rent-free period for a
four-week period over the proposed national lockdown, and where required, to
apply similar support to further periods of national lockdown, where agreed by
executive Councillor, up until 31 March 2021;
b. To apply a 25% discount to all General and Sunday Market traders pitch
fees for any periods outside national lockdown periods up until 31 March 2021;
c. To extend the ‘relinquishing of licence’ measure for market traders
(i.e., removal of the four-week notice period condition) from the 30
November 2020 (proposed in the urgent decision taken in June and reported to
Committee in October 2020) to 31 March 2021.
d.
Market traders who choose to surrender pitch may do so without
usual notice and have right to return up until 31 March 2021
e. Further
support is available to eligible market traders through the proposed Additional
Resources Grant in section 3 above (see Table 1).
4.6 Based on a recent average four-week income
from trading, the proposal for a four-week rental holiday is estimated to cost
c£50k in income for the council, but the support is based on underpinning
longer term viability for the marketplace.
5.
Car
Parking
5.1 The requirement for social distancing
measures to help prevent transmission of the pandemic in the last six months
has led to Government guidance prioritising car travel when appropriate.
5.2 The Council has continued to help delivery
of services to residents during 2020 through the provision of parking
concessions including free parking permits in the city centre for public and
voluntary sector workers requiring access to support the most vulnerable
residents in their homes. The Council has also supported essential businesses
to remain open during lockdown and provided a period of reduced-price parking
through to the late summer to help encourage customer confidence to return to
the centre in a Covid-safe way after the initial lockdown period.
5.3 In applying any support through changes to
parking, the Council needs to balance the public health and economic recovery
requirements with its commitment to addressing climate change and transport
related emissions.
5.4 In October 2020, an urgent decision by
Executive Councillor agreed that the support for free parking permits for
approved public and voluntary sector workers supporting residents in relation to
the pandemic restrictions would be extended until 31 March 2021.
5.5 The announcement and subsequent start to a
national lockdown has led to a further review of support, and a proposal to
provide further support to essential businesses within the city centre. The
proposal is to:
a.
Introduce a new “city
centre worker” permit providing free access for parking across all
multi-storey car parks except for the Grand Arcade. The permit provides support primarily aimed
at helping lower paid essential business workers to access their workplace in
compliance with the current HMG guidance.
b.
The permit will apply
during the current four-week period of national lockdown, and, by agreement
with Executive Cllr, for any subsequent periods of lockdown occurring up until
31 March 2021.
5.6 In order to manage
the support effectively the following process will apply.
a.
Applications will need to be supported by headed email or
application direct from employers
b.
Ticket will be 24/7 to allow for shift and weekend workers
5.7 Owing to the national lockdown, and the
reduction in visitors to the city centre, the estimated income impact for the
Council is around £1 million during this period. Physically, the car parks will
all have significant empty space provision. Cost of city centre worker permits
for the 4 weeks, based on the earlier lockdown, is estimated to be at a cost of
£100,000.
5.8 Social distance measures in car parks:
Socially distanced car parking is considered unenforceable: bollards would
simply be moved. More substantial and
enforceable measures would be costly, time consuming and likely to be
superseded as the guidance changes. The
current model of supermarket car parking is being replicated during lockdown;
there are no restrictions and the public actively self-police.
5.9 Control Measures in flow:
There are
appropriate signs to:
a.
encourage the use of contactless
payment at exit, reducing the risk presented by use of a keypad and possible
infringement of social distancing at pay machines;
b.
restrict the occupancy car park lifts
by using the Addenbrookes model of footprints sticker in the lift designating
where to stand and changing behaviour
c.
Stairwells to have keep left signs to
maintain social distancing
d.
Signs to encourage the able bodied to
use the stairs
e. Provision
of hand sanitiser to be provided in line with the wider city centre recovery
plan when that is published
|
Key risks |
Mitigations
in place |
6.1 |
The local
business grant support scheme for the national lockdown from 5 November does
not apply government guidance properly. The Government refuses to pay for
some grant payments. |
The
Council’s emerging policy will reflect the latest government guidance as it
becomes available and is updated. |
6.2 |
The Council
has to return to the government some of the business support grant funding
allocated to Cambridge because insufficient eligible applications are
received. |
The Council
will publicise the availability of the business support grants to business
likely to be eligible for a grant and will encourage them to apply. Grant
payment levels will be monitored regularly, and follow-up action taken to
maximise take-up of the scheme by eligible businesses. |
6.3 |
Too many
eligible applications. Cannot pay all these applicants from the government
funding available. |
Businesses
within the business rate system that are required to close as a result of the
four-week national lockdown from 5 November will receive the business grant
support to which they are entitled. For the
Additional Business Support Scheme, used to support businesses required to
close that are outside the business rates system or not required to close but
impacted by the lockdown period will be devised carefully to focus on those
types of business with particular needs: a ‘first come, first served’
approach will be applied to applicants within the Additional Business Support
Grant scheme – and this will be made clear to applicants. |
6.4 |
The Council
pays grants to ineligible applicants in error or to fraudulent applicants. |
The policy
for the business support grant scheme for the national lockdown from 5 November
will feature clear eligibility criteria and anti-fraud measures. Regular
checks will be put in place to ensure accuracy and consistency and to detect
and prevent potential fraud. |
6.5 |
Risk of
access issues for public and voluntary sector workers to city to support
vulnerable residents leading and risk of essential business employees not
accessing work during lockdown in line with government travel guidance of use
of cars where appropriate, resulting in reduced service on essential items to
customers and residents |
Provision
of appropriate support during lockdown period or periods to underpin
essential services |
6.6 |
Risk of
market trader termination of leases resulting in city centre market
degradation, void stalls and reduced income |
Review and
provision of appropriate support to help traders manage through the pandemic
period and support recovery post lockdown |
7.
Implications
7.1 Financial implications:
a.
The Council has received notification
of expected allocations under the LRSG and ARG. Any grant-funding not
distributed by the termination of grant date will need to be returned to the
Government.
b.
The impact of the national lockdown
period of 4 weeks is expected to have an overall impact on car park income of
circa £1 million.
c.
The support for parking permits for
essential city centre business workers for the national lockdown period is
estimated to cost in the region of £100k for the 4-week period, based on the
numbers of permits applied for during the earlier lockdown period. The forecast
would be updated in line with any future national lockdown requirements up
until end of March 2021.
d.
The rent holiday for market and street
traders for the initial national lockdown period is estimated to cost around
£50k for the 4-week period. This forecast would be updated in line with any
future national lockdown requirements up until the end of March 2021
7.2 Staffing implications: A dedicated
officer team will oversee the development of local business support grants
policy, its implementation and the assessment of grant applications, in
addition to existing workloads. This includes managers experienced in co‑ordinating
a range of large‑scale funding programmes and grants schemes, assessing
claims, making payments, managing online applications and preventing fraud.
