We’re getting there: FM sets out lockdown easing timetable

The First Minister has set out a timetable for the re-opening of parts of society over the next two months.

Stay at Home regulations will be lifted on 2 April and replaced with guidance to Stay Local, with more services including hairdressers, garden centres and non-essential click and collect services able to open from 5 April.

More college students will also return to on-campus learning and outdoor contact sports will resume for 12-17 year olds on 5 April if progress on vaccination and suppression of Coronavirus (COVID-19) continues.

The Scottish Government then hopes to lift all restrictions on journeys in mainland Scotland on 26 April.

Discussions will be held with island communities already in lower levels on the possibility of having a faster return to more socialising and hospitality with restrictions on mainland travel to protect against importation of the virus.

Vaccination of all nine JCVI priority groups – more than half of the population, accounting for 99% of COVID-related fatalities – is expected to be completed by mid-April, supplies allowing.

The dates outlined are enabled by strong new evidence that suggests vaccines reduce the chances of transmitting the virus as well as reducing serious illness and death, even after a first dose.

Further expected easing on 26 April includes:

  • all retail premises, libraries, museums and galleries, tourist accommodation would be able to open
  • the hospitality sector would be able to reopen outdoors for the service of alcohol, and potentially open indoors for non-alcohol service
  • up to four people from two households could be able to socialise indoors in a public place such as a café or restaurant
  • six people from up to three households could be able to meet outdoors and the limit on wedding and funeral attendance could be raised to 50 people
  • gyms and swimming pools would be open for individual exercise and non-essential childcare would be permitted
  • non-essential work in peoples’ homes and driving lessons could resume from this date

On 17 May, it is hoped that groups of four people from two households would be able to socialise indoors in a private home, and that cinemas, amusement arcades and small scale outdoor and indoor events could restart with limits on capacity.

Further easing on this date would include outdoor contact sport for adults and indoor group exercise

The First Minister also indicated that in early June it is hoped that Scotland could move to Level 1 and by end of June to level 0.

Grants of up to £7,500 for retailers and up to £19,500 for hospitality and leisure businesses will be paid in April to help businesses re-open progressively.

These one-off re-start grants will replace ongoing Strategic Framework Business Fund (SFBF) payments and will provide more money up front to help with the costs of re-opening. Eligible businesses must have applied to the SFBF by 22 March in order to receive these payments.

The last four-weekly SFBF payment of up to £3,000 will be paid on 22 March, as scheduled. Targeted restart grants for businesses that are not in scope for the current SFBF support package may be considered if the Scottish Government receives further consequentials from the UK Government.

First Minister Nicola Sturgeon said: “Vaccination is already having a significant impact on the number of deaths in Scotland, and research giving us more confidence in its effects against new variants and in helping prevent transmission.

“That gives us more confidence in setting possible dates for our next steps out of lockdown in addition to the significant changes set out last week to allow more socialisation, and get children back to school as soon as possible.

“It is not possible to provide specific dates or details for coming out of lockdown beyond 17 May – that will depend on what impact there is from the changes already made – however my hope and ambition is that from early June, all of Scotland will effectively be in level 1 of the levels system, allowing for a further easing of restrictions – and possibly moving to level 0 in late June.

“That is not the endpoint – we hope and expect that vaccination, better treatments, continued use of the test and protect system, and proportionate ongoing precautions such as good hand hygiene will allow us to keep COVID under much greater control.

“This will allow us to enjoy many of the things that we took for granted before the pandemic– normal family gatherings where we can hug our loved ones, sporting events, gigs and nightclubs.

“I cannot set a date for that point yet, but I do believe that over the coming weeks as more and more adults are vaccinated it will be possible to set a firmer date by which many of these normal things will be possible, and I am very optimistic that this date will be over the summer.

“Thanks to the sacrifices we all made three months ago, and the success of the vaccination programme we are now in a much better and brighter position, with well-earned optimism as we look ahead to the summer.

