BUSINESS GRANTS

UK Government

The whole of Sunderland qualifies for Selective Finance for Investment (SFI) from the UK Government at a rate of up to 20% of the value of a project.

This is a discretionary grant offered to manufacturing businesses and service industries supplying to a national market.

In order to qualify, an investment project must meet certain criteria, including:

• it will normally involve capital expenditure on fixed assets and create or safeguard jobs
• it should be of net benefit to the UK economy
• it must contribute to raising productivity and skills

The minimum threshold for a grant is £10,000, and the value is the minimum needed to enable the project to go ahead in the UK (in practice, this is closely linked to capital expenditure and the number of jobs created).

Eligible costs include property, plant and machinery, as well as certain non-recurring costs such as patent rights and professional fees.

Nissan has been awarded a grant of £5 million by the UK Government to enable production of a new all-wheel drive model based on the Qashqai concept. This will be launched in 2006 with £223 million of investment, creating 200 jobs and safeguarding another 1,000 at the company's Sunderland plant. Click here for a BBC report

Sunderland City Council

For major investment projects Sunderland City Council can provide discretionary support linked to job creation, complementing the incentives available from the UK Government.

This is in addition to the general financial incentives package, which is aimed at encouraging the formation, attraction and growth of businesses within the area.

The package is targeted on manufacturing companies and some related service industries, grants are discretionary and applications must be made before committing to the project.

Rent Relief Grant

A grant equivalent to 25-50% of the rent payable for up to one year can be awarded to eligible businesses where they are creating new jobs, occupying new or larger privately-owned industrial premises and taking a lease of at least 3 years.

Basic Services Grant

A grant of 50% of eligible costs is available for the provision of essential basic services to industrial premises, covering such items as a new electricity or gas supply, drainage works (including toilets) and canteen facilities, as well as the preparation of land for the construction of industrial premises.

Interest Relief Grant

A grant equivalent to 5% per annum of the value of loans used to purchase machinery or buildings for industrial use, awarded for up to half the duration of the loan and a maximum of 2 years.

Removal Grant

Covers up to 50% of eligible costs for companies moving into industrial premises in Sunderland, whether they are relocating from outside the area or they are moving from one property within the City to another.

Business Marketing Grant

Available to firms employing less than 50 people that are undertaking a promotional campaign as part of an overall marketing plan, covering up to 50% of the cost of items such as the design and print of brochures and other promotional material, up to a maximum of £1,500.

Contact

For information on how to apply for business grants from City of Sunderland Council, contact:

City Business & Investment Team
City of Sunderland Council
PO Box 100
Civic Centre
SUNDERLAND
SR2 7DN

Tel: 0191 - 553 1168 / 1169
Fax: 0191 - 553 1180
e-mail: business.investment@sunderland.gov.uk

Business Grants

Business Advice