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COVID-19: Closed Business Lockdown Payment


  1. Overview
  2. Eligibility
  3. Payments will be automatically issued
  4. Local Restriction Support Grant
  5. Payments
  6. Additional Restrictions Grant (ARG)


Businesses in the retail, hospitality and leisure sectors will receive a one-off grant as announced by the Chancellor on 5 January 2021.


Businesses that are eligible are those that have been mandated to close by Government and include non-essential retail, leisure, personal care, sports facilities and hospitality businesses.

Government guidance on businesses which are permitted to remain open and businesses which are subject to restrictions is set out at: GOV.UK: Closing certain businesses and venues in England

The Closed Business Lockdown Payment will be provided on a per-property basis to support businesses through the latest restrictions.

The one-off payments will be granted to closed businesses as follows:

  • £4,000 for businesses with a rateable value of £15,000 or under
  • £6,000 for businesses with a rateable value between £15,000 and £51,000
  • £9,000 for businesses with a rateable value of over £51,000

Payments will be automatically issued

Businesses are not required to submit an application for this grant.

Payments will be automatically issued to those businesses who have submitted an application and are eligible for the Local Restrictions Support Grant (Closed). Business who have already submitted an application for this scheme do not need to re-apply.

Local Restriction Support Grant

In addition to the Closed Businesses Lockdown Payment, the existing Local Restrictions Support Grant (Closed) scheme has been extended and adapted for the period of national restrictions. 

Payments will be issued to eligible businesses for the 42-day lockdown period from 5 January 2021. Businesses who have already submitted an application for this scheme do not need to re-apply as payments will continue automatically.

Applications are still open for the Local Restrictions Support Grant 'Closed' for full details of eligibility, and to access the application form

This scheme will close for applications on 31 March 2021.


Grants relating to the period 30 December 2020 to 15 February 2021 will be paid to eligible businesses in one single payment. 

South Tyneside Council will begin to process these payments to businesses in the week commencing 18 January 2021.

Eligible businesses who have previously received the Local Restriction Support Grant (closed) grant will be notified directly when this payment will be made.

The table below summarises the payments.

Commercial Property Rateable Value

Tier 4 Payment (30 December 2020 - 4 January 2021)

Local Restrictions Support Grant (Closed) 5 January - 15 February (42 days)

Closed Business Lockdown Payment (one-off payment)


Up to £15,000





Between £15,001 - £49,999





£51,000 and above





Additional Restrictions Grant (ARG)

Read about the Additional Restrictions Grant (ARG).

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