UK Government hands out £2.5bn to protect Scottish firms from Covid-19 impact
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Businesses in Scotland benefited from more than £2.5 billion of UK government-backed loans to protect and support jobs across the country, new data has revealed.
More than 86,000 loans have supported businesses across all sectors, protecting jobs. But the retail and construction sectors have benefitted the most, demonstrating how UK government support helped those businesses that were impacted hardest by the pandemic.
Similarly, the self-employment income support scheme (SEISS) has supported 142,000 people in Scotland, with an average claim of £2500.
The Chancellor of the Exchequer, Rishi Sunak, said: “Throughout this crisis, we have provided more than £280 billion of support to protect jobs and livelihoods up and down the country.
“We are committed to continuing to ensure jobs are protected and opportunity is created.”
David Thomson, managing director of Aberdeen-base engineering animation consultants, Cadherent, said: "Without the loan, we’d certainly have been forced to take a far more cautious approach in the short term while the markets settle. This would have meant some employees losing their jobs and the business having to immediately stop any spending within its supply chain.”
Scottish Secretary Alister Jack commented: “Throughout the pandemic, the UK Government has taken quick and unprecedented action to protect jobs and support businesses in Scotland.
“Over 90,000 businesses across Scotland have benefitted from UK Government backed loans providing a vital lifeline and certainty to plan for the months ahead.
“This is just part of a package of UK Government support for businesses which also includes the furlough scheme, now extended to April, self-employed income scheme and VAT cuts for our hospitality and tourism sectors.
“We have also given the Scottish Government an additional £8.6 billion of upfront funding this year to help them respond to the pandemic with the good news last week some of this money is now finding its way to businesses.”
The UK Government has invested more than £280 billion throughout the pandemic to protect millions of jobs and businesses, including extending the self-employed and furlough schemes through to April to give businesses the certainty they need to plan over the coming months.
