FWD welcomes coronavirus grant scheme for small businesses

• The grants are aimed at small businesses with a headcount of 50 or less

• James Bielby said the FWD was encouraging its members to apply for the grants

The Federation of Wholesale Distributors has welcomed a new government grant that could offer some emergency relief to struggling businesses.

The new discretionary grants fund will give local councils the authority to distribute grants of up to £25,000 to businesses that can demonstrate they have suffered a significant fall in income due to the coronavirus crisis.

The grants are aimed at small businesses with a headcount of 50 or less, and occupy a property with a rateable value or annual mortgage payments below £51,000.

Councils have been asked to exercise their local knowledge and discretion as the government recognises that economic need will vary across the country.

The FWD has written to the Local Government Association and asked that wholesalers’ applications are prioritised.

“We will continue to press for more effective long-term measures such as business rates relief and the sector-specific aid that has been given to the dairy and fisheries industries,” said FWD CEO James Bielby. “These grants potentially offer some emergency relief for foodservice and on-trade wholesalers and, although the decision on allocation is at the discretion of each local authority, we are encouraging our members to apply.

“This assistance would be welcome and much-needed if it can be accessed, but it is not enough to keep the supply chain open until the hospitality sector returns.”

Applications for grants can be made via local authority websites.