16 Feb Scottish Government funding – latest
The Scottish Government has announced several funds and reliefs to help mitigate the effects of Covid-19 on different business sectors.
These funds are often industry specific and help provide support to those businesses whose profits have been directly impacted by Covid-19 restrictions.
Strategic framework business fund
If your business is required to close by law, or to significantly change its operations due to Covid-19 restrictions, you may be eligible for grant funding. This funding will cover the period of any forced closures or restrictions, with the earliest claim date being November 2, 2020.
Applications are made through your local authority website.
These grants will be paid every 4 weeks in arrears for as long as restrictions last.
If your business is legally required to close the grant will be:
- £2,000 if business has a rateable value of up to and including £51,000
- £3,000 if business has a rateable value of £51,001 and above
If your business can remain open but is legally required to modify its operation the grant will be:
- £1,400 if your business has a rateable value of up to £51,000
- £2,100 if your business has a rateable value of £51,001 and above
Eligibility will depend on your where your premises are located and the level of restrictions in place at that time.
You can apply if:
- Your business has been directly impacted by Covid-19 restrictions and the type/sector has been mentioned in eligibility guidelines.
- Your business is registered for non-domestic rates.
The full eligibility guidelines are detailed at: Coronavirus (COVID-19): Strategic Framework Business Fund – gov.scot (www.gov.scot)
Non-essential retail and leisure top-up payment
To receive the non-essential retail and leisure top-up payment you must have applied to the strategic framework business fund by February 5, 2021. If you have already applied, you do not need to reapply for this top-up, it will be issued automatically.
Hospitality businesses will receive:
- £25,000 for larger hospitality businesses on top of the 4 weekly £3,000
- £6,000 for smaller hospitality businesses on top of the 4-weekly £2,000
Non-essential retail and leisure businesses (such as indoor gyms) will receive:
- £9,000 for larger retail and leisure businesses on top of the 4-weekly £3,000
- £6,000 for smaller retail and leisure businesses on top of the 4-weekly £2,000
In most cases businesses that applied for the 4-weekly payment from the strategic framework business fund will get an automatic top-up.
Restaurants, bars, pubs, licensed social and sports clubs, cafes, and hotels are eligible for the hospitality top-up payment. Other accommodation providers such as self-catering, B&Bs, guesthouses etc. are not eligible.
The following are eligible for the retail and leisure top-up:
- Non-essential retail (shop fronts) required to close
- Premises that provide close contact services
- Sports and exercise – indoor gyms, swimming pools, dance studios, exercise class/yoga studios, indoor football centres
- Leisure – cinemas, arcades, soft play, funfairs, indoor bowling, theatres, comedy clubs, snooker/pool halls, casinos, bingo halls, nightclubs, concert halls, music venues
Business rates relief
The Scottish Government has introduced additional rates relief discounts to help owners on non-domestic properties, including businesses, deal with the impact of Covid-19.
The discounts include:
- 6% relief on all non-domestic properties in Scotland
- 100% rates relief for retail, hospitality, and leisure businesses
- Small business bonus scheme
- Payment deferral
- Support for water bills
This rates relief is available from April 1, 2020 to March 31, 2021 and will be extended for at least an additional three months for retail, hospitality, leisure, and aviation businesses. The 1.6% rates relief and the 100% for retail hospitality and leisure will be applied automatically.
The small business bonus scheme is accessed through your local council website. For payment deferral contact your local authority. Water bills support is applied by contacting your water supplier directly.
Scottish wedding industry fund
This fund aims to provide support to businesses whose main income comes from the wedding and civil partnerships industry. The fund will offer fixed grants to business based on turnover pre covid-19. The funding is as follows:
- A £5,000 grant for businesses with a pre-Covid-19 turnover between £10,000 and £49,999
- A £10,000 grant for businesses with a pre-Covid-19 turnover of between £50,000 and £99,999
- A £15,000 grant for businesses with a pre-Covid-19 turnover between £100,000 – £249,999
- A £25,000 grant for businesses with a pre-Covid-19 turnover of more than £250,000
There is no fixed closing date for this fund.
To be eligible for this fund you must be operating in Scotland with a Scottish trading address and have started trading on or before December 31, 2019.
Further eligibility criteria include:
- Have been generating an annual turnover of at least £10,000 before March 2020
- Be a micro, small or medium enterprise.
- If a sole trader, this must be your main income.
- 50% of trading income must be generated from weddings before the Covid-19 pandemic.
- Have lost at least 50% of turnover due to Covid-19 pandemic.
- Intend to continue trading in the wedding industry after Covid-19.
- Must not have received a one-off £25,000 payment from the hospitality sector top-up (mentioned above). If you have received this payment you would have been notified in the past few weeks.
Taxi and private hire support fund
Licensed taxi or private hire drivers whose business has been negatively affected by Covid-19 may be eligible to receive a one-off grant of £1,500.
You may still be eligible for this grant even if you have received one of the other Scottish or UK Government funding schemes. If you are eligible for a grant no action needs to be taken, your local council will get in touch with you.
To be eligible you must have been licensed from October 9, 2020 to at least January 31, 2021. Up to December 31, 2020, you must also have experienced at least a 50% loss of income compared with 2019 and have been working as a taxi driver or private hire.
Further information on Scottish Government funding can be accessed at the following link:
Browse services – Find Business Support – Filtering by support type Funding and by topic Coronavirus
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