“We are getting the virus under control, but it is still dangerous, and to reach these dates it’s more important than ever now to stay within the rules – until 2 April stay at home, except for essential purposes; don’t meet people from other households indoors, and follow the FACTS advice when out and about.”

Responding to the announcement of the timetable for lifting estrictions, CAMRA Scotland’s Director Joe Crawford said: “Pub goers, licensees and brewers will be disappointed to see our pubs being treated unfairly compared to similar businesses like cafés and non-essential retail. 

“The return of curfews and a ban on alcohol being consumed indoors is devastating news for the industry which is looking to reopen covid-secure venues so that people can socialise safely. For many businesses it just won’t be worthwhile opening back up as they won’t be able to turn a profit under these draconian restrictions. 

“Restart grants announced today are welcome – but without a full and proper reopening, and with continuing restrictions like table-service only requirement lasting for the foreseeable future, it is vital that the Scottish Government provides dedicated financial support for our pubs, social clubs and the breweries that serve them until they can trade at full capacity.  

“CAMRA are also campaigning for the UK Government to cut tax on beer served in pubs to help them compete with supermarkets.” 

Responding to the latest update on lockdown restrictions and the outline of indicative dates for the re-opening of the economy from the First Minister, Dr Liz Cameron OBE, Chief Executive of the Scottish Chambers of Commerce, said:

“Businesses have been patiently waiting for indicative dates to re-open and today’s announcement is a good start. It will enable many businesses and customers to start planning and preparing for re-opening with confidence and optimism.

“In particular, the intention to relax travel restrictions should support the viability of the tourism, hospitality and retail sectors. We are pleased to hear that the Scottish Government will work with the UK Government and the travel & aviation sectors to look at the detail as to how international travel can re-open safely and quickly.

“We also need to see clarification of what is allowed in the various levels of restrictions, sooner rather than later. We would urge alignment across all UK nations which enables the industry to restart together and to avoid confusion for travellers.

“There is still a lot of work to be done to plan for the re-opening of the remaining sectors of the economy. We are now looking to engage on the granular detail of the levels, associated criteria and trigger points. We will work with government to help enable that to be done as quickly and as safely as possible, in line with the continued successful roll-out of the vaccination programme.”

On the establishment of restart grants, Dr Cameron said: “It makes more sense to provide businesses with a lump sum so they can deploy these resources where it can be of most use – businesses themselves are the best judges of this.

“Businesses will welcome the certainty of when they can expect the funds to be allocated and we look forward to working with Scottish Government and local government to ensure this process runs as smoothly as possible.”

‘Tough times ahead’ for licensed hospitality sector, warns Scottish Licensed Trade Association, following the First Minister’s statement today.

The SLTA has expressed bitter disappointment after today’s announcement by First Minister Nicola Sturgeon that bars, restaurants and cafés will not be able to serve alcohol indoors when the licensed hospitality industry reopens next month.

Warning that there remain “tough times ahead” for licensed hospitality as Scotland slowly emerges from lockdown, SLTA managing director Colin Wilkinson said: “This is not the news we were hoping for. Yes, it’s good news for those bars, restaurants and cafés with suitable facilities who will be able to serve people outdoors – in groups of up to six from three households – until 10pm from 26 April.

“However, for indoor hospitality, today’s news is yet another bitter blow and we are surprised that the Scottish Government has chosen not to allow premises to sell alcohol when they reopen next month. “We of course welcome the news that from 17 May, hospitality venues will be able to open until 10.30pm indoors with alcohol permitted and, for outdoors, until 10pm.

“We welcome these indicative dates for reopening as they provide more clarity for businesses but overall, these slight lifting of restrictions don’t go far enough and, for the majority, reopening will remain unviable. We’re bitterly disappointed.”

The SLTA welcomed confirmation that on 22 March, recipients of support under the Strategic Business Framework Fund will receive a final four-week payment then in April a further combined payment of a two-week payment under the Strategic Business Framework Fund  and eligible hospitality and leisure businesses will also receive a further payment of up to £19,500 in the form of a restart grant.

