*Updated March 28, 2022

With the end of the CEWS and CERS on October 23, 2021, the Government of Canada has announced the Hardest-Hit Business Recovery Program to help support impacted businesses and organizations.

The HBRP will provide rent and wage subsidies to organizations that have been deeply affected since the outset of the pandemic, and that do not qualify for the Tourism and Hospitality Recovery Program (THRP).

Who is eligible?

Eligible organizations are required to meet both of the following two conditions to qualify:

1) You have a 12-month average revenue drop of at least 50% from March 2020 to February 2021

Calculate your 12-month average revenue drop HERE

  • The 12-month revenue decline would be calculated as, the average of all revenue decline percentages from March 2020 to February 2021 (claim periods 1-13, excluding claim period 10 or 11).
  • Any periods in which an entity was not carrying on its ordinary operations for reasons other than a public health restriction (ex. because it is a seasonal business) would be excluded from this calculation.
  • These rules would continue to apply for the purposes of calculating the current-month revenue decline.

2) A current-month revenue loss of at least 50%.

Calculate your claim period revenue drop HERE

You do not qualify for support if you are already restricted or closed because you failed to comply with a previous public health order, or decision.

*Even if you do not qualify for the HHBRP, there are other ways to qualify for wage or rent subsidies if you've been affected by the COVID-19 pandemic. If you're not sure which subsidy may fit your situation, you can determine your eligibility on the Government of Canada website.

Determine your eligibility HERE

How much is the subsidy?

The maximum subsidy rate for the wage and rent subsidies would be set at 50% from October 24, 2021 to March 12, 2022 (claim periods 22 to 26).

  • The wage and rent subsidy rates would continue to be calculated based on current-month revenue losses compared to those of a prior reference period.
  • The subsidy rates would start at 10% for eligible organizations with a 50% current-month revenue decline.
  • The subsidy then increases in proportion to current-month revenue loss up to a maximum rate of 50% (for those with a current-month revenue decline of 75% or higher).
  • The rent and subsidy rates would be reduced by half from March 13, 2022 to May 7, 2022 (claim periods 27 and 28).
Current-month revenue decline Periods 22-26 (October 24, 2021 – March 12, 2022) Periods 27-28 (March 13 – May 7, 2022)
75% and over 50% 25%
50-74% 10% + (Revenue Decline - 50%) x 1.6 (ex. 60% Decline - 50% = 10% x 1.6 = 16 + 10% = 26% Subsidy) 5% + (Revenue Decline - 50%) x 0.8 (ex. 60% Decline - 50% = 10% x 0.8 = 8 + 5% = 13% Subsidy)
0-49% 0% (not eligible) 0% (not eligible)

Details on which of your employees qualify can be found HERE

How long is the subsidy available for?

Currently, the HHBRP is officially available until May 7, 2022 (claim period 28), but the possibility does exist for further amendments through regulations to extend the program until July 2, 2022.

How do I apply?

To apply for the HHBRP, we highly recommend visiting the How To Apply section of the Government of Canada website.

Visit the How To Apply section HERE

For those interested in the particulars, you may apply using any of the following three options:

  • In My Business Account, find the wage subsidy applications under Payroll in the main menu.

    Sign in HERE

  • Business representatives may apply using Represent a Client.

    Sign in HERE

  • If neither is an option for you, you may use the Web Forms application using your web access code (WAC).

    Sign in HERE

Questions?

If you have any questions about the Hardest-Hit Business Recovery Program, please contact one of our Small Business experts or complete the contact form below.

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Heather Schwab

Heather Schwab

Service Expertise: Valuations , Estate Planning , Tax
Industry Expertise: Small Business , Agriculture , Retail

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