Second phase of funding support for businesses affected by COVID-19

This morning, the Scottish Government announced the second phase of funding support measures for business, aimed at supporting those business which were not able to fully access the measures announced already.

On top of the financial measures that were announced on 18 March, around £220m of further grants are being made available for businesses affected by COVID-19.

The package includes a £100m fund to support the newly self-employed and other micro businesses who have not been able to access support through the previously announced measures. This fund will be channelled through local authorities and enterprise agencies and is expected to be available by the end of April.

Finance Secretary Kate Forbes commented,

“The creation of a £100 million fund is to help those micro and SME businesses who face immediate cash flow challenges, are ineligible for other schemes and are the productive base for supporting employment in the future. It will also support those newly self-employed people who are also ineligible for UK schemes and will be a vital lifeline for many businesses and individuals across Scotland.”

Another additional measure includes £120 million to extend the Small Business Grant scheme to ensure that businesses with multiple rateable properties will now be able to claim 100% grant on their first property and 75% grant on subsequent properties. Previously only one claim was permitted. The new arrangements are expected to be in place by 5 May.

We expect more detail to follow over the coming days and will continue to keep you informed as things progress.

To discuss your own circumstances or for help with the application process, please contact your usual EQ contact. You can find our up to date contact details on Our People page.