Support for Businesses in Scotland due to COVID-19
For Scottish Businesses, the economic support package during the COVID-19 crisis is being lead by Holyrood and does differ in content slightly from UK Government recent announcements.
Check here on the what, when and how to access economic funding for small businesses in Scotland.
Overview of Economic Package available to Scottish Businesses
Economy Secretary, Fiona Hyslop, has confirmed a support package for businesses worth £2.2 billion, from 1 April:
a full year’s 100% non-domestic rates relief for retail, hospitality and tourism sectors
£10,000 grants for small businesses in receipt of the Small Business Bonus Scheme or Rural Relief
£25,000 grants for hospitality, leisure and retail properties with a rateable value between £18,000 and £51,000
1.6% relief for all properties, effectively freezing the poundage rate next year
First Minister to convene an emergency meeting of the Financial Services Advisory Board
Urging local authorities to relax planning rules to allow pubs and restaurants to operate temporarily as takeaways
extending the go live date for the deposit return scheme to July 2022
Halting the introduction of the Visitor Levy Bill
Grants
Businesses in Scotland can apply to the Business Support Fund for a grant to help them deal with the impact of the outbreak.
Retail, hospitality and leisure businesses with a rateable value between £18,001 and up to and including £50,999 will be able to apply for a one-off grant of £25,000.
A one-off grant of £10,000 will also be available to small businesses who get:
You can also get this grant if you applied for Nursery Relief, Business Growth Accelerator Relief or Disabled Relief but are eligible for the Small Business Bonus Scheme.
You can only apply for one grant – even if you own multiple properties.
Self-catering premises are not eligible for the grant funding.
See a list of sectors that can receive the £25K grant here.
Applying for a grant and getting paid
It will be possible to apply for the grants from 24 March 2020 and they will be available to 31 March 2021.
To apply, you'll need to complete an application form. You can find this form on your local council website.
Councils will aim to make payment within 10 working days of receiving a grant application form.
Other reliefs to help with COVID-19
All non-domestic properties in Scotland will get a 1.6% rates relief. This relief effectively reverses the change in poundage for 2020-21.
You do not need to apply for this relief and it will be applied to your bill by your local council.
Retail, hospitality and leisure businesses
Retail, hospitality and leisure businesses will get 100% rates relief. To get this relief, a property has to be occupied. Properties that have closed temporarily due to the government's COVID-19 advice will be treated as occupied.
The Scottish Government are working with Scotland's 32 Councils to make sure this relief is administered in the most effective way.
Deferring payment of non-domestic rates
If you're struggling to pay your non-domestic rates bill you should contact your local council and ask them about your payment options
These reliefs will be available to non-domestic properties from 1 April 2020 to 31 March 2021.
State Aid
State aid rules still apply in the UK until the end of 2020.
The European Commission are consulting with Member States on a number of temporary State aid measures. These measures aim to help with the financial pressures businesses face as a result of Covid-19.
The Scottish Government will work with the UK Government to make sure these measures can be adopted to help Scottish Businesses where possible.
Useful links
Business can use the Scottish Enterprise business support finder to find out what is available to them.
Get free support and advice from Business Gateway. Speak to a local adviser over the phone and online.
