Question reference: S5W-28257
- Asked by: Donald Cameron, MSP for Highlands and Islands, Scottish Conservative and Unionist Party
- Date lodged: 7 April 2020 Registered interest
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Current status: Answered by Kate Forbes on 24 April 2020
Question
To ask the Scottish Government for what reason it changed the criteria for the £25,000 grant to support businesses during the COVID-19 outbreak, from “hospitality, leisure and retail properties with a rateable value between £18,000 and £51,000” to “retail, hospitality and leisure business ratepayers with a rateable value between £18,001 and £50,999”, and when the decision to make this change was taken.
Answer
In consideration of the delivery of support for businesses to limit the impact of COVID-19 on the business community, the Scottish Government determined that the grant support should be linked to the established non-domestic rates thresholds of the Small Business Bonus Scheme (£18,000), and the Intermediate Property Rate (£51,000).
Feedback on the initial messaging for this policy revealed that further clarity was required around the margins of eligibility.
On 30 March, before the rollout of the grant funding scheme, the Scottish Government published a finance circular detailing guidance for both grant schemes - the Small Business Grant Scheme and the Retail, Hospitality and Leisure (RHL) Grant Scheme. This guidance sets out the businesses operating in properties within the retail, hospitality, leisure sectors with a rateable value between £18,001 and £51,000 who are eligible for grant funding. The official guidance is available at the following link: https://www.gov.scot/publications/local-government-finance-circular-5-2020-covid-19-grant-funding-schemes/ .