But Wilkinson added: “Restrictions will continue into June and beyond, leading businesses further into debt.

“The typical small hospitality business has taken on between £60,000 and £90,000 in bank debt and deferred bills as of February this year just to survive Covid – and the debt is rising with every week of low or no income.

“If there is a positive to come out of today’s announcement it is that we have something to work towards but that doesn’t change the fact that for a very high percentage of business, reopening in April will simply be unviable.”

Council leaders are encouraging communities and businesses to ‘stick with it’ after a proposed date for lifting the ‘stay at home’ rule was announced today by the Scottish Government.

Council Leader Adam McVey said:This is a welcome and clear roadmap out of lockdown that gives us all something positive to look forward to. 

“The successful roll-out of the vaccine programme and the fall in positive cases across Edinburgh is testament to the collective efforts of our health services, our residents and our businesses. The hard work and sacrifices we’re making are the only way can achieve the roadmap and return to normal.

“We are moving in the right direction, with rates across the city at one of the lowest levels since spring last year. We must stick with it and stay within the guidelines, to continue to keep the virus under control and keep our communities safe.

“I know so many of our local traders are anxious to open their doors again and I hope everyone will join me in getting out when we can to support businesses near us and in our city centre. We’ll very soon be able to fully enjoy everything our amazing city has to offer and welcome back friends and visitors to our Capital.

Depute Leader Cammy Day said: “Tuesday 23 March, a week today, marks a full year since the country went into lockdown and our condolences go out to all those who have lost loved ones during this unprecedented crisis. We will remember them during a national silence next Tuesday.

 “Today’s announcement is really good news for businesses across Edinburgh as travel restrictions look to be eased across Scotland from 26 April. Opening up retail, hospitality and tourism gives us all something to look forward to and meeting up with more loved ones in outdoor settings for something to eat and drink will be a real treat again.

“Until then it’s important we don’t drop our guard – we need to continue to observe this gradual, phased approach so we can protect people’s health and safety while working towards Edinburgh’s successful recovery from the pandemic. We all want to keep the virus under control and keep everyone safe.

“So for now, until 2 April, our advice remains the same – please stay at home and help save lives. Hope’s on the horizon and we’ll get there even faster if we stick together now.”

Responding to the First Minister’s announcement on an indicative timeline for lifting restrictions, STUC General Secretary said: “We welcome this cautious approach that is entirely reliant on continuing progress in suppressing the virus. The implications for public health and sustainable economic recovery of moving too fast would be catastrophic.

“We have no doubt that the First Minister will continue to be subject to sustained pressure from bosses in many sectors, including hospitality, to move more quickly but this must be resisted.

“We believe that effective test, trace and isolate measures are essential, along with the flexibility to increase local restrictions when necessary to control any outbreaks.

“For the sake of the public’s health and the safety of workers we need the future return to work to be a steadily managed stream and not a torrent.
“It is essential that the proposed return of students to colleges and universities is only undertaken with full and early consultation of education unions.

“We urge employers planning the return to work to learn from previous mistakes made during the emergence from the first lockdown. They must ensure that all continuing guidelines on social distancing and face coverings in the workplace continue.

“They must respect any ongoing fears and concerns of their own workers and, critically, fully consult with employees both on what is expected of them and on the protection they have a right to expect. Any worker with concerns should contact their union or the STUC.”

Scottish Budget: Protecting our recovery and renewal?

Significant new investment to drive economic recovery, bolster public services and support families underpins the Scottish Government’s spending and taxation plans for the coming year.

Presenting the Scottish Budget 2021-22 yesterday, Finance Secretary Kate Forbes announced support for jobs and skills totalling around £1.1 billion.

Job creation is a priority, with measures including a commitment to launch a new Green Workforce Academy to help people secure work in the low carbon economy, a £100 million Green Jobs Fund over the next parliament,  £7 million towards making Scotland a world class hub for digital business and an additional £125 million for the Young Person’s Guarantee, employability and skills.

