Covid-19: Scottish Government launches Mobile and Home Based Close Contact Services Fund

The Scottish Government has announced more financial support for mobile and home-based beauty therapists during coronavirus, announcing an initiative of £60 million for close contact businesses and those who are newly self-employed. 

There will be two funds available for those whose livelihoods have been affected by Covid-19 and both funds will provide £4,000 grants to successful applicants. 

This news comes after Scotland’s First Minister Nicola Sturgeon announced that the country’s national lockdown will be extended, with beauty businesses remaining closed until at least the beginning of March. 

1. The Mobile and Home Based Close Contact Services Fund

Grants will be available for mobile and home-based close contact service businesses, such as make-up artists, spray tanners, nail techs and hairdressers. You must operate your business primarily on a mobile basis or from home. 

To be eligible for the grant you must have been operating your business before March 17, 2020; have lost income as a result of coronavirus restrictions; and meet all of the eligibility criteria. 

Eligible applicants will receive a one-off £4,000 payment (£2,000 for the period to end December 2020 and a further £2,000 to cover the period from January 2021 onwards) and the deadline for applications is 5pm on March 16.

Apply for the Mobile and Home Based Close Contact Services Fund here

2. The Newly Self-Employed Hardship Fund

The Newly Self-Employed Hardship Fund, which paid out more than £11m in support last year, will reopen for a second round. 

The fund offers a one-off £4,000 payment for those whose status as being newly self-employed makes them ineligible for the UK Government’s Coronavirus Self-employment Income Support Scheme. 

The scheme is designed to help alleviate financial hardship for newly self-employed people who meet the eligibility criteria, which includes demonstrating that you became self-employed on or after April 6, 2019, but before March 17, 2020, (and are therefore ineligible for the UK Government’s Self Employment Income Support Scheme because you did not submit a tax return including income from self-employment for 2018–19). 

The deadline for applications is 5pm on March 16. 

Apply for the Newly Self-Employed Hardship Fund here


What the Scottish Government 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,” said finance secretary Kate Forbes.  

“We’ve committed more than £3bn 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.”

Read the Scottish Government’s full list of Level 4 Covid-19 restrictions


What do you make of this news? Comment below. 

To help you weather the storm while your beauty salon, spa or mobile/home-based business adjusts to the "new normal", we’ve rounded up the best resources to get you through this tough time. Check out our Coronavirus Support Guide.