Councils will be allowed to defer £2.6 billion in
business rates payments to central government, and £850
million in social care grants will be paid up front this
month in a move aimed at helping to ease immediate
pressures on local authority cash flows.
Councils are doing crucial work to vulnerable people and
the wider communities get through this crisis. This
includes delivering essential supplies to the vulnerable,
paying out financial relief to local businesses and get
rough sleepers into accommodation. The government wants
to ensure that they have the support they need at this
unprecedented time.
Local Government Secretary Rt Hon MP said:
Whether it be caring for the elderly, providing
outpatient services, councils are providing vital
support to the most vulnerable people in our society
throughout this pandemic.
I am determined councils get the support they need
which is why I am taking action to ease some of the
immediate financial pressures they face in responding
to coronavirus, helping to protect the NHS and save
lives.
These new measures mean councils will be able to defer
£2.6 billion of payments they are due to make to central
government over the next 3 months as part of the business
rates retention scheme.
Additionally, the government will bring forward care
grant payments to councils worth £850 million for both
children and adults. These will now all be paid this
month, rather than monthly in April, May and June, and
will help provide immediate support for core frontline
social care services.