Health receives record funding of over £16 billion, an increase of 5.3% on 2020-21, along with a further £869 million to continue tackling coronavirus (COVID-19), including funding for the vaccination and test and trace programmes. This means that, over the course of this parliament, investment in health has increased by £1.8 billion in real terms – more than tripling the commitment to increase health funding by £500 million more than inflation.

To support family budgets, £90 million is being made available for local authorities to freeze council tax.

Public sector workers earning up to £25,000 can receive at least a 3% pay increase via a £750 cash underpin, while there is a 1% rise for those earning above that amount, capped at £800 above £80,000.

The budget also proposes:

  • £11.6 billion for local government, which represents a £335.6 million increase in core revenue funding, including the £90 million to compensate local authorities which choose to freeze Council Tax, plus £259 million in one-off funding
  • £1.9 billion for primary health care to help deliver more services in the community. A further £550 million is earmarked to build new Elective Care Centres and the Baird Family Hospital and Anchor Centre in Aberdeen
  • £98.2 million to improve Scotland’s digital infrastructure and deliver access to high quality broadband and mobile coverage.
  • £711.6 million for affordable housing and £68 million for the first full year of the Scottish Child Payment, tackling child poverty
  • a new £55 million programme to support town centres and community-led regeneration projects
  • more than £3.1 billion in resource and capital investment for education and skills, and £567 million to provide 1,140 hours of early learning and childcare, supporting implementation of the UK’s most ambitious childcare programme
  • £1.3 billion for the Scottish Police Authority, including a £60 million increase in Police Scotland’s revenue budget – exceeding an earlier pledge of a £100 million boost over five years
  • £1.6 billion for rail and bus services and £100.5 million for active travel to consolidate changes to healthy, green travel options seen during the pandemic
  • doubling the Rural Tourism Infrastructure Fund, helping tourist attractions and local communities make improvements to cope with increased visitors
  • an additional £27 million to expand woodland creation and the associated infrastructure, supporting green jobs

Business support remains a priority and the Finance Secretary confirmed that the Local Authority Discretionary Fund will be doubled to £60 million in this financial year to allow councils to respond to local needs. In addition, businesses eligible for the Strategic Framework Business Fund will receive full Level 4 payments on 22 February, regardless of any future changes to local restrictions.

The Scottish Government will also increase a scheme which compensates councils for the loss of income from sales, fees and charges due to the pandemic from £90 million to £200 million in 2020-21. 

Ms Forbes said: “This budget is being delivered in exceptional circumstances as we continue to battle a pandemic that has shaken our society and economy to the core, and as we face the harmful impacts of Brexit.

“It promotes innovation and reform, new beginnings, new directions. And while it continues to target support in the immediate term, it also tracks a course over the next year to build a fairer, stronger and greener country.

“To help drive our green economic recovery I am providing the stability and certainty that businesses have asked for through the most competitive reliefs packages in the UK. There are innovative measures to promote sustainable growth and we are investing more than £1 billion in jobs and training.

“The budget sets out a distinctive Scottish pay policy that again supports the lowest paid, charting a different course to the ill-judged pay freeze announced by the UK Government. It also bolsters our health service, delivers more affordable homes, provides additional childcare places and helps young people into work.

“Throughout these dark times we have never given up hope. This budget seeks to build on that hope and, by focusing on how we rebuild and renew our country, make the light at the end of the tunnel shine that bit brighter.”

The STUC has expressed its disappointment at what effectively amounts to a real-terms pay freeze for thousands of public sector workers as the Budget offers 1% for those earning pay above £25,000 per year including most teaching staff, firefighter and civil servants.

The STUC General Secretary, Roz Foyer pointed to the real terms increase in the Scottish Budget of nearly 4% and contrasted that with today’s pay offer.

“Whilst it is right and proper that the pay of low paid workers should be underpinned, for most workers this increase is still below the budget uplift received by Holyrood from Westminster. Far too many of our key workers have been left out in the cold.

