To ask the Secretary of State for Environment, Food and Rural Affairs what the criteria are for awarding monies under the small scale small business recovery scheme for flooded areas; to which areas the scheme will apply; and if he will make a statement. (148281)

I have been asked to reply.

The regional development agencies have responded rapidly to provide support and assistance to businesses affected by the recent flooding. Yorkshire Forward has set up a £2 million Small Business Recovery Scheme to assist businesses. To be eligible for funding to assist with immediate recovery needs, businesses must be in a recognised flooded area; be a business entity operating in the Yorkshire and Humber region and must have fewer than 250 employees. The East Midlands Development Agency has established a £500,000 Flood Recovery Fund to help support affected SMEs. To be eligible for funding, businesses have to demonstrate impact of flooding on the income of the business; that it has taken all reasonable actions to mitigate this; that the business is temporarily trading at a loss or experiencing severe cash flow difficulties which could lead to failure of the business; and it can present evidence of past and future viability.

Full details of eligibility criteria are available at www.yorkshire-forward.com and www.eastmidlands business.co.uk.