West Northamptonshire Council is offering a new grant for the hospitality, leisure and accommodation sectors, but some have complained after being deemed ineligible for the funds despite their public role.
Called the Omicron Hospitality and Leisure Grant program, it aims to support businesses that provide personal services where the core service takes place in fixed-rate premises that operate in the hospitality, leisure and lodging sectors.
In grants ranging from £2,667 to £6,000, the money goes to eligible businesses in Daventry, Northampton and South Northamptonshire, depending on the taxable value of the business premises.
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Government data suggests that accommodating sectors were hardest hit by the formation of omicron
Councilor Malcolm Longley, Cabinet Member for Finance, said: “We want to support as many businesses as possible during the pandemic and we know the hospitality, leisure and accommodation sectors have been affected by this latest surge, particularly over the festive period.”
Councilor Lizzy Bowen, Cabinet Member for City Center Economic Development, Regeneration and Growth added: “We continue to do everything we can to ensure economic prosperity in West Northamptonshire and recover quickly from the effects of the Covid-19 pandemic recover.”
However, some companies have been excluded from the funds.
Personal care businesses such as hairdressers, beauty salons and tattoo artists as well as fitness studios or sports facilities are not eligible. This decision is based on the latest guidance from the central government, published on January 12. However, people who are excluded from this grant may still be able to apply for an additional restrictions grant through Jan. 24.
Jason Berrington was a gym manager and co-partner of the independent powerlifting gym on Bridge Street, Strength Lab, which went public on December 31, 2021 after just nine months in business.
He said that while gyms have benefited from some funding during lockdown, even these were not enough to keep some independent businesses like his afloat.
He said: “They like to fund pubs and restaurants and things that are often not good for people’s health, but funding for the companies that actually improve people’s health is once again at the bottom of the list.
“The top three causes of sick leave include back pain and mental health, for which the NHS recommends physical activity.”
The former manager also questioned the use of square footage to decide who gets what.
He said: “In total we have received around £52,000 in Covid grants and loans after gyms were forced to close.
“That might be a lot for some businesses with a similar footprint to ours, I know some that have even been able to expand with that money, but when our overheads were around £144,000 a year it was hardly a drop in the bucket.
“Instead of saying, ‘Any company with X square feet gets X money,’ they should take a more means-test-like approach, where they consider the needs of each business individually, not just by size or industry.”
The Omicron Hospitality and Leisure Grant deadline is Monday 28th February.
The council also offer free business and employment support to all businesses in the West Northamptonshire region, which can be found separately.