Many of them were also involved in managing the Covid-19 grants schemes earlier
this year.
The car park arrangements will be managed by the car parks team,
in line with earlier and current permit management.
7.3 Equality and
poverty implications: The Government’s Local Restrictions Support Grant and
Additional Restrictions Grant funding is intended, primarily and predominantly,
to meet the needs of business. That said, officers are mindful of the possible
implications relating to ethnicity, disability and mental health.
a. The
officers co-ordinating the Council’s Covid-19 business support grants will
liaise with colleagues involved in community engagement, inclusion &
cohesion and with the Cambridge Ethnic Community Forum in order to raise
awareness amongst black and minority ethnic communities of the availability of
the grant schemes.
b. Although
the business support grants will be accessed primarily via an online form,
paper-based forms and support will be made available to applicants who do not
find it easy to apply online.
c.
General enquiries made to the business.grants@cambridge.gov.uk
generic email address are closely monitored so that if wider concerns are
raised (e.g., in relation to hardship or mental health) the responses provided
sign-post other support that may be available, such as links to relevant
Council web pages and other useful website (e.g. for Cambridge Citizen’s Advice
Bureau).
7.4 Environmental implications: None
for this report.
7.5 Procurement implications: None for
this report.
7.6 Consultation: There has been no
formal consultation, but discussions have taken place with the other
authorities and business network partners within the Economic Recovery
Sub-Group.
7.7 Legal implications:
a. The
Local Restrictions Support Grant and Additional Restrictions Grant payments to
the Council are made under section 31 of the Local Government Act 2003. The
Council will be responsible for delivering the funding to eligible recipients
and for ensuring that recipients agree to comply with the conditions and
requirements relating to the payment of grant including the circumstances in
which grant can be clawed back and must be repaid.
b.
The Council is aligning its
assessment and management procedures for the Local Restrictions Support Grant
to the relevant official guidance provided by the Department for Business,
Energy and Industrial Strategy. Similarly, the policy and procedures for the
Council’s Additional Business Support Grant will reflect the official guidance
for the Additional Restrictions Grant. As that official guidance makes clear,
the Council’s decisions on eligibility and grant payments are final.
c. In
making grant payments, the Council will observe official guidance that local
authorities “must be satisfied that all State aid requirements have been fully
met and complied with when making grant payments, including, where required,
compliance with all relevant conditions of the EU State aid De-Minimis
Regulation, the EU Commission Temporary Framework for State aid measures to
support the economy in the current COVID-19 outbreak, the approved Covid-19
Temporary Framework for UK Authorities, and any relevant reporting requirements
to the EU Commission.”
8.
Background
papers
Relating to
Business Support Grants
· Local
Restrictions Support Grants: Guidance for Local Authorities, November 2020[5], Department of Business, Energy and
Industrial Strategy;
· Additional
Restrictions Grant: Guidance for Local Authorities, November 2020, Department
of Business, Energy and Industrial Strategy;
Relating to
Market and Street Traders
· Report
on General and Sunday Market Covid Impact to Environment and Community Scrutiny
Committee on 1 October 2020, Cambridge City Council.
Relating to
car-parking
· Record
of urgent decision on Key Public Sector and
Voluntary Sector workers free parking permits, made by the Executive
Councillor for Transport and Community Safety on 28 October 2020, Cambridge City Council;
9. Contact officer:
Name/Job
Title: |
Fiona
Bryant, Strategic Director |
Tel. no: |
07768
238708 |
Email: |
fiona.bryant@cambridge.gov.uk |
[1]. This is an addendum
to the Local Restrictions Support Grant (Closed) scheme.
[2]. That is
‘Very High’ (when the Government requires business to close during local
lockdowns) or ‘High’ (when businesses are not forced to close but some may
experience a severe impact due to other restrictions in place) and ‘Medium’.
[3]. Based on
Office for National Statistics 2019 mid-year population statistics.
[4]. Please
note that this group is still subject to further advice from the Department of
Business, Energy and Industrial Strategy.
[5]. The set of
official guidance on the Local Restrictions Support Grant is divided into
separate documents relating to the Open, Sector and Closed schemes. There is
also an addendum to the Closed scheme which applies during periods of national
lockdown. At such times, the Open and Sector schemes do not apply.
Lead officer: Fiona Bryant
The four-week national lockdown from 5 November 2020 requires the council to determine any additional measures necessary to support the city over and above the support already in place and/or simplifying timescales or parameters for that support. The Council is addressing this by:
• implementing national business grant support schemes, both mandatory, and those where the council has some discretion to address local economic needs;
• confirming support that it provides within its own authority (e.g., to market and street traders in Cambridge); and
• confirming support it provides within its own authority through city centre car-parking arrangements.
Decision Maker: Programme Director – Major Regeneration
Decision published: 16/11/2020
Effective from: 13/11/2020
Decision:
Cambridge City
Council
Officer Urgent
Decision Record
Decision(s) taken: |
To take action to address the implications for
businesses and the city centre and to provide support for them in the context
of the Coronavirus restrictions |
||
Decision of: |
Strategic
Director 1 |
||
Date
of decision: |
12
November 2020 |
|
|
Matter
for Decision: |
The four-week national lockdown from 5 November 2020
requires the council to determine any additional measures necessary to
support the city over and above the support already in place and/or
simplifying timescales or parameters for that support. The Council is
addressing this by: ·
implementing national business grant
support schemes, both mandatory, and those where the council has some
discretion to address local economic needs; · confirming support that it
provides within its own authority (e.g., to market and street traders in
Cambridge); and ·
confirming
support it provides within its own authority through city centre car-parking
arrangements. |
||
Any alternative options considered and rejected: |
The decisions
are taken based on the latest guidance and information at 12 November 2020
and will be kept under review. |
||
Reason(s)
for the decision including any background papers considered: |
An urgent decision under paragraph 2 of section 9, Council Procedure
Rules was necessary to enable business support grants, support for market and
street traders and city centre car-parking arrangements to be finalised and
implemented in the context of the four-week national lockdown from 5 November
2020. The
Government’s announcement of the national lockdown on 31 October 2020
followed by the start of the lockdown on 5 November 2020 requires decisions
outside of the normal cycle with additional delegated authority to oversee
detailed implementation where appropriate. |
||
Conflicts of interest and dispensations
granted by the Chief Executive: |
None. |
||
Other
Comments: |
The Executive Councillors for (i) Finance
and Resources (ii) Climate Change, Environment and City Centre, and (iii)
Transport and Community Safety were consulted and approved the Strategic
Director’s decision. |
||
Reference: |
2020/OfficerUrgency/SR+EC+PT/16 |
||
Contact
for further information: |
Fiona Bryant, 01223 457325 fiona.bryant@cambridge.gov.uk |
ADDRESSING THE IMPLICATIONS FOR BUSINESSES AND THE CITY CENTRE in the context of
the Coronavrius ReSTRICTIONS
1.
