£20 million fund to help businesses caught up in UK riots

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Published on Thursday, 11 August 2011 15:09

Written by Richard Siddle

The Prime Minister has made £20 million available and unveiled a series of emergency measures to help businesses affected by riots.

He will extend the claim period for the Riot Damages Act from 14 to 42 days, as well as putting in place business rate relief, deferred tax payments and relaxing planning permission around protective shutters.

Prime Minister David Cameron said: "On supporting businesses, we are today setting up a new £20 million high street support scheme to help affected businesses get back up and running quickly."

"To minimise the costs facing businesses, the government will enable local authorities to grant business rate relief, by funding at least three quarters of their costs.

"We will defer tax payments for businesses in greatest need, through Time to Pay and other practical support.

"And for houses and businesses that have been the most badly damaged we have instructed the valuation office to immediately stop liability for council tax and business rates.

"A specific point was raised with me in Wolverhampton yesterday, that planning regulations make it difficult for shops to put up protective shutters. We will weed out unnecessary planning regulations to ensure that businesses can get back on their feet and feel secure as quickly as possible."

He said that urgent funding would be made immediately available through a new £10 million Recovery Scheme to provide additional support to councils in making areas safe and clean.

The Association of British Insurers expects the industry to pay out in excess of £200 million following the unrest.