Business Transition Fund

Sustainable Renewable Businesses

With funding from the Scottish Government for Covid-19 recovery, Shetland Islands Council’s Economic Development Service set up the Business Transition Fund. The aim was to help businesses with improvements that could either reduce costs (particularly energy costs) or improve their ability to remain sustainable and competitive. There were three elements: digital improvements; energy efficiency improvements; and training.  In total, just over £173k was approved towards 22 projects from a range of businesses and sectors, with grants towards energy efficiency measures being the most common assistance.

The team consulted locally on the priorities that local businesses needed support on and spoke to HIE and other councils about shaping a scheme, with a flexible approach being key. The main challenge was that many local businesses were looking at solar panels or other efficiency measures and there was a lack of supply, therefore projects took longer than anticipated. 

The Business Transition Scheme links to our ‘Place’ priority, with the training, attracting and retaining people and resilient low carbon economy aspects. The scheme also connects to ‘People’ and ‘Money’ priorities. If energy costs are less for businesses, there is greater income. If businesses are more sustainable, owners can employ staff or make better income themselves which translates into hourly pay and hours worked per household, improving the labour market. Similarly if businesses can keep their costs down they can keep costs lower; for example groceries in a shop, which is beneficial to families.

There has been significant interest in the funding which continued after the scheme closed and enquiries through Business Gateway about energy support and energy efficiency shows there is still a need there.