While supporting Scottish Government calls for greater borrowing powers, Foyer also questioned whether tax cuts for high earners were the right priority and whether funding for Local Government was sufficient.

“We strongly support the Scottish Government’s calls for greater borrowing powers. However, the Cabinet Secretary has managed to find wiggle room to provide £125 million in blanket tax cuts. She has also reduced income taxes for high earners – a policy that raised £51 million last year. Given this, it is deeply disappointing that she hasn’t been able to better reward key workers.

“While the Cabinet Secretary spoke about an increase in funding for Local Government, it appears this amounts to less than a 1% increase, a level that is nowhere near sufficient to cover gaping cuts to services from years of austerity.”

Responding to the Budget announcement, Dr Liz Cameron, Chief Executive of the Scottish Chambers of Commerce, said: “The position of Scottish businesses has never been so precarious. The Scottish Government’s announcements today are welcome but do not go nearly as far enough to avoid risk of widespread business collapse and job losses.

“Yes, there is light at the end of the tunnel with the vaccination programme but restrictions to prevent the spread of the virus have been devastating. We understand that the Cabinet Secretary for Finance faces difficult choices in setting the budget particularly ahead of that of the UK, in a time when the country faces extraordinary challenges.

“Business will be disappointed that further details on an economic route map on how we will exit this crisis aligned with the roll out of the vaccine were not provided today. This is a critical component if businesses are to unleash the investment our country so desperately needs.”

On Non-Domestic Rates:

“The Cabinet Secretary has listened to us and has delivered a reduction in the Non-Domestic Rate (NDR) poundage rate. However, longer-term, we believe the system is unfair and needs significant reform.

“Plans for a three months extension of rates relief is a too short a reprieve. We need commitment to a 12-month reliefs package to provide the certainty business needs. Clearly there is more to do, and we await further announcements from the Chancellor to see what further support can be made available and expect Scottish Government to pass on the equivalent consequential funding to businesses.”

On Business Support:

“The doubling of the discretionary fund is good news particularly for those businesses who have fallen through the gaps of other support packages. However, it is imperative that the process for businesses is clear, transparent and quick across all local authorities to ensure funding is available for businesses quickly and immediately.

“Now is the time to pull out the stops and redouble efforts to ensure business support comes through. We need to see a significant ramping up to get those funds that have been promised out the door and to businesses.”

On Infrastructure:

“The Scottish Government’s commitment to infrastructure investment is absolutely necessary for Scotland and the UK to be in a position to build back better and meet net zero ambitions. Now is the time for a vision driven by ambition and a willingness to collaborate like never before. This must be put first and foremost ahead of any political point scoring this year.”

On skills and training:

“SCC welcomes these important steps to support jobs, employment and training. We called for training academies and we are pleased to see the Cabinet Secretary has acted on our recommendations, particularly the focus on green jobs. It is now critical that the government and academia works in partnership with the private sector to ensure benefits are fully realised.”

On Protecting Jobs:

“We maintain our call to the Chancellor of the Exchequer to extend the furlough scheme beyond April 2021 and outline further initiatives to protect business and jobs at the UK Budget in March.”

On mental health support:

“Business will welcome this as we understand the toll the pandemic has taken on our customers, employees and communities.

“Recovery of our wellbeing is just as important as economic recovery, with many employers investing in their own employee support programmes. This commitment from the Scottish Government will enhance these efforts.”

Responding to Kate Forbes’ announcement that public sector workers on salaries up to £25,000 a year will receive a 3 per cent increase, GMB Scotland Senior Organiser Drew Duffy said: “This will be met with fury among the lowest paid in Scotland’s public sector.

“Kate Forbes was among the many politicians applauding our frontline heroes, now she is saying ‘thank you’ with a rise that won’t amount to more than a tenner a week for most.

“There is no value here, and it’s an insulting response from the Scottish Government to the ongoing struggles of our key workers in this pandemic.”

