COVID-19 Additional Relief

COVID-19 has presented a significant and unprecedented challenge for businesses. On 25 March 2021, the Government announced a new COVID-19 Additional Relief Fund (CARF) of £1.5 billion.


The fund will be available to support those businesses affected by the pandemic but that are ineligible for existing support linked to business rates. The £1.5 billion has been allocated to local authorities based upon the estimated rateable value in each local authority rating list which falls within the scope of the fund.

Broxtowe Borough Council have received £1,269,980 of this funding and has created a policy that will support those businesses that may not have received help previously. The policy sets out the scope of CARF and the criteria that the Council will have regard to when determining awards from the fund. CARF will be paid to businesses as a relief against 2021/22 non-domestic rates liability, to reduce chargeable amounts payable, and in accordance with Government guidance. Central government will fully reimburse local authorities for discretionary relief awards that comply with the guidance up to the maximum level of the allocations.

This policy and guidance(Opens in a New Window) supports the COVID-19 Additional Relief Fund (CARF): Local Authority Guidance, issued by the Department for Levelling Up, Housing and Communities in December 2021. 

Discretionary Scheme

The principles of the Council’s scheme are:

  • Be a ratepayer in occupation of the hereditament as at 31 March 2021 and continue to be in occupation throughout the 2021/22 financial year.
  • Be able to demonstrate they have been adversely impacted by coronavirus restrictions at their premises either through social distancing, government recommendations to work from home, or reduced demand (where the business predominantly supplies other businesses who were unable to trade) and have been unable to adequately adapt to that impact.

The government has specified the following businesses must not be supported through this scheme:

  • Not award relief to ratepayers who for the same period of the relief either are or would have been eligible for the Extended Retail Discount (covering Retail, Hospitality and Leisure), the Nursery Discount or the Airport and Ground Operations Support Scheme (AGOSS).
  • Not award relief to a hereditament for a period when it is unoccupied (other than hereditaments which have become closed temporarily due to the government’s advice on COVID-19, which should be treated as occupied for the purposes of this relief), and
  • direct their support towards ratepayers who have been adversely affected by the pandemic and have been unable to adequately adapt to that impact.
  • In line with the legal restrictions in section 47(8A) of the Local Government Finance Act 1988, billing authorities may not grant the discount to themselves, certain precepting authorities (e.g. a parish or county council) or a functional body.

In addition to the above Government restrictions, Broxtowe Borough Council has determined that CARF will not be paid to properties or ratepayers in the following conditions, based upon BBC or the Valuation Office data:

  • Properties were there is no Business Rates charge.
  • Organisations that are a precepting authorities or public funded bodies.
  • Properties that are part of the communications infrastructure.
  • Properties that are part of the energy production infrastructure.
  • Properties that are banks or building societies.
  • Properties that are Royal Mail or logistics infrastructures.
  • Properties in the private healthcare sector (dentists, doctors, vets etc).
  • Properties in water and waste management.
  • Properties that are for public administration.
  • Properties that are schools and public educational establishments.
  • Properties that are funeral directors and crematoria.
  • Properties where the Rateable Value is over £250k.
  • Properties where the Valuation Office Agencies SCAT code is not available to BBC.

The level of relief granted has been determined by the Gross Added Value (GVA) as stipulated by the government and the category of business as stipulated by the Valuation Office Agency. 

The award of CARF will be an automated process by the Council without a requirement to make an application.  Businesses will be contacted during July and August 2022 if they meet the requirement set out in the Policy.

Further details can be found in our policy document(.pdf)(192KB)(Opens in a New Window)