Wholesalers welcome Scottish fund; demand ‘meaningful support’ from Whitehall

Wholesalers have welcomed the announcement by Scottish government of a Pivotal Enterprise Resilience Fund which will be made available to food and drink wholesalers.

The £45 million fund is part of the £100 million funding announced last week to support the self-employed and SMEs in distress, but fallen through the cracks of other business support measures.

Scotland’s Economy Secretary Fiona Hyslop on Tuesday (21 April) said the grant funding will be open for applications by the end of April, with recipients set to receive funds in early May.

“This funding is intended to relieve the hardship of individuals and smaller firms that are ineligible for support from the UK government or are not in receipt yet of the funds they need to survive,” she told the Scottish Parliament.

Scottish Wholesale Association (SWA) said the funding recognizes the role played by the sector in the ongoing crisis.

“We are delighted that the critical role being played by Scotland’s wholesale sector and the negative impact of the coronavirus pandemic on our industry is being recognised by the Scottish Government,” said Colin Smith, SWA chief executive.

“This is lifeline support for our sector in unprecedented times which have seen some SWA members lose substantial income following the closure of pubs, restaurants, hotels and other hospitality businesses.”

Darren Goldney, managing director of Unitas Wholesale, termed the funding announcement as “encouraging” and urged similar measures from the UK government.

“We are pushing hard to understand the action coming from the insight we have provided to DEFRA. So far, meaningful support for wholesale in grants has not been forthcoming, yet we are the essential link between outlets who fight to survive and are receiving grants, and suppliers whose support we need but who need paying,” he said.

“We know government is listening when we see action.”

While detail on the Scottish grant system and eligibility is still to be finalized, Smith said, citing officials, that the grants will be available to wholesalers employing under 250 people.

An official statement said larger grants up to £25,000 will be given depending “on the specific need of the enterprise” and be developed by the relevant enterprise agency with wraparound business advice and support.