Scotland to receive £1.9bn in additional coronavirus funding

The UK Government has guaranteed Scotland will receive £1.9bn in additional coronavirus funding this year.

Chief secretary to the Treasury Stephen Barclay made the announcement ahead of a visit to Edinburgh.

He said the extra £1.9bn for Scotland, £1.2bn for Wales and £600m for Northern Ireland would help provide for their future coronavirus response planning.

The Treasury said the guaranteed funding takes the total given to the devolved administrations to at least £12.7bn for 2020/21 to support coronavirus recovery.

The funding takes the total amount allocated to Scotland to £6.5bn this year.

Speaking ahead his visit Mr Barclay said: “At the start of the coronavirus pandemic, we said we would do everything we could to support the whole of the UK – whether that’s saving jobs or ensuring our vital NHS has the equipment it needs. And that is exactly what we have done.

“Today we go one step further by giving the Scottish Government the certainty they need to plan their own support schemes over the next few months.

“This is yet another sign of our support for the Union and commitment to securing an economic recovery for the whole of the United Kingdom.”

The announcement comes after the Prime Minister Boris Johnson’s trip to Orkney on Thursday for his first visit to Scotland since December’s general election.

Boris Johnson visited businesses in the Orkney Islands.

Finance secretary Kate Forbes said: “We welcome the increased funding package provided by the UK Government while recognising that, unlike the Scottish Government, they have access to the borrowing powers that are required to respond to a crisis like coronavirus.

“This will provide vital support in order to combat the impact of Covid-19 on Scotland.

“However, we still need urgent agreement on fiscal flexibilities in order to provide further much-needed funding to support the dual economic impact of Covid and the end of the EU transition period.”

Scottish secretary Alister Jack said: “It’s great news that the UK Treasury is providing the Scottish Government with a total of £6.5bn in additional funding to tackle coronavirus, on top of their block grant.

“This will give them certainty of funding for the rest of the financial year, helping them to plan investment in the economy and public services effectively.

“Direct funding to the Scottish Government is on top of the UK Government’s unprecedented package of measures across the UK, to protect jobs and ensure our economy bounces back from covid.

“That includes supporting nearly 900,000 Scottish jobs through our furlough and self-employed support schemes, thousands of business loans and a VAT cut for our tourism and hospitality sector.”