Introduction
and context
1.1 Cambridge City
Council has introduced a number of initiatives to support the city through the
Coronavirus pandemic.
1.2 On 31 October 2020, the Government
announced a four-week national lockdown from 5 November to 2 December 2020 to
help address a second wave of the pandemic. This has required following types
of businesses and venues to close or restrict how they provide goods and
services for the duration of the national lockdown:
·
non-essential retail
·
hospitality venues
·
accommodation
·
leisure and sports facilities
·
entertainment venues
·
personal care facilities
Guidance on what this period requires can be found
at www.gov.uk/guidance/new-national-restrictions-from-5-november#businesses-and-venues.
1.3
The announcement of the lockdown, and its subsequent start, have
brought forward the need to review support arrangements and confirm those
arrangements remaining in place, any small changes required to those, for
example in terms of timescale for the support, as well as any new initiatives.
1.4
This report outlines the above, and requests approval on any new
or amended support to be put in place. The report also asks for approval for
delegated authority
2.1
The Strategic Director, following
consultation and agreement with the Executive Councillor for Finance
and Resources:
a. confirms
the intention to introduce the Local Restrictions Support Grant scheme, a
mandatory scheme, in line with the Section 31 grant determination and
Government support and the information in paragraphs 3.3-3.7
b. approves
the initial proposals in paragraphs 3.8-3.15 for support to be provided via the
Additional Restrictions Grant (ARG) Scheme in line with Section 31 grant
determination, with the Government Guidance for the ARG, and with local
economic need over the current national lockdown period from 5 November 2020;
c. will
finalise the local policy and process for the Additional Restrictions Grant
scheme, approve updates (where required by government guidance and updates) and
oversee application assessment and grant distribution relating to the Covid-19
national lockdown from 5 November 2020;
d. will,
in consultation with the Executive Councillor, Chair and Spokes, develop and
agree amended proposals for support under the Additional Restrictions Grant
scheme in line with further Government guidance and local economic need.
Further development of the scheme is required to support businesses through
further restrictions where ARG support is appropriate, up to and including 31st
March 2021 for grants approval, and where appropriate for grant use in 2021/22
in line with Government decision over timescales for the funding, and as
outlined in section 3.14. Support will be in line with the provisions of the
Local Economic Recovery Strategy and the Greater Cambridge local economic needs
and opportunities will underpin this further development;
2.2
The Strategic Director, following consultation
and agreement with the Executive Councillor for Climate Change, Environment and City Centre:
a.
approves the introduction of a rental holiday
for all market and street traders during the initial periods of national
lockdown from 5 November 2020 and, with agreement by Exec Councillor, for
subsequent periods of national lockdown required on or before 31 March 2021;
b. approves the
extension of a 25% discounted pitch fee for all market traders from the
end of the national lockdown period until 31 March 2021;
c.
approves the arrangement that, up until 31 March 2021, any market
trader who chooses to surrender their pitch may do so without giving notice and
will also have the right to return to take up a pitch again (after that
date, they will need to make a new application in order to return); and
d.
approves the waiver of normal notice
periods until 31 March 2021 for any market trader wishing to terminate lease
permanently
2.3 The Strategic Director, in consultation
and agreement with the Executive Councillor for Transport &
Community Safety:
a. approves
proposals set out in section 5 for
the introduction of free city centre worker permits for city centre car
parks (as agreed by the Council’s car parking team), primarily aimed at helping
lower paid essential business workers during period(s) of national lockdown up
until March 2021; and
b. delegates
authority to the Head of Commercial Services to implement this approval in line
with best practice, and compliance requirements.
Background
3.1 Earlier this
year, the Council implemented a number of government-funded Covid‑19-related,
which have now closed and are no longer available. These include:
a. £13.9 million for businesses
in the Retail, Hospitality and Leisure sectors (based on 507 properties with a
rateable value between £15,000 and £51,000 which received £25,000 single grant
payments each and 121 properties with a rateable value below £15,000, which
received £10,000 single grant payments each)
b.
£8.31 million in Small Business Grant
payments to 831 business-rated companies (£10,000 single grant payments each);
c. £1.19
million to small businesses through additional funding for which the Council
could apply some discretion in meeting local economic circumstances. The
Council scheme focussed on businesses in flexible officer space, market and
street traders and charities and not-for-profit organisations, which were not
eligible for the previous two Covid-19 grant payments (3.1 a and b).
3.2 Although those earlier government-funded
schemes were based on different applicant categories and grant-funding levels
(not directly comparable with the new grant schemes introduced by the
government for the national lockdown from 5 November), it is worth noting
that the Council is able to draw on this previous experience and the practical
arrangements put in place at that time. Now, the Government has asked the City
Council to implement two new Covid-19 grant schemes for business support in
relation to the national lockdown.
Local Restrictions Support Grant (LRSG)
3.3 This is a mandatory,
national scheme applying across local government in England and covers
businesses in properties with a rateable value. There are different versions of
the scheme which apply to different Covid alert levels (and whether or not
businesses are forced to close), but the current focus is on the scheme that
applies in periods of national lockdown[1].
3.4 Under the LRSG scheme during a national lockdown, a single grant to cover the four-week
period will be paid to each eligible business. Businesses with more than one
qualifying property will receive more than one grant. The rate of payment for
eligible businesses will be:
a.
For properties with a rateable value of £15,000 or
under, grants will be £1,334 for the four weeks
b.
For properties with a rateable value of over
£15,000 and below £51,000, grants will be £2,000 for the four weeks
c. For
properties with a rateable value of £51,000 or over, grants will be £3,000 for
the four weeks.
This
‘£51,000 or over’ rateable value category is worth noting because the previous
Covid-19 grant schemes earlier this year were limited to businesses with a
rateable value below £51,000.
3.5 The
Government has allocated the City Council £2.727 million to distribute to
eligible businesses relating to the current four-week national lockdown period
(5 November to 2 December). This allocation currently represents 90% of
the of the
estimated grant funding requirement, that was calculated using Valuation Office
Agency (VOA) data, based on the categories of business relevant to the closures
imposed by Government. If the allocation proves insufficient for all eligible
businesses, top-up funding will be provided. Government have also indicated
that the grant allocation will be extended if the
national lockdown restrictions are extended. Should restrictions on leaving
national lockdown be phased via a Government decision to move through other
Covid alert levels[2], the grant provisions may be amended by Government
in line with their guidance on mandatory grants for businesses within specific
tiers.
3.6 The Grant payments to the Council are made under section 31 of the
Local Government Act 2003 and in line with the section 31 grant determination
approved by the Treasury. The grant will be managed in accordance the relevant
official guidance (see background papers in Section 8, below).
