The UK Tory Government has failed to pass on £145 million of COVID business support to Scotland in Barnett Consequentials.
In March, the UK Tory Government announced a £1.5 billion COVID discretionary business fund for firms outside the retail, hospitality and leisure sectors.
In the announcement was a commitment to pay Scotland its £145 million share, to which it is entitled through the Barnett formula.
However, not only has Scotland’s money not been paid; the UK Government has not even revealed whether this will happen by the 2021/22 budget update in the new year, depriving businesses of vital funding for months.
Kenneth Gibson MSP said:
“For a party that claims to be pro-business, the Tories are leaving Scotland’s businesses high and dry. How can they be so cavalier such that they don’t even indicate when they expect to pay Scotland its share, so our government and businesses can plan and anticipate?
“It’s now been five long months since the fund was announced, and it looks like the UK Government is keeping the cash firmly within their grasp until at least the budget update in the new year. That might be too late for some businesses, which need the money now, not at the end of the year.
“A cynic might say their March announcement - not long before the Scottish Parliament election - was campaigning rather than governing, as they are clearly in no rush to fulfil this commitment.
“This once again goes to show that you cannot trust the Tories to protect the interests of businesses in Scotland. The only way we can protect Scotland’s future is by becoming an independent country.”
ENDS
