NI retailers welcome new £4.6bn fund to help high street - but warn it may not be enough to save jobs

Around 600,000 retail, hospitality and leisure sites will be able to claim a one-off grant of up to £9,000.

The payments will cost the Treasury £4.6 billion and are aimed to help support the high street as new lockdown measures take hold.

Chancellor Rishi Sunak also announced a further £594 million for local authorities and devolved administrations to support businesses not eligible for the grants.

The Northern Ireland Executive will receive £127 million.

Mr Sunak said: “The new strain of the virus presents us all with a huge challenge – and whilst the vaccine is being rolled out, we have needed to tighten restrictions further.

“Throughout the pandemic we’ve taken swift action to protect lives and livelihoods and today we’re announcing a further cash injection to support businesses and jobs until the spring.

“This will help businesses to get through the months ahead – and crucially it will help sustain jobs, so workers can be ready to return when they are able to reopen.”

Retail NI Chief Executive Glyn Roberts said: “This is a welcome move by the Chancellor, and we hope that our Executive will work night and day to get these grants paid out to independent retailers and other high streets businesses.

“Retail NI also wants the Executive to include essential independent food retailers, who have lost trade and footfall, in this grant scheme.

“With footfall reduced by 78%, many of these businesses are struggling to trade in town and city centres which are virtual ghost towns, with most of their neighbouring businesses closed.

“With offices, non-essential retail and hospitality closed, custom for these businesses has decreased dramatically and will mean they have no choice but to close, further adding to the challenges of the high street.

“With the lockdown now being tightened we need the Executive to bring forward a comprehensive business support package, including further rates relief for the whole of 2021.

“If the Executive does not take immediate action, then we are facing the loss of businesses and jobs which will be off the scale.”

Northern Ireland Chamber of Commerce and Industry Chief Executive Ann McGregor, said: “Whilst this immediate cash flow support for business is welcome, there is however a fear that it will not be enough to save all firms, especially those across hospitality, leisure and retail.

“Business needs to see a clear support package for the whole of 2021, not just another incremental intervention. The UK government must provide long term plans which allow businesses of all shapes and sizes to plan, and ultimately survive.

“We now look forward to hearing more from the NI Executive on how Northern Ireland’s £127m of additional funding will be allocated. Support must be sufficient to cover not just those on the front line of retail, hospitality and leisure, but also firms in supply chains and wider business communities who are also feeling the devastating impact of these restrictions.”

The payments announced by the Chancellor will be based on the size of each store, pub, cafe or hotel tied into the business rates typically paid by each business.