Highlands & Islands Business Support Round-Up

Local News 1 Dec 2023

Run a business in the Highlands & Islands or would like to? Are you seeking help to start up, develop and grow?

Summarised here you will find a list of the current business support packages – grants,  loans and ‘other’ –  available from Highlands & Islands Enterprise (HIE) and Highland, Orkney, Shetland and Western Isles Councils, as published on the Scottish Government’s  Find Business Support website.

Our summary does not include Scotland-wide business support programmes – for these you should visit Find Business Support.

In addition, we strongly recommend that you check to see what help and support is available from your local Business Gateway.

And Highlands & Islands Enterprise (HIE) provides a wide range of help and support too  

And don’t forget that the password-protected Members’ Area of our FSB Website is packed full of useful advice, tips, templates and more. Log-in to find out what.

Here’s the list of up-to-date support on ‘Find Business Support’, with details of how each operates below.

Highlands & Islands Enterprise (HIE) Area

Highland

Orkney

Shetland

Western Isles

 

SUMMARIES

Highlands and Islands Enterprise application support for Scottish EDGE

Aim: Scottish EDGE is a funding competition that identifies and supports innovative entrepreneurial talent from Scotland with high-growth potential. Specialist advice is available to organisations in the HIE region at all stages of the competition. It is free of charge. The support will help you understand the eligibility criteria, decide if an application is right for your organisation and select a category to enter. 

Where based:  Argyll and Bute, Highlands, Moray, Orkney Islands, Outer Hebrides, Shetland Islands

Sector: All sectors

What covered: Businesses and social enterprises based in the Highlands and Islands that are considering applying to Scottish EDGE.

How much: Up to £100,000

Find out more

Green Jobs Capital Fund

Aim: This fund helps businesses and social enterprises in the Highlands and Islands with the cost of capital expenditure needed to create and preserve jobs that produce goods or services that benefit the environment.

Where based: Argyll and Bute, Highlands, Moray, Orkney Islands, Outer Hebrides, Shetland Islands

Sector: Agriculture, forestry and fishing, Chemical and life sciences, Creative industries, Energy and environment, Food and drink, Technology and engineering, Tourism

What covered:

For this fund, green jobs are considered (one of the following):

  • jobs in businesses that provide goods or services that benefit the environment or conserve natural resources - for example, any job in a renewables or low carbon technology company, including warehouse and office staff, engineers and researchers
  • jobs that focus on making an organisation's production processes more environmentally friendly or use fewer natural resources, either as their main focus or as part of a wider role - for example, a designated sustainability officer, or a purchasing manager who aims to source more sustainable materials and suppliers

Businesses in the following sectors are not eligible:

  • retail
  • business services - for example, accountants, book-keepers and solicitors
  • personal services - for example, hairdressers, beauticians, alternative therapists and dog groomers

Businesses in the hospitality sector that operate from their own homes, such as B&B or Airbnb type businesses, are also not eligible to apply.

How much: Businesses and social enterprises can apply for funding to cover between 10% and 50% of their eligible project costs.

Last updated: 16 Jun 2023

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Cycling Tourism Facilities Fund

Aim: The Cycling Tourism Facilities Fund gives tourism businesses, communities, and social enterprises in the area covered by Highlands and Islands Enterprise (HIE) the opportunity to apply for funding of up to £25,000 to develop and enhance their cycling tourism facilities.

Location: Argyll and Bute, Highlands, Moray, North Ayrshire, Orkney Islands, Outer Hebrides, Shetland Islands

Sector: Tourism

What covered: The funding can be used to invest in fixtures, fittings, construction, adaptation or upgrades to improve cycling tourism facilities for Businesses, social enterprises and community organisations that operate in the tourism market in the Highlands and Islands Enterprise area.

Examples of eligible projects include: 

  • creating new secure, covered cycle storage
  • creating new open or sheltered cycle parking
  • increasing the capacity of existing cycle parking or storage
  • adding security lockers and storage
  • adding drying facilities
  • installing bike maintenance equipment, such as repair stations

How much: Grants of up to £25,000 are available to cover up to 50% of the total eligible cost of a project. You will need to fund the remaining costs from other sources.

