ALMOST 3,000 applications to Stormont’s biggest Covid-19 business support grant have been deemed ineligible, the Department of Finance has said.
The Localised Restrictions Support Scheme (LRSS) offers between £800 and £1,600 for week for premises forced to close under the health regulations.
It was first introduced on October 14 for businesses in Derry and Strabane forced to close on October 5. It was extended to hospitality and close contact premises across the north on October 19 after wider restrictions came into effect on October 16.
Operated by Northern Ireland’s rate collection agency, Land and Property Services (LPS), the LRSS budget was last week increased from £35m to £90m.
But the issue for many businesses has been the speed it issues funds.
DoF has admitted that applications take at least five weeks to process.
The LRSS was extended again on Friday to include non-essential retail premises, attracting 488 new applications over the weekend.
Ahead of the latest extension, some 9,038 of 12,798 (70.6 per cent) applications had been processed, but only 6,097 met the criteria, sharing £22.6 million.
Commenting on the 2,941 rejected applications, a DoF spokesperson said the figure included duplicate applications.
The department said in many cases incorrect information such as address details had been supplied, or the business declared it was not open and trading immediately prior to the start of the restriction period.
Businesses which have failed to comply with a Covid prohibition notice are also ineligible.
“In accordance with Managing Public Money guidelines, LPS cannot provide payment to a business if they’ve supplied incorrect information on their form,” said a DoF spokesperson.
“Emails to unsuccessful applications explains the reason why the application hasn’t been successful and also provides details on how applicants can have their application reconsidered if they disagree with the outcome.
“In the case of applicant error, LPS will be expediting these re-applications.”
Businesses which are not eligible for the LRSS are being encouraged to apply to the smaller Coronavirus Restrictions Business Support Scheme (CRBSS) operated by the Department for the Economy.
The CRBSS has also been extended to include businesses caught up in the latest two-week lockdown.
