The Scottish Government has confirmed the opening phase of its £10m Islands Resilience Fund, releasing £3m this financial year to support people and businesses across Scotland's islands facing disproportionate challenges from ferry disruption and related costs.

This new support builds on the £4.4m provided in 2025–26 through the Islands Business Resilience Fund. The announcement comes ahead of a three-day visit by the First Minister to the Western Isles, where he will visit Barra, South Uist, Grimsay, Scalpay, Lewis and Harris for engagements focused on housing, energy and community wellbeing.

First Minister John Swinney said: "Scotland's islands are home to a wealth of talent, innovation and entrepreneurialism, but too often island businesses are held back by circumstances outside their control.

"The £10m Islands Resilience Fund was one of our commitments for the first 100 days of government. This fund will support businesses to cope with challenging circumstances, helping them to thrive and ensuring that Scotland's islands remain attractive places to set up businesses and livelihoods.

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"Crucially, this phase of investment will ensure support can be put in place immediately while we establish the foundations for longer-term investment over the course of this Parliament.

"Over the next few days I will meet a wide range of organisations in the Western Isles, where I look forward to discussing more about how the Scottish Government can support island communities to build the resilience needed for a bright future."

Rachel Hunter, director of enterprise and community support, Highlands and Islands Enterprise (HIE) said: "The Islands Resilience Fund will ensure that support reaches more island communities and sectors experiencing the effects of ferry disruption. By opening eligibility, we can provide practical assistance to businesses and community organisations that have experiences additional costs and challenges beyond their control.

"Working on behalf of the Scottish Government, HIE's focus will be on delivering the fund and ensuring support reaches those who need it most. Organisations that received support through previous rounds of the IBRF will be contacted directly by HIE, rather than needing to submit an application.

"This investment will help strengthen resilience across our island communities, supporting organisations to adapt, recover and continue contributing to vibrant and sustainable local economies."

The First Minister's visit will take place from 10–12 August. Islands eligible for support include Arran, Barra, Benbecula, Berneray, Canna (including Sanday), Coll, Colonsay, Eigg, Eriskay, Gometra, Grimsay, Iona, Islay, Jura, Harris, Muck, Mull, North Uist, Rum, South Uist, Tiree, Ulva, Vatersay and Scalpay.

Highlands and Islands Enterprise will administer the fund, which opens for applications at midday on Monday 17 August. Further phases of the overall £10m programme will be delivered over the lifetime of this Parliament.