Last updated: 16 Aug 2023

Find out more.

Highlands and Islands Enterprise innovation service

Aim: Highlands and Islands Enterprise's innovation service can help your business get new ideas off the ground and implement the changes you need to make it thrive. The service will give you access to learning journeys, webinars and masterclasses, the new product development programme, and research, development and innovation (RDI) funding.

Location: Registered companies based in the Highlands and Islands region with ambitions to grow.

Sector: Any

What covered: To qualify for support from the innovation team, your business must be:

  • a registered company with a business plan and ambitions to grow
  • based in the Highlands and Islands region
  • able to match fund the proposed project

If your business has yet to be formed, or you need advice on preparing a business plan, please get in touch with Business Gateway.

How much: The costs will vary depending on the support you receive. There is no cost for advice from a Highlands and Islands Enterprise innovation advisor or another specialist.

The Highlands and Islands Enterprise RDI grant provides between £25,000 and £100,000. Intervention levels will range from 25% to 70% of your project costs. The amount of the grant will depend on the size of the project, the business, sector and the type of research and development being carried out. Any grant award must be matched by the business’s own funds. You should make sure you have your own funds in place before you apply to Highlands and Islands Enterprise.

New Product Development Programme

Aim: The New Product Development Programme is aimed at established businesses that have a new product or service they wish to bring to market. The programme consists of 5 sessions spread over 12 weeks and will take businesses through all the stages of bringing a new product or service to market.

Location: Argyll and Bute, Highlands, Moray, Orkney Islands, Outer Hebrides, Shetland Islands

Sector: All sectors

What covered: The programme is for established businesses that are already trading and are located in the Highlands and Islands area. It is not intended for start-ups.

How much: There is no cost to participate in this programme, it is fully funded by Highlands and Islands Enterprise. The deadline to apply for the next cohort is 14 September 2023. Applications will be accepted on a first come, first served basis.

Last updated: 01 Jun 2023

Find out more.

Business start-up grant for individuals in the Highland Council area

Aim: A start-up grant of £1,000 is available to individuals in the Highland Council area who are looking to turn their business idea into reality.

Location: Highlands

Sector: All sectors

What covered: If you have started a business in the last 12 months or are planning to start a business in the next 3 months, you could be eligible for a Business Gateway Highland start-up grant of £1,000.

All business sectors and commercial types can be considered, including sole traders, partnerships, limited companies and social enterprises. 

How much: £1,000. There is no cost to apply.

Last updated: 08 Mar 2023

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The Highland Council Growing Business Growth Fund

Aim: This discretionary fund is available for small to medium-sized enterprises (SMEs) that are looking to grow or introduce a new product, process or new innovation. Established businesses can apply for a growth grant of up to £10,000 towards eligible costs. This funding support package has been created to support the growth and development of existing SME businesses based in The Highland Council area.

Location: Highlands

Sector: All sectors

What covered: The Business Growth Fund can be used to help your business grow or diversify in various ways, such as:

  • introduction of new innovative technology products or services that improve performance - these do not need to be unique, but new to your business
  • premises improvement or expansion related to business development, new products or services
  • acquiring capital equipment to enable a more technical or efficiency/productivity enhanced approach
  • increasing staffing to meet market needs through the Highland Council HERO scheme
  • introduction of flexible working or new practices for staff, or enhancing customer services
  • investment in new systems or processes for operations

The application process is free. However, applicants will need to fund any shortfall if the grant does not cover all their project costs.

How much: Businesses looking for financial support for their growth plans could be eligible for a Growing Business Growth Fund grant of up to £10,000. Applicants can potentially access 50% of the costs of their growth project.

Last updated: 17 Feb 2023

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Technology Placement Programme

Aim: The Technology Placement Programme offers up to 70% funding for enterprises in the Highland Council area to employ a student or graduate.

Where based: Highlands

Sector: All sectors

What covered: The Technology Placement Programme offers opportunities for enterprises to develop new projects by engaging with a student or graduate in a relevant discipline. For 2023/24, the salary range that Highlands and Islands Enterprise (HIE) will support is £22,500 (minimum) to £29,500 (maximum).

