HOSPITALITY and leisure sites will be able to claim a one-off grant of up to £9,000, the Government has announced.

The payments will cost the Treasury £4.6 billion and are aimed to help support the high street as new lockdown measures announced on Monday take hold.

Chancellor Rishi Sunak also announced a further £594 million for local authorities and devolved administrations to support businesses not eligible for the grants.

Mr Sunak said: “The new strain of the virus presents us all with a huge challenge – and whilst the vaccine is being rolled out, we have needed to tighten restrictions further.

“Throughout the pandemic we’ve taken swift action to protect lives and livelihoods and today we’re announcing a further cash injection to support businesses and jobs until the spring.

“This will help businesses to get through the months ahead – and crucially it will help sustain jobs, so workers can be ready to return when they are able to reopen.”

The payments will be based on the size of each store, pub, cafe or hotel tied into the business rates typically paid by each business.

The one-off top-ups will be granted to closed businesses as follows:

£4,000 for businesses with a rateable value of £15,000 or under

£6,000 for businesses with a rateable value between £15,000 and £51,000

£9,000 for businesses with a rateable value of over £51,000

Business support is a devolved policy and therefore the responsibility of the devolved administrations.

However, the Chancellor stopped short of extending the business rates holiday, which ends in April, despite calls from retail and hospitality leaders for such a move.

The new one-off grants come in addition to grants worth up to £3,000 for closed businesses, and up to £2,100 per month for impacted businesses once they reopen.