Government Grants for Self-Catering Businesses in Scotland – Relaxation in Eligibility Criteria
Post Author:
Rona Burns
Date Posted:
April 3, 2020
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Following complaints from self-catering businesses in Scotland, the Scottish Government has relaxed the conditions required to access grant funding.
Self-catering accommodation and caravans are now considered eligible for grant funding if:
- Receipts represent a primary source (for example, one third or more) of total earnings for the ratepayer; and
- The property has been let out for 140 days or more in financial year 2019/20.
The COVID-19 crisis has resulted in a complete washout for the Scottish tourist industry, with many of our clients telling us that their booking diaries are completely empty for the rest of 2020. Sadly, this was further compounded for some of them yesterday by the cancellation of the various Edinburgh Festivals this summer.
The announcement by the Scottish Government is certainly a step in the right direction but, in our opinion, does not go nearly far enough to assist self-caterers operating genuine commercial businesses who may still find themselves blocked from claiming a grant because of these conditions.
As far as we are aware the Scottish Government are not minded to further relax the grant eligibility and have chosen to instigate ‘Scottish’ approaches which are less then helpful. Furthermore, they are not in line with the grants available in England and Wales, where no obstacles have been placed in front of self-caterers by the UK Government.
We will let you know if any further changes to these conditions are announced by the Scottish Government.
Airbnb to offer partial refunds to affected hosts
In more positive news, Airbnb have set aside a $250m fund to assist their hosts who have been unduly affected by the COVID-19 epidemic.
For Airbnb accommodation bookings made on or before 14 March 2020 with a check-in between 14 March 2020 and 31 May 2020:
- Guests will be able to cancel for a full refund for COVID-19-related circumstances
- Airbnb will pay 25% of what the host would have received for a cancellation based on their cancellation policy. For example, if the host would normally receive £400 through their cancellation policy, Airbnb will pay the host 25% of that i.e. £100
- Airbnb will send an email with more details in early April to hosts eligible for a pay-out. Future payments from the fund will be made on a monthly basis to hosts with qualifying cancellations
- This policy will also apply retroactively, including any cancellations hosts may have had since March 14.
You can read the full article here:
We are here to help, so please contact us if you need any advice on grant eligibility or have any other concerns that you wish to discuss during these uncertain times.
The information in this blog provides only an overview of HMRC guidance and legislation in force at the date of publication and no action should be taken without consulting the detailed HMRC guidance and legislation or seeking professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this blog can be accepted by the firm.