3.7 The LRSG is a mandatory grant. It therefore does not require
an urgent decision but is included in this paper for information and
completeness only. The LRSG scheme for the period of the national lockdown is
being launched in the week ending Friday 13 November.
Additional
Restrictions Grant (ARG)
3.8 Support under this
scheme will be in line with Additional Restrictions Grants: guidance for
Local Authorities. On the basis of £20 per head of population[3], the Government has allocated Cambridge
£2.495 million for this scheme. It has indicated that this is a one-off payment
under such a scheme, and may need to meet needs up to end of March 2021 and
even into 2021/22. Therefore, the Council needs to consider the immediate needs
for support during the current national four‑week lockdown, but also
those beyond that period, for which, at the moment, we do not have specific
guidance.
3.9 The Government
guidance suggests three ways in which local authorities may wish to use their
Additional Restrictions Grant via direct grants to businesses:
a. to help those businesses which – while not
legally forced to close – are nonetheless severely impacted by the restrictions
put in place to control the spread of Covid-19.(e.g., businesses which supply
the retail, hospitality, and leisure sectors, or businesses in the events
sector);
b. to help businesses outside the business rates
system, which are effectively forced to close – for example market traders; and
c.
to provide
additional support to larger local businesses which are important to the local
economy, on top of the funding provided to those businesses via the LRSG
(Closed) scheme, with due reference to State Aid.
3.10 Councils may allocate funding to meet local
economic needs. Once the Council has finalised its local policy approach, it
will be important to apply this approach consistently and without exceptions.
3.11
Council Officers have considered the
guidance and the provisions within the grant allocations letter and the
remaining gaps in clarity in detailed spend period for the funding allocation
which remain to be resolved. They have considered the key themes provided by
Government and how these might be best applied within the city, gaps where
businesses may have received no funds up to date, and also the potential for
consistency across local authorities in the Cambridge and Peterborough area. We
are also working to ensure a simple framework which can be applied to get
funding out to those who need it as soon as practically possible within the
relevant compliance parameters.
The
Additional Restrictions Grant proposal
3.12 Using previous work
to identify gaps in other support and to meet local economic need, the proposal
is to initially provide the following support in the form of a single payment
under the ARG during, initially, for the four-week lockdown period. Table 1
(see next page) sets out the proposed applicant categories and grant levels.
a.
For those businesses forced to close,
but nonetheless not eligible for the Local Restrictions Support Grant, the
payments are in line with the mandatory grant provided under the LRSG.
b.
For those not forced to close, but
where the national lockdown restrictions have severely impacted business, lower
grant figures will apply as these businesses are allowed to trade.
3.13 The proposals cover groups lying outside of
those eligible for the LRSG and where we have identified potential gaps in
support for businesses impacted by the national lockdown period, even where
they haven’t been required to close.
a.
Businesses in Cambridge not paying
business rates themselves but located in properties for which business rates
are paid
b.
Supply chain businesses in Cambridge
supporting the retail, hospitality and leisure (whether or not paying business
rates themselves).
c.
Market and street traders operating in
Cambridge.
d.
Hardship fund for self-employed people
in Cambridge excluded from the Self-Employed Income Support Scheme: (eg, those
who started businesses after the qualifying date for SEISS hair-dressers,
beauty therapy, children’s entertainers operating in others’ homes or other
community venues)[4].
3.14
The rationale for the two payment
levels are that we believe that, although many businesses will be significantly
impacted by the national lockdown, those required to close will be more heavily
impacted than those who are able to remain open.
3.15 As
the longevity of the grant extends beyond the immediate lockdown period, the
Council will monitor the initial scheme and develop any further grant offers
and or wider business support proposals, working closely with partners. The
provisions of the Local Economic Recovery Strategy and the Greater Cambridge
local economic needs and opportunities will underpin this further development.
Table 1: Additional Restrictions Grant: proposed applicant categories and
grant levels
|
|
Grant level |
|
Applicant
type |
Banding |
Forced to
close |
Not forced
to close but faces severe impact: |
Businesses not paying business rates themselves but
located in properties for which business rates are paid |
Annual rent up and including £15,000 |
£1,334 |
£934 |
Annual rent of more than £15,000 but below £51,000 |
£2,000 |
£1,400 |
|
Annual
rent of £51,000 or more |
£3,000 |
£2,100 |
|
Supply chain businesses supporting the retail,
hospitality and leisure (whether or not paying business rates themselves). |
Rateable value or annual rent up and including
£15,000 |
£1,334 |
£934 |
Rateable value or annual rent more than £15,000 but
below £51,000 |
£2,000 |
£1,400 |
|
Rateable
value or annual rent of £51,000 or more |
£3,000 |
£2,100 |
|
Market and street traders |
Flat
rate |
£500 |
£350 |
* Hardship Fund for Self-employed business owners
falling outside of the Self-Employed Income Support Scheme *Please note that this group is still subject to
further advice from BEIS |
Flat
Rate |
£500 |
£350 |
4.
Additional Support for Market and Street Traders.
4.1 The seven-day market in Cambridge
continues to play an important part in the City’s offer to residents and
visitors alike.
4.2 The Council has provided continued support
to traders since the early lockdown in March via Urgent Decisions taken in
March and September and subsequently reported to Environment & Community
Scrutiny Committee on 2 July and 1 October respectively.
4.3 Prior to the pandemic, the market had around
170 traders, which has dropped to around 130 active traders. Monthly income has
dropped by £30,000. Street traders normally provide an income of around
£5,000-£6,000 per month
4.4 It is anticipated that only about 30
market traders and 26 street traders (out of 36 street traders) could trade as
essential traders, during the national lockdown.
4.5 To help sustain General and Sunday market occupancy
figures in the future and a viable city centre market during this lockdown
period, and to address uncertainties arising on further restrictions applied,
the following measures are proposed:
a. to provide market and street traders with a rent-free period for a
four-week period over the proposed national lockdown, and where required, to
apply similar support to further periods of national lockdown, where agreed by
executive Councillor, up until 31 March 2021;
b. To apply a 25% discount to all General and Sunday Market traders pitch
fees for any periods outside national lockdown periods up until 31 March 2021;
c. To extend the ‘relinquishing of licence’ measure for market traders
(i.e., removal of the four-week notice period condition) from the 30
November 2020 (proposed in the urgent decision taken in June and reported to
Committee in October 2020) to 31 March 2021.
d.
Market traders who choose to surrender pitch may do so without
usual notice and have right to return up until 31 March 2021
e. Further
support is available to eligible market traders through the proposed Additional
Resources Grant in section 3 above (see Table 1).
4.6 Based on a recent average four-week income
from trading, the proposal for a four-week rental holiday is estimated to cost
c£50k in income for the council, but the support is based on underpinning
longer term viability for the marketplace.
5.
Car
Parking
5.1 The requirement for social distancing
measures to help prevent transmission of the pandemic in the last six months
has led to Government guidance prioritising car travel when appropriate.
