Scottish Government Business Support Grants Update

The Scottish Government Business Support Grants payable via the local councils, that were announced immediately after the Coronavirus pandemic broke in Scotland, are now starting to be paid.

These are grants for: –

• businesses that pay little or no rates because they receive Small Business Bonus Scheme relief or Rural relief. They are entitled to claim a grant of £10,000 for the first property and £7,500 per property for any other qualifying properties.

or

• businesses that are in the retail, hospitality and leisure sectors with a rateable value/s of between £15,000 and £51,000. They are entitled to claim a grant of £25,000 for the first property and £18,500 per property for any other qualifying properties.

Note that self-catering and caravan letting businesses are also eligible for these grants if they: –

1. are a primary source of income for the ratepayer (one third or more)

and

2. were let out for 140 days or more in the financial year 2019/2020

The first grants that we have heard of being paid out were in Argyll and Bute followed by The Highland council area. In the last few days, we are aware of grants being paid out in West Lothian, East Lothian, The City of Edinburgh and Fife.

The City of Edinburgh council announced yesterday that they have been inundated with claims but expect 75% of these to be paid by end of this week with the remainder to be paid next week.

If you made a grant claim three or four weeks ago and have not heard anything from the relevant council or been paid by 30 April 2020, we would suggest that you follow this up to make sure your application has been safely received and is being processed.  We have heard of at least one council asking for copies of the relevant paperwork, including invoices, to back up some claims before these are paid.

The money will be paid directly into your business bank account.

If you are entitled to and have not already made a claim, then please be careful because, even at this time, there are fictitious websites looking to scam your bank details.  All applications should be made via your local council website.

https://www.mygov.scot/non-domestic-rates-coronavirus/grants-to-help-businesses-during-coronavirus/

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.

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