How much: The business will need to pay at least 30% of the student or graduate's salary and 100% of Employer National Insurance contributions, as well as on-costs such as pension.

Last updated: 19 Apr 2023

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Digital Grant for Highland businesses

Aim: The aim of the Digital Grant, accessed through Business Gateway Highland, is to develop small organisations located and operating within The Highland Council area. This will provide financial support to assist them with the development and implementation of new digital systems which will improve business performance and enable growth.

Location: Highlands

Sector: 

  • Organisations must operate from or be located in the Highland area
  • Trading for a minimum of 6 months i.e. business must have been receiving sales
  • Organisations must have a dedicated business bank account
  • Individual must be a UK resident with the right to work in the UK
  • Meet the definition of an independent small enterprise with under 50 employees world-wide
  • Most industry sectors are eligible for consideration
  • Only one grant per business
  • No personal or business debt to the council e.g. Council Tax or Business rate arrears;
  • Must operate on a full-time basis
  • Community groups, not for profit organisations, voluntary or charitable organisations cannot apply for this grant

What Covered: Support towards the costs of introducing new digital capabilities to a business to achieve the following digital business improvement projects:

  • Enhance digital skills of workforce necessitating external training
  • Purchase of new software, ICT, or digital communications, hardware related to the project
  • Developing an online booking/ticketing system or a new Ecommerce website
  • Developing an app for service or sales (through an external contractor)
  • Building or re-development of websites incorporating interactive functionality

How much: A grant of 80% of the total project costs is available to support eligible expenditure. The maximum grant level is £5,000 (minimum £1,500).

Last updated: 06/11/2023

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Energy Efficiency Grant

Aim: The Energy Efficiency grant, accessed through Business Gateway Highland, is a fund for small enterprises in Highland to embrace net zero ambitions and to support Scotland's national net-zero greenhouse gas emissions target by 2045. This fund will assist businesses with barriers unique to their net-zero journey.

Location: Highlands

Sector: 

  • Organisations must operate from or be located in the Highland area
  • Trading for a minimum of 6 months i.e. business must have been receiving sales
  • Organisations must employ a minimum of 3 members of staff
  • The business must have a dedicated business bank account
  • Individual must be a UK resident with the right to work in the UK
  • Meet the definition of an independent small enterprise with under 50 employees world-wide
  • Not be in any debt to the council e.g, Non-Domestic business rates arrears nor should owners and/ or Directors have debt owed to THC e.g. Council Tax
  • Applicants should not be in bankruptcy, liquidation or similar state
  • Most industry sectors are eligible for consideration
  • Community groups, not for profit organisations, voluntary or charitable organisations (except social enterprises) cannot apply for the grant.

What covered: The Energy Efficiency grant can be used to support local businesses make changes to business premises and business operations to support a reduction of their Carbon Footprint from energy consumption which might include:

  • Changing to a low carbon heating system
  • Installation of low or zero carbon energy generating technologies, e.g. solar PV, biomass, micro-wind, water etc.
  • Waste reduction
  • Building fabric upgrades such as insulation, energy efficient lighting, draught-proofing, double or triple glazing

How much: Successful applicants will get a maximum grant of up to £15,000 (minimum £1,500) or 50% of costs.

Last updated: 6 November 2023

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Orkney Islands Council New Business Start-Up Grant

Aim: The Orkney Islands Council's New Business Start-Up Grant is a discretionary grant open to applications from new small businesses based in Orkney. This sustainable business development grant was designed to help start-up projects that will help grow the rural economy.

Location: Orkney Islands

Sector: You are eligible if your business:

  • is located in Orkney
  • is a new start-up that has been trading for less than 6 months
  • is operated by the business owner
  • employs less than 50 people
  • is not part of of a management buy-in or buy-out
  • has not been the recipient of a previous start-up grant
  • is registered with Business Gateway Orkney

Franchise businesses are also eligible to apply for the start-up grant. They must be ethical franchises accredited by the British Franchise Association (BFA).

