Agenda item

Covid-19 Recovery: Business Rates, Business & Resident Support

Decision:

Having considered an officer report, and a presentation by the jobshare

Cabinet Member for Culture, Jobs & Skills, Councillor Joe Dromey, the Mayor

and Cabinet agreed that:

(1) the broad package of support to business and residents set out together

with the specific recommendations indicated below be approved;

(2) Across all areas of income collection for the next three months note the

Council’s general approach be noted and endorse the following be endorsed:

a. Generate invoices based on existing agreements and charges

unless specifically waived;

b. Hold the sending of any reminders for payments due on bills

raised; with communications emphasising payment flexibility for

business those struggling to pay and not referencing

enforcement action;

c. Invite all customers, businesses or residents, to contact the

Council early to discuss any financial difficulties they may be

facing as a result of Cod vi19;

d. Offer flexibility to vary payment schedules to waive charges for

up to three months and reset future payments to recover the

monies due thereafter.

d. Delegate authority to the Executive Director for Housing,

Regeneration and Environment in consultation with the Acting

Chief Finance Officer to scope the recommended options,

implement processes and eligible accessibility criteria.

(3) the Executive Director for Housing, Regeneration and Environment in

consultation with the Acting Chief Finance Officer be authorised to introduce

temporary top-up to emergency loans to support families with unexpected

Covid-19 bereavement costs, to bridge the circa 7 week delay in obtaining the

£1,000 DWP ‘funeral expenses payment’; this is subject to the outcome of the

current all Borough’s representation to DWP to reduce delays in processing

applications.

(4) the Executive Director for Housing, Regeneration and Environment in

consultation with the Acting Chief Finance Officer be authorised to implement

the following proposals as part of a comprehensive package of support to help

protect Lewisham business and jobs:

(5) For Council commercial tenants - if requested by the tenant and having

checked on a case by case basis that they have availed themselves of other

available government support, to:

a. At least defer all commercial rents due up to a 3-month period - essentially

terms would be agreed to recover the rent over a longer period.

b. Allow flexibility for officers to discount or forego commercial rents due for

small and medium-sized enterprises (SMEs with fewer than 250 employees,

and a turnover of less than £50 million) who have not received business rates

relief or grants, voluntary groups and charities – initially - up to a 3-month

period,

c. Consider in June on whether to defer or forego rent for a further quarter for

businesses that - still remain vulnerable to imminent closure.

At an estimated cost to the Council from loss of income of up to £800k.

(6) For commercial waste customers - where appropriate for those not trading

(e.g. excluding supermarkets), agree an initial three-month free-period on

annual waste collection charges from the 1 April 2020; and if requested, defer

payments for 3-months for SMEs who are still trading (e.g. shops) at an

expected cost to the Council from loss of income of up to £500k.

(7) For Licenced premises - provide leniency on when the statutory premises

licencing fee is paid, not to suspend premises for non-payment of license

fees, not to chase on non-payment – but continue to invoice premises for their

annual fees as normal. Council will provide a 3 month grace period after the

Covid-19 lockdown regulations cease before chasing payments and

suspending premises.

(8) For Commercial tenants paying service charges - If requested, defer

charges due from Forest Hill Business Centre and Bow Arts Trust for up to a

3-month period, with consideration in June for a further quarter deferral –

essentially terms would be agreed to recover the full service charge over a

later or longer period.

(9) For Market Traders - endorse the agreed blanket approach to cease all

fees and charges to support Lewisham Markets & Traders without charge

penalty or loss of pitch for the first quarter at an expected cost to the Council

from loss of income from all markets across Lewisham of £225k.

(10) For Business parking - endorse the four month blanket reduction on

annual business parking permits from the 1 April 2020 at an expected cost to

the Council from loss of income of £130k.

(11) For Shop Forecourt licences - cease all fees and charges to support

Lewisham business owners without charge, penalty, or loss of shop forecourt

licence for the first quarter at an expected cost to the Council from loss of

income from all licensed shops of £35k.

(12) a ‘Lewisham backs Business’ Task Force, comprising lead Members,

representatives from the local business community, industry, and officers be

established to develop and coordinate a whole Council response to

supporting business and jobs recovery quickly and inclusively from the

disruption of Covid 19.

Minutes:

The Mayor offered some introductory remarks thanking Councillor Dromey

and the officers involved in formulating the proposed support package. The

Mayor acknowledged that the impact locally of the global Covid-19 pandemic

was unprecedented. He reported on efforts to involve local businesses in

devising appropriate support packages to sustain the local economy during

the crisis.

The report was then presented by Councillor Joe Dromey. He outlined the

package of support measures put in place to support local businesses at

significant cost to the Council. He had received confirmation that existing

budgetary provisions allowed the expenditure to be made but that the course

of action undertaken was based on the understanding that Government would

reimburse Councils which had offered support. Councillor Dromey and other

Cabinet members expressed concern that the Government might be backing

away from the undertakings they had given on March 16. The Cabinet

decided that they should share their concerns with the three local MPs and

press Government to deliver on their promises to ensure local councils were

properly reimbursed for their outlay.

Having considered an officer report, and a presentation by the jobshare

Cabinet Member for Culture, Jobs & Skills, Councillor Joe Dromey, the Mayor

and Cabinet for the reasons set out in the report by a vote of 10-0:

RESOLVED that: