New £25,000 fund to help New Forest's small firms get through coronavirus lockdown

A £25,000 grant fund has been created to help the survival of small New Forest firms which business leaders had warned risked “falling through the cracks” because they were ineligible for aid.

Workers at some firms – such as REIDsteel in Christchurch – have begun to return to their jobs with strict safety protocols in place, but smaller businesses in the tourism and hospitality industry cannot do the same or access £48m worth of government coronavirus aid.

But now they could get welcome help from a Rural Fund set up by the Solent Local Enterprise Partnership (LEP) and New Forest District Council.

To be eligible, projects must safeguard jobs and demonstrate how they will benefit the Forest’s rural economy. The grants must be matched with private funds (50% of total costs) and an advance is provided on the expectation of full evidence of expenditure within three months.

Cllr Michael Harris, NFDC’s cabinet member for economic development, said “very small” businesses would benefit, adding: “I am therefore most grateful to officers for working so constructively despite these extraordinary times to make this happen.”

Solent LEP chief executive Anne-Marie Mountifield: “This fund has been created specifically for businesses in the New Forest to ensure that the rural economy is in the best shape possible during this period and crucially as we come out the other side.”

It comes on the back of local business chiefs, including New Forest Business Partnership chairman Matthew Lawson, warning small firms could go bust unless something was done.

The LEP has also set up a support hub and aligned with the ‘Pay it Forward’ scheme by Crowdfunder and small business support network Enterprise Nation.

That scheme enables self-employed, micro and small businesses to pre-sell their services and diversify trading to ensure a continuous cash flow. The LEP will match £1 for every £1 pledged to some self-employed, micro and small businesses up to a maximum of £5,000.

Among the first three firms to benefit is The Thatched Cottage Hotel in Brockenhurst, which was given £2,000 towards its stretch target of £10,000.

The managing director of the Grade-II listed hotel is Mr Lawson, who said: “To know that we can save our business and look after our wonderful staff during this period of closure is a huge relief and we cannot wait for the day when we can welcome our lovely guests once again to the New Forest.”

To apply for the Rural Fund visit www.newforest.gov.uk/ruralfund and more information on the LEP and its schemes are available at https://solentlep.org.uk/