What covered: The grant can be used for:

  • capital equipment
  • marketing costs
  • training costs
  • combined start-up costs

The grant cannot be used for:

  • patenting
  • intellectual property
  • property redecoration alone
  • legal or statutory fees or charges
  • working capital
  • wage subsidy
  • debt repayment
  • stock and consumables
  • general running costs of the business

The grant is delivered by Orkney Islands Council's Business Gateway team.

How much: The New Business Start-Up Grant is a discretionary grant of between £500 and £1,500.

Last updated: 15 Feb 2023

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Orkney Islands Council Economic Development Grant Scheme

Aim: The Orkney Islands Council Economic Development Grant Scheme offers several grants that are open to businesses based in Orkney. The scheme focuses on key industry sectors and supports projects that demonstrate benefits for the local area, such as encouraging economic diversification. 

Location: Orkney Islands

Sector: You are eligible if your business:

  • is located in Orkney
  • can demonstrate a reasonable degree of financial health
  • is a small or medium-sized enterprise (SME), although assistance may be available at a lower rate if your business does not meet the SME criteria

Established businesses are eligible, as are new business start-ups if their start-up costs exceed the grant support available through the New Business Start-Up Grant.

What covered: The grants can be used for:

  • projects that encourage economic diversification
  • activities that raise the average wage rate
  • efforts to overcome barriers to export outwith Orkney
  • projects that demonstrate additional benefits for the Orkney economy

Your business must also fall within one of the following key industry sectors:

  • food and drink production, where the products are primarily intended for export outwith Orkney
  • creative industries and manufacturing, where the outputs are primarily intended for export outwith Orkney
  • high-end niche products that are only available in Orkney
  • tourism accommodation and facilities
  • knowledge and technology, where projects can demonstrate a benefit to the Orkney economy
  • renewable energy (but not energy production) and its supply chain
  • service sector, if the service is not currently provided in Orkney and you can show there is a viable local demand for that service (and that it's not just a slight variation on an existing service already available locally)
  • service sector where you can show there's a viable external demand

How much: Delivered by Orkney Islands Council's Economic Development team, the Economic Development Grant Scheme provides a number of grants of up to £55,000 each, to cover up to 30% of eligible costs.

Last updated: 15 Feb 2023

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Orkney Islands Council Small Business Training Grant

Aim: The Orkney Islands Council Small Business Training Grant helps small businesses in Orkney to upgrade skills within their business and develop their workforce. It has been designed as a sustainable business development mechanism to encourage skills enhancement that will help grow Orkney’s economy.

Location: Orkney Islands

Sector: You are eligible if your business:

  • is located in Orkney
  • employs less than 50 people
  • has been trading for 6 months or more
  • is not receiving grant funding from other sources for the same training

What covered: The grant can help with the cost of:

  • external training fees (face-to-face or by distance learning)
  • visiting trainer fees
  • associated travel and accommodation costs

The grant cannot be used for:

  • training that is a statutory requirement, mandatory or is routinely undertaken within the business, including Continuous Professional Development (CPD) that is a requirement of a professional membership
  • training where very similar training is already provided by the council for free, such as through Business Gateway workshops

How much: This is a free service. The grant will cover up to 90% of your training costs, up to a maximum of £1,000 per business. You must be prepared to cover the rest of the cost yourself.

Last updated: 15 Feb 2023

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Orkney Islands Council Graduate and Post-Graduate Placement Scheme

Aim: The Orkney Islands Council Graduate and Post-graduate Placement grant is designed to place graduates with local businesses. It is available to small key sector businesses based in Orkney.

Location: Orkney Islands

Sector: You are eligible if your business is located in Orkney and operates in one of these key sectors:

  • food and drink production, where the products are primarily intended for export outwith Orkney
  • creative industries and manufacturing, where the outputs are primarily intended for export outwith Orkney
  • high-end niche products that are only available in Orkney
  • tourism accommodation and facilities
  • knowledge and technology, where the projects can demonstrate a benefit to the Orkney economy
  • renewable energy (but not energy production) and its supply chain
  • service sector, if the service is not currently provided in Orkney and you can show there is a viable local demand for that service (and that it's not just a slight variation on an existing service already available locally)
  • service sector, if you can show there is a viable demand for that service outwith Orkney

What covered: For graduate placements, the graduate must be qualified to HND level or above. The job offered must be:

  • the graduate's first employment related to their qualification since graduation
  • within 2 years of graduation
  • for a minimum of 1 year
  • included in your business growth plan

For post-graduate placements, the post-graduate must be aiming to qualify at postgraduate diploma (PgDip) level or above. Applications should clearly demonstrate how the research undertaken will have realistic economic benefits for Orkney.

