Hairdressers and driving instructors among workers get access to Scottish grants scheme

Financial support schemes for newly self-employed workers and close-contact businesses such as hairdressers and driving instructors have opened for applications.
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Grants worth £4,000 will be available through a self-employed hardship fund and a scheme for mobile and home-based businesses unable to trade because they require close contact between people.

The Scottish Government has allocated £60 million to the two funds and urged anyone who could be eligible for support to apply.

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Many people are awaiting news on when their hairdresser could open back up after lockdown. Picture: ShutterstockMany people are awaiting news on when their hairdresser could open back up after lockdown. Picture: Shutterstock
Many people are awaiting news on when their hairdresser could open back up after lockdown. Picture: Shutterstock
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Finance secretary Kate Forbes said: “These new funds will support harder-to-reach businesses and newly self-employed people across Scotland as we continue to focus our efforts on helping those who are not captured by UK Government schemes.

“We’ve committed more than £3 billion to support businesses and protect jobs during the pandemic, and I would encourage all those affected to check what support is available to help them through such a challenging time.”

To be eligible for the Newly Self-Employed Hardship Fund, which paid out more than £11m last year, applicants would have become self-employed on or after April 6, 2019 and before March 17, 2020, and therefore do not qualify for the Self Employment Income Support Scheme (SEISS).

Alternatively, those who became self-employed between October 1, 2018 and April 6, 2019 but are ineligible for SEISS due to being unable to prove 50 per cent of income came from self-employment can apply for the grants.

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Only Scottish residents with trading profits below £50,000 in the 2019/20 financial year who have lost business income due to coronavirus restrictions are eligible.

Owners – rather than employees – of businesses such as tattoo and piercing salons, driving instructors, hairdressers, massage therapies and alternative medicines, including homoeopathy, can apply for the Mobile and Home-Based Close Contact Services Fund.

The business has to operate either at the owner’s home or on a mobile basis more than 50 per cent of the time.

The funds will open for applications for four weeks, although the Scottish Government has not said when it expects money to be paid out.

Statistics published last week by the government showed £244m was paid to businesses through three funds in January alone.

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