Second Phase of the Small Business Grant Scheme Now Open For Applications The second phase of the Small Business Grant scheme – which extends grant support to all subsequent eligible properties - is now open for applications, Finance Secretary Kate Forbes has told the Scottish Parliament.
Ms Forbes also announced a review to examine how Scotland’s tech industry can help the economy recover.
The second phase of the Small Business Grant scheme ensures that, in addition to existing grants of £10,000 or £25,000 for the first property, businesses may now qualify for grants of £7,500 or £18,750 on all subsequent eligible premises.
In addition, retail, hospitality and leisure properties with a rateable value up to £18,000 that do not qualify for the Small Business Bonus Scheme, may now qualify for Small Business Grants.
These enhancements, announced in April, are worth an estimated £120 million extra to businesses in Scotland.
Giving an update to the Scottish Parliament, Ms Forbes announced a new short-life review – led by former Skyscanner Chief Operating Officer Mark Logan - to make recommendations on how Scotland’s thriving tech industry can help with economic recovery.
She also re-affirmed the Scottish Government’s commitment to pass on the latest £155 million of consequentials to local government in full, and called for the Scottish Parliament to be given additional fiscal powers to help address the challenges facing Scotland’s economy.
Background: The Small Business Grant Scheme is being administered by local authorities. Businesses can get information on how to apply via their local council.
£75 Million Boost For Scottish University Research From Scottish Government The Scottish Government has announced a one-off £75 million increase in funding for Scotland’s universities to ensure they can protect their world-leading research programmes against the financial impact of COVID-19.
The significant intervention will help secure the jobs and training needed to support ongoing and future research work, meaning institutions can concentrate fully on planning the long-term future of a sector so vital to the Scottish economy.
Universities will also be expected to adapt and use their own resources, as well as the packages of support for businesses provided by the UK Government, to counter the effects of the pandemic on research operations.
The new funding will replace lost research income, protect research jobs, and help universities focus more effort on the high priority research needed to fight the outbreak and to support society and the economy, post COVID-19.
Richard Lochhead, Minister for Further Education, Higher Education and Science, has now written to his UK Government counterpart Michelle Donelan, Minister of State for Universities, calling for a UK investment and support package for Higher Education (HE), including additional financial support for universities, to ensure they and their graduates can continue to play a key role in the UK’s economic and social recovery from the pandemic.
Scottish university income has been significantly affected by the COVID-19 outbreak, most notably by a loss of international student income, cancelled conference bookings, and returned accommodation fees. Recent Scottish Funding Council (SFC) analysis indicated Scottish universities face a loss of around £72 million due to COVID-19 this academic year alone, with a collective operating deficit of between £384 million and £651 million forecast for next academic year.
Background: The additional money is research capital funding. University research is classed as capital in the current 2020-21 Scottish budget. The details of the allocation to individual universities will be subject to consultation with the sector by the Scottish Funding Council.
Chancellor Rishi Sunak Set To Scale Back Furlough Scheme As Coronavirus Lockdown Eases The chancellor, Rishi Sunak, is preparing to wind down the coronavirus wage-subsidy scheme for workers from July as part of government plans to gradually remove lockdown measures.
In a sign of the mounting costs to the exchequer, with almost a quarter of employees in Britain furloughed in the past fortnight, the chancellor is expected to announce that the Covid-19 job retention scheme will be steadily scaled back as restrictions on business activity are lifted.
The Treasury is understood to be examining several options for tapering the scheme, including cutting the 80% wage subsidy paid by the state to 60% and lowering the £2,500 cap on monthly payments. Another option promoted by employers’ groups to allow furloughed staff to work, but with a smaller state subsidy, is also under consideration.
Sources indicated that a final decision has yet to be made, but the Treasury was working closely with No 10 as Boris Johnson prepares to outline plans on Sunday to gradually lift lockdown restrictions.
Sunak is expected to announce details of the plan before the middle of May, because employers making more than 100 staff redundant must run a 45-day consultation before making any job cuts.
SCC and business groups have called for the chancellor to make urgent changes to the scheme to remove the risk of a “cliff edge” closure to the wage subsidy programme at the end of June, warning that it risks becoming a “waiting room” for redundancies otherwise.
Extra Payment For Unpaid Carers From the Scottish Government As part of the next emergency coronavirus legislation, the Scottish Government is proposing an additional £19.2 million investment in Carer’s Allowance Supplement.
This is in recognition of the additional pressure that carers are under as a result of the ongoing pandemic. If approved by parliament, around 83,000 eligible carers will get an extra £230.10 through a special one-off Coronavirus Carer’s Allowance Supplement in June.
As with the current supplement, they will not need to do anything to get this extra payment as it will be paid automatically to people in receipt of Carer’s Allowance.
This would mean that carers receive an additional £690.30 this year on top of their Carer’s Allowance and any other income.
Cabinet Secretary for Social Security and Older People, Shirley-Anne Somerville said:
"We introduced the Carer’s Allowance Supplement to recognise the important contribution unpaid carers play in our society.
"They provide vital support to family, friends and neighbours. Our collective efforts to slow the spread of coronavirus will see many of these carers experiencing additional pressures, particularly financial, right now.
“The payment will benefit carers who are on low incomes and already have some of the most intense caring roles, providing at least 35 hours unpaid care weekly to a disabled child or adult in receipt of higher-level disability benefits.
“This additional payment would be an acknowledgement to carers that we know that they are doing even more right now, and we thank you.”
Phase 4 Tracker: Economic Recovery Today, all chambers will have received their own branded version of the Phase 4 tracker survey which is focused on economic recovery.
The Phase 4 Economic Recovery Tracker focuses on what businesses need from Governments as we plan for economic recovery and restart business operations.
The findings of this Tracker will support the Chamber Network’s representations to both the Scottish and UK Government to shape the business and economic recovery plans.
For further information on any of the above research priorities, please contact ccampbell@scottishchambers.org.uk
Research: QEI The Q2 2020 Quarterly Economic Indicator survey fieldwork will begin Monday 18th of May and finish on Monday 8th of June.
Next Monday, we will be sharing communication materials and the survey link with chambers.
The data for this QEI will be the first major source for comparison with pre Covid-19 data. Alongside our collaboration with the British Chambers of Commerce, the overall results will indicate the seismic shift from pre Covid-19 business conditions to the present and give a clearer picture of the situation facing businesses across the UK.
To avoid conflicting fieldwork, we will temporarily suspend the Coronavirus Tracker Survey data collection while QEI fieldwork takes place. We are keeping data requirements under constant review.
QEI Dates for 2020
Q2 2020 Fieldwork: 18 May to 8 June Publication: Monday 6th July
Q3 2020 Fieldwork: 26 Aug to 16 Sept Publication: Thursday 8th October
Q4 2020 Fieldwork: 2 Nov to 23 Nov Publication: Thursday 21st January 2021
Key Statistics
Latest Coronavirus Statistics The daily update outlining the key statistics related to Covid-19 cases so far.
SCC Support Hub
The SCC Business Support Hub The Business Support Hub on the SCC website has been created to enable businesses to find useful information quickly.
The Hub is updated daily and includes information on business support, access to finance, contact numbers, public information and travel advice.
Key Links
|
|