How much: The grant is free to apply for. The grant will cover up to 50% of the graduate or post-graduate's total wage and national insurance costs, up to a maximum of £15,000 (for graduates) or £10,000 (for post-graduates). You must be prepared to cover the rest yourself.

Last updated: 15 Feb 2023

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Start-up grants for new businesses in Shetland

Aim: The Shetland Business Start-Up Grant Scheme provides funding of up to £4,000 to newly established businesses in Shetland. An additional grant of up to £1,000 is available to young people under 30, or £1,000 can be awarded to applications that contribute toward Shetland's transition to net zero.

Location: Shetland Islands

Sector: Funding is available to new businesses in Shetland.

Applicants can be:

  • individuals (pre-start)
  • businesses established up to 12 months before the application date

Applicants will be expected to demonstrate that they can realistically achieve at least 2 of the following outcomes:

  • creation of a new commercial or social business
  • creation of at least one new job (this can include the owner)
  • development of a new, innovative or improved product or service
  • development of a new market
  • development of export of import opportunities

What covered: Grants may be awarded for:

  • capital costs
  • marketing costs
  • training costs

How much: The Shetland Business Start-Up Grant Scheme provides funding of up to £4,000 to newly established businesses in Shetland. An additional grant of up to £1,000 is available to young people under 30. A grant of £1,000 can also be awarded to applications that contribute toward Shetland's transition to net zero.

Last updated: 14 Feb 2023

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Grant funding for community projects in Shetland

Aim: The Shetland Islands Council Coastal Communities Fund offers grants of between £5,000 and £150,000 to projects that support the community and economic development of Shetland by investing in infrastructure, community capacity building, developing community assets and encouraging inclusive growth – that is, growth that combines improved wellbeing with greater equality, creates opportunities for all, and distributes the benefits of increased prosperity fairly.

Location: Shetland Islands

Sector: Other sectors

What covered:

Coastal Communities funding may be used to help businesses:

  • develop and regenerate Shetland communities, including infrastructure and community assets
  • create and safeguard sustainable economic growth and jobs
  • help rural communities to address issues of poverty, disadvantage and inequality
  • contribute to reaching net zero through carbon reduction and renewable energy
  • support communities to develop projects that promote and develop local resilience in areas such as food supply, connectivity and energy
  • support community development and capacity building
  • support opportunities for skills development and learning experiences
  • add value to Shetland’s economy through collective efforts such as supporting promotion of local produce and facilities, developing new products and external markets, and improving sustainability
  • support strategic community events such as the Tall Ships and Island Games

How much: Grants will cover between 75% and 90% of the total cost, dependent on the project. You must fund the difference, for example through other match funding.

Last updated: 08 Apr 2022

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Grant available to childminders in Shetland

Aim: A grant is available from Shetland Islands Council to support childminders in Shetland to:

  • start up a childminding service
  • continue to provide a childminding service
  • develop and improve a childminding service

Location: Shetland Islands

Sector: Other sectors

What covered: This funding will cover up to 100% of eligible costs, up to a maximum grant of £250. It can be used for:

  • public liability and car insurance
  • membership of the Scottish Childminding Association
  • subscriptions to childcare publications
  • toy and outdoor resources
  • IT equipment
  • printer ink and admin resources
  • car safety seats
  • fire safety resources
  • works, equipment or training to meet health and safety requirements
  • works, equipment or training to meet standards required by the Care Inspectorate
  • non-statutory training
  • accountancy fees

Last updated: 08 Apr 2022

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Development grant funding for businesses and third sector organisations in Shetland

 Aim: The Shetland Islands Council Economic Development Grant Scheme provides grants of up to £25,000 to businesses and third sector organisations in Shetland. It aims to help organisations with the costs related to developing growth or research projects.

