Welsh government announces third round of Economic Resilience Fund

"Many small businesses who are suffering the financial impacts of a local lockdown will breathe a sigh of relief that this grant has been announced," said Ben Francis, FSB Wales policy chair.

“For Welsh businesses, 2020 has been a fight for survival, and many firms will have already extinguished their reserves in just surviving the initial lockdown. That’s why FSB Wales has for some time been calling for a Rapid Reaction Business Fund to support those firms that are impacted by local lockdowns."

Mr Francis explained that a local lockdown – particularly where it has come hot on the heels of the national lockdown – is presenting huge challenges for those SMEs that are a crucial part of Welsh towns and communities.

"We continue to be concerned about the impact of travel restrictions on many firms in the run up to Christmas, which would ordinarily mark a busy time of year."

He noted that while this funding is significant, it is important to note that businesses also need timely communication to help them deal with the impact of a local lockdown.

"FSB has been working hard with Welsh government and local authorities in South Wales to provide this and to help learn the lessons from earlier lockdowns in Leicester and Aberdeen," said Mr Francis. 

"We would urge all local authorities in Wales to consider how they can best communicate with businesses who rely on hearing timely advice on what a local lockdown means for them and what they can and cannot do."

He applauded the government also on helping businesses innovate and adapt for the long-term changes COVID-19 will bring to the economy, but noted that it's important that the funding is matched by training and guidance through Business Wales. 

“Ultimately, as we have seen earlier in the year, the success of this scheme will come down to its accessibility. Firms need to be able to access this funding with minimal hurdles and with an application process that is as straight forward as possible," said Mr Francis. 

"We are pleased to see that applications will be open before the end of October and would stress the need to get this money into the hands of those that need it as quickly as possible, in order for it to have the biggest possible impact across Wales."