What is the Hardest-Hit Business Recovery Program?
The Hardest-Hit Business Recovery Program is a targeted federal COVID-19 support program established in fall 2021 and continuing into spring/summer 2022.
The HHBRP provides wage and rent subsidies, but only for businesses that can demonstrate severe revenue decline since the beginning of the pandemic.
Who can apply?
Hard-hit organizations that do not qualify for the Tourism and Hospitality Recovery Program (another program established at the same time as the HHBRP. View more information) and that have been deeply affected since the outset of the pandemic would qualify for rent and wage support under the Hardest-Hit Business Recovery Program, provided they meet the following two eligibility requirements:
- An average monthly revenue reduction of at least 50 percent over the first 13 qualifying periods for the Canada Emergency Wage Subsidy (12-month revenue decline); and
- A current-month revenue loss of at least 50 percent
How does the subsidy work?
Under this program, the maximum subsidy rate for the wage and rent subsidies would be set at 50 percent for eligible entities 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, as under existing rules. However, under this program the subsidy rates would start at 10 percent for eligible hard-hit organizations with a 50 percent current-month revenue decline, increasing thereafter on a straight-line basis to a maximum rate of 50 percent for those with a current-month revenue decline of 75 percent or higher.
The rent and subsidy rates would be reduced by half from March 13 to May 7, 2022 (claim periods 27 and 28).
Lockdown Support would be available at the current fixed rate of 25 percent and pro-rated based on the number of days a particular location was affected by a lockdown.
The table below details the proposed wage and rent subsidy rate structure for organizations that qualify for the Hardest-Hit Business Recovery Program from October 24, 2021, until May 7, 2022.
October 24, 2021 – March 12, 2022
March 13 – May 7, 2022
|Current-month revenue decline|
|75% and over||50%||25%|
|50-74%||10% + (revenue decline – 50%) x 1.6|
e.g., 10% + (60% revenue decline – 50%) x 1.6 = 26% subsidy rate
|5% + (revenue decline – 50%) x 0.8|
e.g., 5% + (60% revenue decline – 50%) x 0.8 = 13% subsidy rate
How to Apply
Retailers should apply for the HHBRP through the CRA.
- Most retailers will apply using their My Business Account
- Business representatives may also apply using Represent a Client
- Alternatively, a retailer may use the Web Forms application