Location: Shetland Islands

What covered: Small or medium-sized businesses (SMEs) and third sector organisations based in Shetland that are looking to develop growth or research projects.

How much: You must provide 70% match funding for development grants and 50% match funding for research grants.

Last updated: 08 Apr 2022

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Outer Hebrides Youth Enterprise Programme - OHYEP

Aim: This support includes access to mentoring and aftercare, one-to-one specialist support, training, and funding of £2,000 for full-time business and £1,000 for part-time businesses. The scheme is open to new and existing businesses in the Outer Hebrides where the owner is aged 18 to 35. 

Location: Outer Hebrides

Sector: All sectors

What covered: The Outer Hebrides Youth Enterprise Programme (OHYEP) provides funding and support to businesses with owners aged 18 to 35. 

The programme includes:

  • one-to-one adviser support
  • aftercare and mentoring support
  • revenue grant funding
  • one-to-one specialist support on various topics, including digital
  • free accounting software, with training
  • business skills webinars
  • access to other financial support and programmes

How much: Revenue funding grants of £2,000 for full-time businesses and £1,000 for part-time businesses are available, to cover up to 75% of eligible project costs.

Last updated: 30 Mar 2023

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Western Isles Council Business Loan

Aim: The loans will help new and growing businesses and income-generating community enterprises to develop projects that will enhance their opportunities for long-term sustainability, as well as economic activity and employment. 

Location: Outer Hebrides

Sector: The business loan is potentially available to all businesses in the Outer Hebrides, if they can demonstrate that they:

  • are commercially viable
  • create jobs
  • generate additional demand for products and services

What covered: Loan funding is available only to applicants who are unable to raise the total capital required from other commercial, private or public-sector sources.

Applicants may be sole traders, partnerships, limited companies, co-operative groups, community enterprises or other legitimate trading entities.

How much: Interest-bearing business loans of up to £50,000 are available to encourage businesses to start up, and also to enable business and community development in the Outer Hebrides.

Last updated: 16 Feb 2023

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Western Isles Council Micro Business Loan

Aim: The loans will help new and growing businesses and income-generating community enterprises to develop projects that will enhance their opportunities for long-term sustainability, as well as economic activity and employment. 

Location: Outer Hebrides

Sector: The business loan is potentially available to all businesses in the Outer Hebrides, if they can demonstrate that they:

  • are commercially viable
  • create jobs
  • generate additional demand for products and services

What covered: Loan funding is available only to applicants who are unable to raise the total capital required from other commercial, private or public-sector sources.

Applicants may be sole traders, partnerships, limited companies, co-operative groups, community enterprises or other legitimate trading entities.

How much: Interest-free micro loans of up to £2,000 are available to encourage the creation and growth of small businesses in the Outer Hebrides that can contribute new jobs to the local economy

Last updated: 16 Feb 2023

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Western Isles Council Fisheries Investment Scheme loan

Aim: The scheme aims to create and retain employment opportunities in the Outer Hebrides by encouraging business development in the fisheries sector.

Location: Outer Hebrides

Sector: Fishing businesses based in the Outer Hebrides.

What covered: The FIS loan is potentially available to all fishing businesses in the Outer Hebrides. Applicants may be sole traders, partnerships, limited companies or co-operatives and must have worked for at least 3 years in the fishing sector, 2 of which must have been in the Outer Hebrides.

Loans are available for the purchase of fishing vessels that are:

  • less than 24 metres in overall length
  • equipped to go fishing at sea
  • up to 30 years old

However, priority will be given to applicants who plan to purchase fishing vessels that:

  • are 10 metres in overall length
  • are less than 10 years old
  • have multi-purpose fishing capability

How much: The loans will cover up to 40% of the project cost, up to a maximum of £100,000. It is expected that the remainder of the purchase will be financed from a commercial loan from the applicant’s own bank and their own funds.

Last updated: 16 Feb 2023

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