£320m fund to help support businesses impacted by virus

A £320 million support package has been announced by the Scottish Government to help businesses across the country deal with the coronavirus pandemic.

The Finance Secretary Kate Forbes revealed a raft of measures to soften the blow of the Covid-19 outbreak, including 75% rates relief for retail, hospitality and leisure sectors with a rateable value of less than £69,000 from April 1.

The package also includes an £80 million fund to provide grants of at least £3,000 for small businesses in sectors facing the worst of economic impacts.

A fixed rates relief of up to £5,000 for all pubs with rateable values of less than £100,000 from April 1 was also announced at the weekend.

The pandemic has already created major economic turmoil across Scotland, with many supermarket shelves left empty due to panic buying over the weekend.

Major brands such as Apple have temporarily closed all of their shops and a number of independent Scottish businesses have followed suit.

Last week, the bar Krakatoa at Aberdeen harbour announced it would be shutting in order to help prevent the spread of coronavirus.

Aberdeen Central MSP Kevin Stewart said he has had a “significant number of people” contact him to raise fears about how the virus will impact their businesses and employees.

But he said the funding announced by the finance secretary would be “a great help to a huge number of businesses across Aberdeen, who may find themselves struggling in the weeks and months ahead”.

“Every rate-paying business in the city should benefit in some way from this support,” he added.

Adrian Watson, chief executive of the business group Aberdeen Inspired said: “The level of pressure on the high street is well-documented and Aberdeen is no different in this.

“Many of our businesses in the city centre report significant challenges, not least with business sales, and this has been compounded by restrictions and

“Every rate-paying business in the city should benefit”

uncertainties with Covid-19, making a very difficult trading environment indeed.”

Andrew Martin, chairman of the Aberdeen and Aberdeenshire Hotel Association, said the virus posed a severe threat to the hospitality industry, as international businesses and governments across the world advise or order restricted travel.

He said: “There needs to be more support made available for struggling hotels.

“And for events, short and mediumterm, the future does not look bright.”