Wholesale organisation welcomes financial support from government hardship fund

The hardship grant is designed to help businesses which can remain open but will be impacted by the Scottish government’s five-tier local Covid restrictions which come into effect today (2 November).

Businesses which can remain open, but are effected by the measures, will be eligible for grants worth between £1,400-£2,100, based on their rateable value.

This support is in addition to the UK government’s new job support scheme.

It means that wholesalers are now eligible for these grants every four weeks as long as the Covid restrictions are in place.

SWA chief executive, Colin Smith, said: “We certainly welcome the clarity from the first minister that this much-needed hardship grant will be accessible to wholesalers especially when members have already been declined by some local authorities.

“We also welcome the first minister’s statement that businesses need more support and are calling on the UK government to give additional funding to the Scottish government for this to happen.”

Brian Whittle, the conservative MSP, said during a recent debate on the Scottish government’s Covid-19 strategic framework that wholesalers were “haemorrhaging cash”.

He added: “It is not just the hospitality industry that is suffering: the whole food supply chain is under threat.

“The government needs to speak to the SWA, which will tell it the stark reality of the cliff edge that it faces in a sector that is worth £2.9bn to Scotland and supplies some 5,000 convenience stores, as well as hospitals, schools, prisons and hospitality businesses.

“Wholesalers have high overheads and carry significant stock, but have been left out of the support schemes.

“If supply chains fail, they will be extremely difficult to rebuild.

“There will be a post-Covid period so business needs to know that preparations and plans are being made to which they can work.

“They need to know that there is light at the end of the tunnel so that they can be confident about retaining their employees.

“Continually opening up and shutting down is unworkable.”