Scottish govt. clarifies agents affected by Covid restrictions are eligible for grants

Scottish agents have been given the go-ahead to apply for grants after the devolved government confirmed travel retailers affected by Level 4 restrictions are eligible under the Strategic Framework Business Fund.

ABTA and the Scottish Passenger Agents’ Association (SPAA) had lobbied for a clarification of the eligibility of Scottish travel agents to receive grants since the criteria was announced in early November.

ABTA is continuing to seek clarity on the availability of grants to businesses in the other devolved nations.

The regulations and guidance were not entirely clear, as there was no direct reference to travel agencies.

Business Minister Jamie Hepburn wrote to the organisations to point out any retail businesses in Level 4 areas not on the exemption list are required to close, clarifying: "I acknowledge that the designation of ‘retail’ and ‘selling goods’ may give some businesses, including travel agents, pause.

"However I can confirm it is our intention that travel agents would come under the requirement for retail businesses to close at Level 4, and that they should be able to access the relevant Strategic Framework funding, provided they meet the other eligibility criteria."

The Minister added that besides the Strategic Framework Business Fund, the Scottish Government has made an additional £45 million in funding available to local authorities to support businesses impacted by Covid-19. Of these, £15 million is directed to newly self-employed people who are not able to access other forms of financial support. The rest (£30 million) will be discretionary funding to enable local authorities to provide additional support for businesses where they consider it to be necessary, although the criteria for the latter funds has not been announced yet.

SPAA President, Joanne Dooey, said: "We were relieved to receive confirmation  on the subject of  grants for those of our members who have had to close under the current Level 4 restrictions from the Scottish Government and we are now anxiously awaiting news on the recent proposals we have made to them for additional tailored support to enable our members to survive till March 2021."

ABTA’s Director of Public Affairs, Luke Petherbridge, said: "After so much uncertainty, it is good news that the Scottish government has confirmed travel agents in Level 4 areas should receive support under the Strategic Framework Business Fund. We encourage members to let us know if they are experiencing difficulties.

"Additionally, since the Scottish Government continues to advise against non-essential travel, travel businesses across the entire nation are facing restrictions on their trade.

"Travel businesses need support as a matter of urgency, and we urge the Scottish government to provide specific tailored support, as well as to ensure access to additional funds, such as the discretionary funding that will become available from local authorities.

"There is a proposal for supporting Scottish travel agents through the crisis, which our partners the SPAA have put forward, and which ABTA is supporting, and we will also continue to work together to promote the need for support for all businesses in the travel industry, whether agents, operators or TMCs, with ministers and officials.

"On the existing grants specifically, it is frustrating that the sensible and practical clarification issued by the Scottish Government has not been mirrored by ministers in Westminster. ABTA will continue to urge an update to guidance to ensure that travel agents across England can access the Local Restrictions Grant Support scheme.

"We know that there are still many travel businesses across the UK struggling to access the much-needed funds to keep them afloat. We will continue to make the case for travel businesses across all the UK with the appropriate Administrations."

More information on the eligibility and the application process for the Strategic Framework Business Fund is available on the Scottish government website.