SCOTLAND'S construction industry has called for extra cash support amid claims it has been "forgotten" by ministers.
The Scottish Building Federation (SBF) said a survey of its members revealed more than three-quarters have seen all cash flow stop, whilst 95 per cent have furloughed at least 80% of their staff.
Despite this, the industry – which employs over 170,000 people and makes up a substantial slice of the economy – says it has received no specific support.
Official analysis has warned Scotland's economy could shrink by a third during the coronavirus lockdown, with the potential for “long lasting impacts”.
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Vaughan Hart, managing director of SBF, said most of its members have heeded advice to stop working to protect staff and the wider community.
He said: “We welcome the Scottish Government’s second phase of funding which includes a fund of £100m to support businesses in financial distress due to Covid-19.
“Other heavily-impacted sectors which were initially advised to close have rightly received significant support and other industries have now received bespoke support packages from the Scottish Government.
"Construction seems to have been forgotten despite being one of the most crucial sectors to the Scottish economy.
"Our sector employs over 170,000 people and is 10% of the Scottish economy but many of our members are struggling.
"They urgently need specific support from government if they are to survive the current crisis and be in a position to help rebuild the Scottish economy when it ends.”
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The SBF said the retail, hospitality and leisure sectors have been designated “heavily-impacted” and benefit from 100% rates relief as well as further grant funding.
Its survey of more than 100 members indicated that only 36% of construction firms are eligible for the £10,000 grant funding offered through the Small Business Bonus Scheme (SBBS) and Rural Rate Relief (RRR).
It found cashflow has stopped entirely at 76% of firms, while 71% want similar support to that offered to retail, hospitality and leisure businesses.
The vast majority (98%) of sites controlled by SBF members are closed in compliance with the guidance issued by the Scottish Government, with the remainder falling under the ‘essential work’ category.
Elsewhere, figures show retail sales have plummeted by 44% in the last two weeks of March 2020.
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