£5m fund launched to help stricken businesses after art school inferno
A £5 million fund has been announced to help businesses affected by the fire that destroyed Glasgow School of Art’s Mackintosh Building last month.
Economy secretary Derek Mackay confirmed the cash amid frustration from business owners and residents shut out of a safety cordon around the site while the building is dismantled.
The Scottish Government said Glasgow City Council would be given the additional funding to distribute to businesses inside the cordon and in the wider Sauchiehall Street area who could demonstrate hardship as a result of the fires.
Those firms within the Glasgow School of Art and Victoria’s cordons will receive £20,000 of direct financial support, with other businesses impacted eligible for £10,000. The move follows rates relief for affected businesses and grants of £3,000 for affected residents.
Mr Mackay said: “The terrible fires at the Glasgow School of Art and Victoria’s are having a significant impact on many local businesses who are either closed or unable to access their premises.
“Given the scale of the ongoing disruption, I am making up to £5m available immediately to support those businesses affected.
“The sheer scale and lasting effects of the fires on those involved are becoming clear and it is important that businesses are given financial support to help them through this very challenging time.”
Susan Aitken, the leader of Glasgow City Council, added: “The council has been working closely with the Scottish Government to facilitate this fund, which we hope will assist those business affected by both events.
“This fund complements the
0 Businesses next to the fire damaged Mackintosh Building will receive financial support
DEREK MACKAY
range of actions that we have taken in the past few weeks to support businesses including the use of the Glasgow Guarantee to support employees, having dedicated business support advisers based in the Dental Hospital and the Savoy Centre, supporting businesses
to relocate outwith the cordon, hosting a session on insurance and legal issues with Harper Mcleod, introducing zero rating for businesses in the cordons and reduced rates for businesses who can demonstrate detrimental impact.
Applications to the fund will open on 31 July with eligibility for businesses outside the cordon yet to be set out.
Hisashi Kuboyama, the Federation of Small Businesses’ development manager for the west of Scotland, said: “Many businesses in Glasgow city centre are likely to be facing short-term cashflow difficulties as a consequence of the recent fires.
“This additional funding is hugely welcome – and should help more businesses survive this difficult period.”
“The terrible fires at the Glasgow School of Art and Victoria’s are having a significant impact on many local businesses”