Scotland to receive £780 million for coronavirus response

The UK Government will provide at least £1.5 billion to the devolved administrations for their COVID-19 response, it was announced yesterday.

• this means £780 million for the Scottish Government, £475 million for the Welsh Government and £260 million for the Northern Ireland Executive
• this adds to the support people across the country will receive through UK-wide measures tackling the impact of COVID-19 including extending Statutory Sick Pay

The Devolved Administrations will receive at least £1.5 billion from the UK Government to make sure they have the resources they need to support people and businesses through COVID-19. This will mean they can increase funding for the NHS and provide grants to businesses.

Through the £1.5 billion package, the Scottish Government will receive £780 million, the Welsh Government £475 million and the Northern Ireland Executive £260 million – worked out through the Barnett formula.

This funding is in addition to the UK-wide support that people in all four corners of the country will receive from the UK Government. This includes extending Statutory Sick Pay, making it easier and quicker to access benefits, and providing a Business Interruption Loan Scheme, among other measures.

Chancellor of the Exchequer, Rishi Sunak, said: “We will do what is right to help businesses and individuals in every part of the UK. That is why we announced a special funding package at the Budget last week to support those affected by COVID19.

“Today I am confirming this additional funding that will ensure the devolved administrations can support vulnerable people, businesses and vital public services, including the NHS, in Scotland, Wales and Northern Ireland.

Scottish Secretary, Alister Jack, said: “The UK and Scottish Governments are working closely together in the fight against COVID – 19 as we do all we can to delay the spread and alleviate pressure on our public services, people and businesses.

“The £780 million for the Scottish Government announced today is in addition to the £1.9 billion spending increase for 2020-21 confirmed at the Budget last week. This will help ensure the Scottish Government has the resources it needs to support those affected by COVID-19.”

This £1.5 billion announcement is part of the £12 billion response plan announced last week to support public services, people and businesses through the disruption caused by COVID-19.

This included a £5 billion COVID-19 Response Fund for the NHS and public services, a £500 million local authority hardship fund, business rates reliefs and £3,000 grants for the smallest businesses – all of which cover devolved policy areas meaning additional funding is being made available for the devolved administrations.

The UK government will continue to work closely with the devolved administrations as the situation develops to ensure they have the funding needed to tackle the impacts of COVID-19.