Scottish Government confirms additional financial support package for business

The Scottish Government has announced a further package of financial support, worth £185m, which will be targeted at specific sectors, including travel agents, coach companies, visitor attractions and wedding firms and their suppliers. There will also be more funding for the hospitality sector to help them deal with the traditional post-Christmas dip in demand: hospitality businesses will be able to apply for a one-off grant of £2000 or £3000 in January.

The new funding was announced at the same time the Scottish Government confirmed how it plans to use the near £2bn of funding it will receive in additional Barnett Consequential money from the UK Treasury. £570 million will be used to help businesses, including funding for the Strategic Framework, local business support packages, the newly self-employed hardship fund and local authority discretionary business funding. This covers the period to 31st March 2021.

Commenting on the additional funding, Alan Mitchell, Chief Executive of Fife Chamber of Commerce, said: “While any additional funding to support beleaguered businesses that are being hammered by covid restrictions is welcome, and the headline numbers look very big, the reality is that an awful lot of businesses need help and the majority of firms that are getting money aren’t getting nearly enough to compensate for the income they are losing because they cannot trade normally. No amount of spin can change that.

“Normal trading is the only way to economic recovery and the job and wealth creation that will generate, so it is imperative that the Scottish Government gets test and trace working better over the Winter and speedily rolls out vaccines to the most vulnerable, so that everyone else can be allowed to return to their normal lives.”

Click here for additional business support information

Click here for overall covid funding allocations