5.2 The Council has continued to help delivery
of services to residents during 2020 through the provision of parking
concessions including free parking permits in the city centre for public and
voluntary sector workers requiring access to support the most vulnerable
residents in their homes. The Council has also supported essential businesses
to remain open during lockdown and provided a period of reduced-price parking
through to the late summer to help encourage customer confidence to return to
the centre in a Covid-safe way after the initial lockdown period.
5.3 In applying any support through changes to
parking, the Council needs to balance the public health and economic recovery
requirements with its commitment to addressing climate change and transport
related emissions.
5.4 In October 2020, an urgent decision by
Executive Councillor agreed that the support for free parking permits for
approved public and voluntary sector workers supporting residents in relation
to the pandemic restrictions would be extended until 31 March 2021.
5.5 The announcement and subsequent start to a
national lockdown has led to a further review of support, and a proposal to
provide further support to essential businesses within the city centre. The
proposal is to:
a.
Introduce a new “city
centre worker” permit providing free access for parking across all
multi-storey car parks except for the Grand Arcade. The permit provides support primarily aimed
at helping lower paid essential business workers to access their workplace in
compliance with the current HMG guidance.
b.
The permit will apply
during the current four-week period of national lockdown, and, by agreement
with Executive Cllr, for any subsequent periods of lockdown occurring up until
31 March 2021.
5.6 In order to manage
the support effectively the following process will apply.
a.
Applications will need to be supported by headed email or
application direct from employers
b.
Ticket will be 24/7 to allow for shift and weekend workers
5.7 Owing to the national lockdown, and the
reduction in visitors to the city centre, the estimated income impact for the
Council is around £1 million during this period. Physically, the car parks will
all have significant empty space provision. Cost of city centre worker permits
for the 4 weeks, based on the earlier lockdown, is estimated to be at a cost of
£100,000.
5.8 Social distance measures in car parks:
Socially distanced car parking is considered unenforceable: bollards would
simply be moved. More substantial and
enforceable measures would be costly, time consuming and likely to be
superseded as the guidance changes. The
current model of supermarket car parking is being replicated during lockdown;
there are no restrictions and the public actively self-police.
5.9 Control Measures in flow:
There are
appropriate signs to:
a.
encourage the use of contactless
payment at exit, reducing the risk presented by use of a keypad and possible
infringement of social distancing at pay machines;
b.
restrict the occupancy car park lifts
by using the Addenbrookes model of footprints sticker in the lift designating
where to stand and changing behaviour
c.
Stairwells to have keep left signs to
maintain social distancing
d.
Signs to encourage the able bodied to
use the stairs
e. Provision
of hand sanitiser to be provided in line with the wider city centre recovery
plan when that is published
|
Key risks |
Mitigations
in place |
6.1 |
The local
business grant support scheme for the national lockdown from 5 November does
not apply government guidance properly. The Government refuses to pay for
some grant payments. |
The
Council’s emerging policy will reflect the latest government guidance as it
becomes available and is updated. |
6.2 |
The Council
has to return to the government some of the business support grant funding
allocated to Cambridge because insufficient eligible applications are
received. |
The Council
will publicise the availability of the business support grants to business likely
to be eligible for a grant and will encourage them to apply. Grant payment
levels will be monitored regularly, and follow-up action taken to maximise
take-up of the scheme by eligible businesses. |
6.3 |
Too many
eligible applications. Cannot pay all these applicants from the government
funding available. |
Businesses
within the business rate system that are required to close as a result of the
four-week national lockdown from 5 November will receive the business grant
support to which they are entitled. For the
Additional Business Support Scheme, used to support businesses required to
close that are outside the business rates system or not required to close but
impacted by the lockdown period will be devised carefully to focus on those
types of business with particular needs: a ‘first come, first served’
approach will be applied to applicants within the Additional Business Support
Grant scheme – and this will be made clear to applicants. |
6.4 |
The Council
pays grants to ineligible applicants in error or to fraudulent applicants. |
The policy
for the business support grant scheme for the national lockdown from 5
November will feature clear eligibility criteria and anti-fraud measures.
Regular checks will be put in place to ensure accuracy and consistency and to
detect and prevent potential fraud. |
6.5 |
Risk of
access issues for public and voluntary sector workers to city to support
vulnerable residents leading and risk of essential business employees not
accessing work during lockdown in line with government travel guidance of use
of cars where appropriate, resulting in reduced service on essential items to
customers and residents |
Provision
of appropriate support during lockdown period or periods to underpin
essential services |
6.6 |
Risk of
market trader termination of leases resulting in city centre market
degradation, void stalls and reduced income |
Review and
provision of appropriate support to help traders manage through the pandemic
period and support recovery post lockdown |
7.
Implications
7.1 Financial implications:
a.
The Council has received notification
of expected allocations under the LRSG and ARG. Any grant-funding not
distributed by the termination of grant date will need to be returned to the
Government.
b.
The impact of the national lockdown
period of 4 weeks is expected to have an overall impact on car park income of
circa £1 million.
c.
The support for parking permits for
essential city centre business workers for the national lockdown period is
estimated to cost in the region of £100k for the 4-week period, based on the
numbers of permits applied for during the earlier lockdown period. The forecast
would be updated in line with any future national lockdown requirements up
until end of March 2021.
d.
The rent holiday for market and street
traders for the initial national lockdown period is estimated to cost around
£50k for the 4-week period. This forecast would be updated in line with any
future national lockdown requirements up until the end of March 2021
7.2 Staffing implications: A dedicated
officer team will oversee the development of local business support grants
policy, its implementation and the assessment of grant applications, in
addition to existing workloads. This includes managers experienced in co‑ordinating
a range of large‑scale funding programmes and grants schemes, assessing
claims, making payments, managing online applications and preventing fraud.
Many of them were also involved in managing the Covid-19 grants schemes earlier
this year.
The car park arrangements will be managed by the car parks team,
in line with earlier and current permit management.
7.3 Equality and
poverty implications: The Government’s Local Restrictions Support Grant and
Additional Restrictions Grant funding is intended, primarily and predominantly,
to meet the needs of business. That said, officers are mindful of the possible
implications relating to ethnicity, disability and mental health.
a. The
officers co-ordinating the Council’s Covid-19 business support grants will
liaise with colleagues involved in community engagement, inclusion &
cohesion and with the Cambridge Ethnic Community Forum in order to raise
awareness amongst black and minority ethnic communities of the availability of
the grant schemes.
b. Although
the business support grants will be accessed primarily via an online form,
paper-based forms and support will be made available to applicants who do not
find it easy to apply online.
c.
General enquiries made to the business.grants@cambridge.gov.uk
generic email address are closely monitored so that if wider concerns are
raised (e.g., in relation to hardship or mental health) the responses provided
sign-post other support that may be available, such as links to relevant
Council web pages and other useful website (e.g. for Cambridge Citizen’s Advice
Bureau).
