Owners of north B&Bs to share in £3m lifeline fund

Scottish Government boost for hard-pressed tourism industry

B&B OWNERS in the Highlands and Moray will receive a “lifeline” cash boost as part of a multi-million-pound scheme unveiled by the Scottish Government yesterday.

The majority of the smallest accommodation providers have not previously been eligible for help because they did not have business accounts.

But from June 15, they will be able to apply to a £3 million fund for a lump sum of £3,000 to help them survive the rest of lockdown.

The cash will be redeployed from the Scottish Government’s hardship fund for the newly self-employed.

Kate Forbes MSP said: “I realise that many people are facing significant difficulties as we look ahead to a challenging tourist season, and also that this funding will not replace the lost income. I do hope, however, that it offers some help.”

Edward Mountain MSP, who campaigned for the fund, added: “I am delighted that this U-turn will mean hundreds of B&Bs will now receive the lifeline support they so desperately need. B&Bs have been made to wait too long for funding.”

North Kessock B&B owner Araminta Dallmeyer cautiously welcomed the move, which she described as a “step forward”, and voiced hopes that venues could reopen in August to recoup lost income.

The economy secretary threw a lifeline to hundreds of B&Bs last night with the announcement of a £3 million fund to help them.

Fiona Hyslop said the cash would be redeployed from the Scottish Government’s hardship fund for the newly self-employed to support bed and breakfasts which do not have a business bank account and are therefore currently ineligible for support.

The new fund, which will be administered by local authorities, will open for applications on June 15.

Speaking in the chamber, Ms Hyslop said: “When the crisis hit, we moved quickly to support businesses to deal with cash flow challenges through our £2.3 billion business support package, but we are aware that many have also had to take on debt to survive.

“Where we can do more, we will. Where the current funds are not oversubscribed, we are committed to taking any available funding and targeting it back into the economy where it is needed most.”

Speaking during a debate on the next steps for the economy as Scotland emerges from the coronavirus pandemic, Ms Hyslop said “targeted” initiatives would be set up, using cash that had not been spent in support of firms during the outbreak.

The Scottish Government pledged £2.3bn in support for businesses as a result of the coronavirus outbreak.

Araminta Dallmeyer has run the Craigiewood B&B in North Kessock for the last 22 years and uses her personal bank account for everything.

She said: “This is a step forward. It’s not what I asked for but anything is better than nothing and I’m very grateful as it will make a wee bit of a difference.

“I always have a dread that there will be something in the rules and regulations that will mean I cannot get it, but I’m sure it will be straightforward.

“I just pray that when we are allowed to open, which, God willing, will be perhaps August. We can make up a lot of time then.”

North MSP Edward Mountain said hundreds of B&Bs were initially left without support from the £20m Creative, Tourism and Hospitality Enterprise Hardship Fund because the Scottish Government made having a business bank account a key part of the criteria for applications.

“It’s not what I asked for but anything is better than nothing”

He added: “At long last there is some business sense from the Scottish Government. I am delighted that this U-turn will mean hundreds of B&Bs will now receive the lifeline support they so desperately need.

“I trust the Scottish Government will now make the application process as smooth as possible so funding can be delivered quickly.”

Kate Forbes said she hoped this would help some B&B operators who had previously “fallen between the cracks”.

The MSP for Skye, Lochaber and Badenoch said: “I realise that many people are facing significant difficulties as we look ahead to a challenging tourist season and also that this funding will not replace the lost income. I do hope, however, that it offers some help.”