CASH AT LAST!
Holyrood lifeline for lower-league clubs is finally on its way but money must NOT be used to fund new signings
CASH-STRAPPED lower-league clubs have been told they can’t use Scottish Government grants to buy new players.
The SFA and SPFL Joint Response Group have thrashed out an £11.35million Christmas rescue package with Holyrood.
Championship clubs starved of gate income by coronavirus will receive grants of £500,000 each, while teams in League One will receive £150,000 and League Two clubs £100,000.
First Minister Nicola Sturgeon handed £30m to football as part of a £55m emergency bailout for Scottish sports starved of gate income by Covid-19.
Under the terms of the deal, Premiership clubs will be eligible to apply for £20m worth of loans at a reduced interest rate.
A f urther £ 10m worth of grants will be distributed a mongst clubs from the Championship down, with the National Lottery announcing yesterday they have chipped in a further £1.35m for non-league sides.
In return for taxpayer money, however, club secretaries have been asked to si gn an undertaking to the SFA that the money ‘will not be used to fund any player transfer fees prior to the end of the 2020-21 season and will not be
withdrawn from clubs by owners or directors’. Last night, chairmen of lower-league clubs told Sportsmail of their delight at the news amidst growing anxiety that a number of teams would run out of money. The SFA hope to distribute the cash in time to meet December wages. And the governing body believe the cash could sustain lower-league teams until well into 2021 if fans are locked out of grounds for the rest of the season. Dunfermline chairman Ross McArthur hailed the government intervention as a ‘shot in the arm’ for Scottish football and the perfect Christmas present for lower-league clubs. ‘Clubs badly needed some form of support because we can’t get fans back,’ he said. ‘So I am delighted the government stepped up to the plate and worked hard with the JRG to get a solution that helps everybody. ‘It’s a massive shot in the arm for Scottish football. And all credit to everybody involved in getting together and getting this resolved fairly quickly to help clubs for Christmas, ‘This gives every lower-league club greater certainty going into the second half of the season now. And, let’s be honest, it may be needed into the start of next season as well. Because as things stand it would be foolish to think that, come the start of next season, everything will be rosy in the garden. ‘We have lost 50 per cent of our revenue this season. We have been forced to cut back. We sold Kevin Nisbet for £300,000 and that money was to fill a hole. We had to sell our top goalscorer. ‘Every club is haemorrhaging cash at the moment because there is no income coming in. Even getting a few hundred fans back actually costs you money in terms of everything you have to do. ‘So this is a very, very welcome intervention for everyone.’ Meanwhile, it emerged yesterday that clubs in the Highland, Lowland, East and West and South of Scotland Leagues will receive further support after the National Lottery topped up the money already promised by the Scottish Government. Welcoming that news, SFA chief executive Ian Maxwell said: ‘Fans are the lifeblood of our national game and local clubs the lifeblood of communities. ‘The importance of protecting that bond has never been more important than during the Covid-19 pandemic and its impact on everyday life across the country. ‘The power of football is integral to our society and it will play an integral role in our emergence from the restrictions.’