Tracy Black, CBI Scotland Director, said: “The Finance Secretary is right to put business support and economic recovery front and centre of this year’s draft Budget. With jobs, firms and livelihoods still hanging by a thread, Scotland can’t afford to wait until the pandemic is over before initiating plans for a sustained recovery.

“Health must come first and lowering transmission rates remains the priority. Yet with so many struggling companies across Scotland, it’s only right that proper consideration is given to reopening the economy when it is safe to do so. This should be driven by data and done in dialogue with business.  

“The private sector is critical to a successful recovery and moves to protect firms’ immediate futures are welcome. Continuing rates reliefs for the hard-hit hospitality, retail and tourism sectors is welcome, however a three-month window remains a challenging timetable for firms under real pressure. Companies will also be relieved to see a continued commitment to Covid business support and no further changes on income tax.

“The UK and Scottish governments must now work together to provide certainty over business support, ensuring that the firms we need to drive economic recovery survive the tough weeks and months ahead.

“Longer term, the figures from the Scottish Fiscal Commission paint a worrying picture and highlight the scale of the challenge ahead. Maintaining a laser focus on boosting productivity and protecting competitiveness are key.”

Responding to the Scottish Government’s Budget statement delivered today by Finance Secretary Kate Forbes MSP, Director of CAMRA Scotland Joe Crawford said: “Extending the business rates holiday for pubs and social clubs for a further three months into the next financial year is a desperately-needed lifeline for pubs who have struggled for almost a year now. 

“But three months won’t be enough. CAMRA will be joining the Scottish Government in calling on the Chancellor to use his Budget on 3rd March to give the Scottish Government enough money to extend this Business Rates holiday for the entire 2021/22 financial year. 

“Pub-goers and licensees will now want to see the Scottish and UK Governments work together to make sure pubs and breweries get enough long-term financial support to thrive when they can reopen. This must include grants, furlough support as long as there are restrictions on trading, extending the VAT cut on beer to help pubs that don’t serve food, and cutting tax on beer served in pubs to help them compete with supermarket booze. 

“Pubs and social clubs are a force for good in our communities, bringing people together and tackling loneliness and social isolation. They will be a crucial part of our national healing process after COVID and deserve to be supported until they can trade again.” 

SLTA Managing Director, Colin Wilkinson said: “The Scottish Licensed Trade Association welcomes today’s announcement by Finance Secretary Kate Forbes that the Scottish Government will extend 100% non-domestic rates relief for retail, hospitality and leisure for at least the first three months of the new financial year.   However, it doesn’t go far enough. 

“Today’s announcement is good news, as is the promise of further ongoing business support and it gives us a much-needed stay of execution. The reduction in the poundage rate, from 49.8 pence to 49 pence, is also very welcomed.

“Further support from the Westminster Government is crucial and our hope is that UK Chancellor, Rishi Sunak, steps up to the mark by extending the current furlough scheme,  committing to retain the Commercial Rates Relief and the temporary 5% reduced rate of VAT for hospitality beyond March 31 and well in to 2022.

“Our sector is battered and bruised and the sooner both the Scottish and UK Governments can provide clarity on support and an indication of an exit strategy out of this pandemic the better.”

Chief Constable Iain Livingstone has welcomed the Scottish Government’s Budget announcement. 

Mr Livingstone said: “I welcome the announcement to eliminate the structural deficit in policing’s funding.

“The reform of policing in Scotland has brought many benefits to all communities across the country, while £200m has been returned to the public purse every year compared to legacy arrangements.

“The last 12 months have demonstrated the relentless nature of policing. Our mission to prevent harm, support communities and keep people safe has been evident throughout the pandemic.

“We will continue to enhance capacity and capability to protect the people of Scotland in the public, private and virtual spaces.

“Responsive and accessible local policing is deeply valued by our fellow citizens and will always lie at the heart of Police Scotland’s purpose and approach.”

The Scottish Budget 2021-22 document is available online.

Full details of the budget are available at www.gov.scot/budget