7.4 Environmental implications: None
for this report.
7.5 Procurement implications: None for
this report.
7.6 Consultation: There has been no
formal consultation, but discussions have taken place with the other
authorities and business network partners within the Economic Recovery
Sub-Group.
7.7 Legal implications:
a. The
Local Restrictions Support Grant and Additional Restrictions Grant payments to
the Council are made under section 31 of the Local Government Act 2003. The
Council will be responsible for delivering the funding to eligible recipients
and for ensuring that recipients agree to comply with the conditions and
requirements relating to the payment of grant including the circumstances in
which grant can be clawed back and must be repaid.
b.
The Council is aligning its
assessment and management procedures for the Local Restrictions Support Grant
to the relevant official guidance provided by the Department for Business,
Energy and Industrial Strategy. Similarly, the policy and procedures for the
Council’s Additional Business Support Grant will reflect the official guidance
for the Additional Restrictions Grant. As that official guidance makes clear,
the Council’s decisions on eligibility and grant payments are final.
c. In
making grant payments, the Council will observe official guidance that local
authorities “must be satisfied that all State aid requirements have been fully
met and complied with when making grant payments, including, where required,
compliance with all relevant conditions of the EU State aid De-Minimis
Regulation, the EU Commission Temporary Framework for State aid measures to
support the economy in the current COVID-19 outbreak, the approved Covid-19
Temporary Framework for UK Authorities, and any relevant reporting requirements
to the EU Commission.”
8.
Background
papers
Relating to
Business Support Grants
· Local
Restrictions Support Grants: Guidance for Local Authorities, November 2020[5], Department of Business, Energy and
Industrial Strategy;
· Additional
Restrictions Grant: Guidance for Local Authorities, November 2020, Department
of Business, Energy and Industrial Strategy;
Relating to
Market and Street Traders
· Report
on General and Sunday Market Covid Impact to Environment and Community Scrutiny
Committee on 1 October 2020, Cambridge City Council.
Relating to
car-parking
· Record
of urgent decision on Key Public Sector and
Voluntary Sector workers free parking permits, made by the Executive
Councillor for Transport and Community Safety on 28 October 2020, Cambridge City Council;
9. Contact officer:
Name/Job
Title: |
Fiona
Bryant, Strategic Director |
Tel. no: |
07768
238708 |
Email: |
fiona.bryant@cambridge.gov.uk |
[1]. This is an
addendum to the Local Restrictions Support Grant (Closed) scheme.
[2]. That is ‘Very
High’ (when the Government requires business to close during local lockdowns)
or ‘High’ (when businesses are not forced to close but some may experience a
severe impact due to other restrictions in place) and ‘Medium’.
[3]. Based on
Office for National Statistics 2019 mid-year population statistics.
[4]. Please
note that this group is still subject to further advice from the Department of
Business, Energy and Industrial Strategy.
[5]. The set of
official guidance on the Local Restrictions Support Grant is divided into
separate documents relating to the Open, Sector and Closed schemes. There is
also an addendum to the Closed scheme which applies during periods of national
lockdown. At such times, the Open and Sector schemes do not apply.
Lead officer: Fiona Bryant
1. Approve the awards recommended for 2020 S106 Community Facilities funding subject to project appraisal and signed grant agreements.
2. Note updates and recommendations on existing projects.
Decision Maker: Executive Councillor for Communities.
Decision published: 12/11/2020
Effective from: 01/10/2020
Decision:
Matter for
Decision
The Council uses S106 contributions
paid by developers to mitigate the impact of developments on facilities and
amenities in Cambridge. In line with the arrangements for annual generic S106
funding rounds, agreed by the Executive Councillor in March 2019, the Council
invited grant applications from community groups for improvements to their
community facilities, which could be made available for wider community use, as
part of the 2020 S106 funding round.
In view of the Covid-19
lockdown, applications for the 2020 round were invited over an extended period
(from mid-March to the end of July). Six have been received and assessed
against the Council’s S106 selection criteria. The Officer’s report outlined
the applications and officer assessments and recommends four community facilities
S106 grants, plus a provisional funding allocation for a grant proposal to be
developed in more detail.
Alongside the 2020 generic
S106 funding round, the Officer’s report also took stock of the need to
increase outdoor sports S106 funding levels for a couple of sports pavilions in
the city where extra community facilities S106 allocations are proposed as
well.
Decision
of Executive Councillor for Communities
Agreed to:
i.
The following S106 community
facilities grants and funding, detailed in paragraphs 4.1-4.2 and Appendices A
and B of the Officer’s report, subject to:
· planning
and building control requirements being satisfactorily met;
· business
case approval;
· signed
community grant agreement, securing appropriate community use of the
facilities; and
· a
review of relevant funding allocations if any of these S106-funded projects
cannot progress to the implementation stage within 18 months (that is, by the
end of March 2022).
|
Facility (and ward) |
Purpose |
Award
|
2.1.1 |
Nightingale Community Garden (Queen Edith’s) |
Outside covered informal kitchen and activity area |
£8,650 grant |
2.1.2 |
Nightingale Pavilion (Queen Edith’s) |
Multi-purpose community room, storage, kitchen & equipment |
£20,000 costs |
2.1.3 |
Chesterton Pavilion (East Chesterton) |
Storage facilities for meeting space and equipment |
£20,000 costs |
2.1.4 |
Notts Own Scout Hut, Marmora Road (Romsey) |
Kitchen and toilet improvements |
£40,000 grant |
ii.
Provisionally allocate up to
£100,000 for a possible community facilities improvement grant to St James’
Church, Wulfstan Way (Queen Edith’s ward) until the report on the 2021 S106
funding round when the project proposals will come back to this committee for
further consideration. (Paragraph 4.2 of the Officer’s report refers).
iii.
Allocate an additional £60,000 of
outdoor sports S106 contributions for constructing and equipping the new
pavilion at Nightingale Avenue Recreation Ground in Queen Edith’s ward (alongside
the additional £20,000 of community facility S106 funding mentioned in 2.1.2
above), subject to amended business case approval. (See paragraph 4.4-4.6 of
the Officer’s report).
iv.
Allocate an additional £40,000 of
outdoor sports S106 contributions for constructing and equipping the new
pavilion at Chesterton Recreation Ground in East Chesterton (alongside the
£20,000 of community facility S106 funding mentioned in 2.1.3 above), subject
to amended business case approval. (See paragraphs 4.7-4.8 of the Officer’s
report).
v.
Instruct officers to review the
progress of the East Barnwell Community Centre project in Abbey ward (currently
allocated £255,000) and the steps that may be needed to ensure that those S106
contributions can be used on time, and report back to this scrutiny committee
by June 2021. (Paragraph 4.5 of the Officer’s report refers).
