Ready to restart
Government schemes giving firms confidence of survival
Liz Cameron: ‘schemes are having an impact’ (pic: Terry Murden)
Further evidence has emerged that billions of pounds of government support is giving companies confidence that they can survive the lockdown.
While the vast majority of businesses in Scotland remain concerned about their prospects, companies say they are benefitting from access to a range of government support schemes, north and south of the border.
More than half of businesses (58%) surveyed by Scottish Chambers of Commerce said they would need a week or less to get back up and running under a partial or complete end of the lockdown.
Over one in five businesses (22%) said they face collapse in the next two months while 43% fear they won’t be able to survive if lock down conditions persist.
These figures represent a small decrease in risk compared to previous survey data which found that catastrophic declines in income and cash caused by lock down conditions meant almost half (48%) of companies faced collapse in the upcoming quarter.
Liz Cameron, Chambers chief executive, said: “This survey shows that support from the range of schemes launched by both the Scottish and UK governments are having an impact.
“However, as well as need for guidelines there is still demand for continued support to ensure that businesses lead us out of this economic collapse as soon as conditions permit.”
New figures showed that the banking and finance industry has approved more than £22 billion in loans to over half a million (505,043) businesses so far through the three major government-backed lending schemes.
The positive mood was not shared by one financial adviser who said the UK government’s £500 million Future Fund opening for applications from innovative and high-growth businesses will benefit only a few companies.