Support for SMEs doubles to £90 million
A fund launched on April 30th to provide grants for small and medium-sized businesses affected by coronavirus (COVID-19) is to be doubled from £45m to £90m.
The First Minister announced the increase in the Pivotal Enterprise Resilience Fund to help meet existing demand.
The aim of the fund, which is managed by Scottish Enterprise, Highlands and Islands Enterprise, and South of Scotland Enterprise, is to provide grants to SMEs which are vital to Scotland’s local or national economy but have been made vulnerable by this crisis.
While the large volume of received applications are being evaluated, the application process is currently being paused. Payments will still be made to businesses within 10 working days of receiving completed applications and the two hardship funds for the newly self-employed and the creative, tourism and hospitality sectors remain open for applications.
Cabinet Secretary for Economy Fiona Hyslop said:
“This extra £45m is a direct response to feedback from businesses. It demonstrates our determination to support pivotal businesses which are suffering, through no fault of their own.
“This package of funding will reach businesses in need - at pace - and continues our commitment to ensure every penny of the additional business money that has come to Scotland is passed on to support our economy.”
More details on find can be found at findbusinesssupport.gov.scot
The funds which make up the £145 million support package are as follows:
- £34 million Newly Self-Employed Hardship Fund, managed by Local Authorities, allocated to the newly self-employed who are ineligible for UK support (as they became self-employed since April 2019) but are facing hardship.
- £20 million Creative, Tourism & Hospitality Enterprises Hardship Fund, managed by the Enterprise Agencies with support from Creative Scotland and VisitScotland for small and micro creative, tourism and hospitality companies not in receipt of business rates relief with grants of up to £25K.
- £90 million Pivotal Enterprise Resilience Fund, managed by the Enterprise Agencies providing bespoke grants and wrap around business support to viable but vulnerable SMEs who are vital to the local or national economic foundations of Scotland
The Scottish Government is also providing £1 million to top up Creative Scotland’s Bridging Bursaries in the not-for-profit sector.