Reason for the Decision
As set out in the Officer’s report.
Any Alternative Options Considered and Rejected
Not applicable.
Scrutiny
Considerations
The Committee received a report from the Community Funding and
Engagement Officer.
The Community Funding and Engagement Officer said the following in
response to Members’ questions:
i.
In view of the Covid-19 lockdown, the application
period for the 2020 funding round had been extended. It was envisaged that the
arrangement for the 2021 round would revert to the normal timescales.
ii.
Officers had offered support to projects listed in
the report before committee. They recommended allocating funding as indicated.
If projects were not eligible, they were signposted to other funding streams.
The Urban Growth Project Manager said that,
given the reduced generic S106 funding levels and the need to invite community
facility improvement applications only from those parts of the city where the
S106 funding was available, the small number of applications received was to be
expected. Further targeting of applications from relevant wards would continue in
the 2021 round.
The Committee unanimously resolved to endorse the recommendations.
The Executive Councillor
approved the recommendations.
Conflicts of Interest Declared by the Executive Councillor (and any
Dispensations Granted)
No conflicts of interest
were declared by the Executive Councillor.
Lead officer: Jackie Hanson
In recognition of the difficult trading conditions and to
help sustain General and Sunday market occupancy figures and a viable city
centre market, the Executive Councillor is recommended:
- To apply a 25% discount to all General and Sunday Market traders for each of the deferred monthly rental invoices (June/ July/ August and September 2020) and issue a combined invoice for this four month deferred period in October, 2020.
- To continue with the discounted standard pitch rate of £10/ day, Monday-Friday (as per 11th June urgent decision); and introduce an additional discounted standard pitch rate of £25/ day, Saturday and Sunday; and premium pitch rate of £15/ day, Monday-Friday; and £30/ day, Saturday and Sunday, with effect from 1st October to 31st December, 2020; and any further extension subject to review.
- To waiver the ‘casual’ trader premium charge of £5/ day until the end of the financial year (31st March, 2021) with the aim of encouraging ‘casual’ traders to take on daily available vacant pitches to maximise market occupancy rates. The corresponding recommended standard or premium pitch fee rates, as detailed in 2.2 above, will continue to be applied to ‘casual’ traders.
- To extend the ‘relinquishing of license’ measure (ie. removal of the four week notice period condition to relinquish licence, introduced on 23rd March, 2020), until the 30th November, 2020.
Decision Maker: Executive Councillor for Climate Action and Environment
Decision published: 12/11/2020
Effective from: 01/10/2020
Decision:
The Secretary of the
Cambridge Market Traders Association addressed the committee as set out below.
i.
Market
traders were happy that the council was looking into ways to reduce the
financial burden during the current situation. Reports in the press and
their experience showed that interventions from both the government and
the council could sometimes be very uneven in their effects. The
Cambridge Market Traders Association hoped councillors were aware that
COVID has affected some market sectors more than others.
ii.
People
whose trade focusses on tourists have seen trade fall by up to 90%. Therefore,
any use of deferments and pay-back processes over longer periods would extend
financial pain for many months and possibly years. It is hard to save, when you
have fixed costs and limited income. In principle, would the scrutiny committee
be amenable to schemes where rent/debt is written off, the precise details of
which can be worked out later, for cases where market traders can demonstrate
reduced financial circumstances through presenting accounts or other evidence.
iii.
Many of
the assistance schemes brought forward both by the council and the government
have a qualification that if you have accepted help from elsewhere, you would
not get any help under a new scheme. So
if a trader receives a modest amount of support from one scheme, it then
prevents them from accessing support from many of the other schemes, and this
has blighted the effect of many of the Government and Council introduced
schemes, and made them effectively a form of empty gesturing. The Council say
they are supporting people but the number that can access it is limited. Can
Market Traders be assured that such a qualification would not be included in
the current scheme and under any packages that you vote to bring forward in the
future?
iv.
Queried if
a rebate could be factored into costs to help reduce them.
The Head of Environmental Services
responded:
i.
The City Council had a repayment
plan available for traders to be negotiated on a case-by-case basis.
ii.
The City Council wanted the market
to be viable and to support traders.
iii.
Undertook to take the queries away
and liaise with colleagues, plus the Executive Councillor, so a response could
be given after this meeting.
iv.
Noted that the City Council’s
finances were under pressure, but there were no qualifications on support
offered to traders. Was unable to comment on Central Government schemes.
The Secretary of the
Cambridge Market Traders Association said he would forward copies of
correspondence to date to the Head of Environmental Services for information.
Matter for
Decision
On 11 June 2020 the Council
recorded an urgent decision to introduce market trader Covid-19 impact business
support measures, under paragraph 2 of section 9, Council Procedure Rules.
In recognition of the
continuing impact of Covid-19 on the trading conditions being faced by the
Council’s General and Sunday Market traders and the need to sustain a viable
city centre market, as a key factor to the city centre ‘high streets’ economic
recovery, the Council is proposing extending the programme of support measures
from 1 October to 31 December, 2020.
Decision
of Executive Councillor for Climate Change, Environment and City Centre
In recognition of the
difficult trading conditions and to help sustain General and Sunday market
occupancy figures and a viable city centre market, the Executive Councillor
agreed to:
i.
Apply a 25% discount to all
General and Sunday Market traders for each of the deferred monthly rental
invoices (June/July/August and September 2020) and issue a combined invoice for
this four-month deferred period in October 2020.
ii.
Continue
with the discounted standard pitch rate of £10/ day, Monday-Friday (as per 11
June urgent decision); and introduce an additional discounted standard pitch
rate of £25/ day, Saturday and Sunday; and premium pitch rate of £15/ day,
Monday-Friday; and £30/ day, Saturday and Sunday, with effect from 1 October to
31 December, 2020; and any further extension subject to review.
iii.
Waive
the ‘casual’ trader premium charge of £5/ day until the end of the financial
year (31 March 2021) with the aim of encouraging ‘casual’ traders to take on
daily available vacant pitches to maximise market occupancy rates. The corresponding recommended standard or
premium pitch fee rates, as detailed in 2.2 above, would continue to be applied
to ‘casual’ traders.
iv.
Extend the ‘relinquishing of
license’ measure (ie. removal of the four-week notice period condition to
relinquish licence, introduced on 23 March 2020), until the 30 November 2020.
Reason for the Decision
As set out in the Officer’s report.
Any Alternative Options Considered and Rejected
Not applicable.
Scrutiny
Considerations
The Committee received a report from the Head of Environmental Services.
The Committee made the following comments in response to the report:
i.
Queried if communication channels were working
effectively between the council and market traders given feedback from the
Secretary of the Cambridge Market Traders Association.
ii.
Asked the Head of Environmental Services for his
view of the mood on the ground regarding the report recommendations.
The Head of Environmental Services said the following in response to
Members’ questions:
i.
