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Chamber and committees

Question ref. S5W-35798
Asked by: Keith Brown, Clackmannanshire and Dunblane, Scottish National Party
Date lodged: 8 March 2021

Question

To ask the Scottish Government whether it will provide a breakdown of the reasons that applications to the Creative, Tourism and Hospitality Hardship Fund have been rejected.

Current status: Answered by Kate Forbes on 22 March 2021


Answer

Data for the Creative, Tourism and Hospitality Enterprises Hardship Fund (CTHEHF) was compiled by Scottish Enterprise on behalf of all three enterprise agencies. Scottish Enterprise has provided a breakdown of the percentage of applications rejected and the reason for rejection:

  • 54% were rejected because the applicant business had a positive cashflow balance after 6 months. The appraisal on grant award value required the business to demonstrate, through their own supplied cashflow projection, what they thought their cashflow would be over a 6 month period. The grant was designed to support immediate hardship amongst eligible businesses, however where they demonstrated they had sufficient cash reserves no award could be made.
  •  26% of applicants were rejected as they were not within one of the qualifying SIC codes.
  • 13% of applicants were rejected because they did not have a business bank account. A business bank account was a minimum eligibility requirement for all applicants.
  • 7% were rejected for ‘other reasons’ . This would include the business was found no longer to be trading, was insolvent, business was not based in Scotland.