Government’s grant scheme ‘anomoly’ puts photography firm out of the picture

THE owner of a photography business says she is struggling to get the grant she desperately needs to survive lockdown.

Louise Lyons’s studio is based at Lily Street Mills, Milnrow, and she pays business rates through her landlord.

With bookings tailing off due to the coronavirus crisis, the government’s Small Business Grant Fund seemed to offer a financial lifeline to see the firm through.

Things weren’t that simple, however.

To claim the cash, firms have to prove they were paying business rates on their premises on March 11 by providing the relevant reference number. Administered by local authorities, eligible companies can claim £10,000 to help them survive the downturn.

But Louise has been refused the cash due to her landlord being the registered rate-payer, rather than herself.

Without the grant, the mum-of-three doubts her business will survive.

“Because the house is only small I don’t have anywhere to store my equipment. I would not be able to go and get anything at the minute,” says Louise, 45.

“I have got about enough money to last the month through the business account. After that I don’t have money to pay my insurances and other overheads.”

She adds: “It feels like I would have to do something else. I have worked in TV before but stopped because of the children and the hours. We just feel a bit stuck. If I lose the studio, that’s it really, I might be able to do the odd bit but I would have to do something else.”

Louise wants the government to allow councils to be more flexible when assessing firms’ eligibility.

She adds: “If they would just extend the grant - I can prove I have a lease, I have a utility bill and I have my own insurance on the studio. I’m the only person that uses it, I can’t understand why they can’t open it up. I think this grant would save a lot of businesses alone.”

While Louise acknowledges frontline workers are putting their lives on the line, she believes the long-term importance of small businesses should not be overlooked.

“Ultimately, when all this is finished, we will need small businesses paying taxes to pay for everything - and my business probably won’t be there. It just feels like you have been hung out to dry.”

Coun Faisal Rana, Rochdale council’s assistant cabinet member for finance, has written to the chancellor asking him to take ‘urgent action’ over the ‘anomaly’ warning many businesses could go to the wall without help.

Rochdale council say that along with other GM authorities, they are aware of the issue and have raised it with government.

They are also working on a joint proposal to cover the omission but it will need to gain government approval to come into force.

The council has distributed £35.5million to 3,187 businesses. Extensive work to highlight the support available led to a further 145 businesses receiving grants worth £1.6m since last Thursday.