Would communicate the market pitch payment plan
with traders.
ii.
There appeared to be communication issues between
the council and market traders. Channels that were used to date:
a. A weekly bulletin
to all traders.
b. Traders were offered
a surgery with officers.
c. Officers were
visible on the market.
d. Officers had an
engagement plan with traders regarding the market square development to shape
the design concept.
e. Officers liaised
with the trade body representatives.
iii.
Undertook to liaise with the Market Team to improve
communication channels with traders.
iv.
Market stall occupancy was 68% now. It was 90%
pre-covid. Figures could be provided to Councillors after the meeting.
v.
Officers had held discussions with Cambridge Market Traders Association. They had some
insights into traders’ financial losses and which products were particularly
affected eg food.
vi.
Casual trade pitches were promoted through the
weekly bulletin to traders and advertised through social and news media
channels.
The Executive
Councillor said:
i.
The Market Team had sent a number of surveys to
market traders and followed these up with phone calls to test the:
a.
Impact of COVID-19.
b.
Position now.
ii.
The market square redesign project hoped to
generate a diverse market open seven days a week in future.
iii.
The Head of Environmental Services and his Market
Team were doing what they could to support traders.
The Committee unanimously resolved to endorse the recommendations.
The Executive Councillor
approved the recommendations.
Conflicts of Interest Declared by the Executive Councillor (and any
Dispensations Granted)
No conflicts of interest
were declared by the Executive Councillor.
Lead officer: Tim Jones, Joel Carré
- To approve the
principles and broad approach for a new Climate Change Strategy 2021-2026.
- To approve public consultation on the principles and approach.
- To consider progress in delivering the Council's existing Climate Change
Strategy during 2019/20.
Decision Maker: Executive Councillor for Climate Action and Environment
Decision published: 12/11/2020
Effective from: 01/10/2020
Decision:
Matter for
Decision
The Council has had three
climate change strategies since 2008, the most of recent of which covers the period
from April 2016 to March 2021. The strategies set out the Council’s approach to
reducing its own carbon emissions; supporting residents, businesses and
organisations in Cambridge to reduce their emissions; and helping the city
adapt to the predicted changes in climate.
The Officer’s report
provided an update on progress in delivering key actions in the Climate Change
Strategy during 2019/20.
It also set out a framework
for a revised Climate Change Strategy covering the period from 2021-2026, ahead
of public consultation in autumn 2020. It proposed a revised strategic approach
that builds on what the Council has achieved to date but sets out new ambition
for working with residents, businesses and communities in the context of the
Climate Emergency.
Decision
of Executive Councillor for Climate Change, Environment and City Centre
Approved the proposed
framework for the revised Climate Change Strategy for 2021-2026 for public
consultation.
Reason for the Decision
As set out in the Officer’s report.
Any Alternative Options Considered and Rejected
Not applicable.
Scrutiny
Considerations
The Committee received a report from the Strategy and Partnerships
Manager.
The Committee raised the following queries in response to the report:
i.
What is the view on our current 2050 net zero
carbon target for the city?
ii.
When would the City Council produce its own
roadmaps to decarbonise the organisation, to help establish reasonable target
timescales?
iii.
What was the council doing about the issues around
flood risk, rivers and chalk streams?
iv.
Requested more detail regarding the aim of the
public consultation, and to what degree that consultation would affect the overall
strategy. The councillor asked whether the consultation is planned to be a
public engagement exercise or may affect the detail of the strategy.
The Strategy and Partnerships Manager said the following in response to
Members’ questions:
i.
The aspiration was for the city to be net zero by
2050, broadly in line with UN goals. When declaring a climate emergency in
2019, the City Council called upon the government, businesses and stakeholders
to take action to meet this target by an earlier date. Part of the strategy
development would be to review that aspiration. they cannot currently commit to
a date until returning to committee in March.
ii.
We would be developing a new carbon management
plan, relating to buildings, fleet and services, including how best to achieve
a net zero carbon aim. This was part of a road map to decarbonise the city.
iv.
The primary purpose of the public consultation and workshops
would be to give residents the opportunity to comment and make suggestions on
their expectations of the city council as part of the Climate Change Strategy, but also to receive
feedback on their expectations for other organisations, including Cambridgeshire
County Council, GCP and the Combined Authority.
Additionally, asking for suggestions on how best to work collaboratively
with residents and businesses. The Council was open to advice from experts such
as Cambridge Zero, ARU and Cambridge environmental groups. Councillors could
signpost people to contact through the consultation process. The intention was
to be as extensive as possible by using digital channels.
v.
The cost of retrofitting housing was being reviewed
through the design guide. Details would come back to committee in the January
2021 meeting cycle. This would cover [possible] carbon reduction measures and
costs [if they were not implemented, or we did not build to net zero standards
now]. The Council was looking at setting high standards for its house building
program.
vi.
Officers were looking at when net zero housing
policy for private homes could be adopted through the Local Plan, so the net
zero standard could be applied to council and privately owned dwellings in the
city.
vii.
Central Government promised significant changes
that could affect City Council policies in future.
viii.
The council was producing a greenhouse gas
emissions report coving buildings it owned or paid the energy bills for. The
council owned the fabric of its housing stock, but did not pay the energy bills
for them, or commercial buildings, so they would not be covered by the report.
The Executive
Councillor said in response to members questions:
i.
The net zero strategy would be
part of the engagement the council has with residents. There were also options over how reductions
were planned, whether a constant gradual reduction, or using carbon budgets and
making larger changes sooner.
ii.
Hoped something would come out of
the Cambridgeshire Climate Commission related to the city and county that may
set out how to achieve net zero. Also as
mentioned in the report, the council would be using Climate View to measure
emissions from different sectors in the city, to see what projects can reduce
those emissions and build up a picture of where we were and where to focus
efforts.
iii.
We do have areas of risk from
flooding, though not to the same degree as other areas of the country, but we
do have issues of drought and water shortage. Councillor Thornburrow
established a cross party, cross boundary conference looking into water
resource and particularly chalk streams. Water gathering from the aquifer has
now been added to evidence gathering for the new Local Plan, to assess the
extent of the problem.
iv.
The Shared Planning Service were
using the Local Plan to seek the highest possible sustainable standards from
developments.
The Head of
Corporate Strategy said in response to members questions:
i.
The council would have had larger
plans for public consultation had it not been for the coronavirus issue.
ii.
The Climate Change Charter set out
what stakeholders, residents and Central Government could do to mitigate
climate change.
iii.
Cambridge Zero and the City
Council were working in an innovative partnership to share expertise.
The Committee unanimously resolved to endorse the recommendation.
The Executive Councillor
approved the recommendation.
Conflicts of Interest Declared by the Executive Councillor (and any
Dispensations Granted)
No conflicts of interest were
declared by the Executive Councillor.
Lead officer: David Kidston