The tourism industry in Wales is to be supported with a £20 million funding pot to help businesses through the winter.

The cash is part of a £140 million funding package supported by Economy Minister Ken Skates today, which will help firms deal with the challenges of Covid-19 and Brexit.

The funding from the third phase of the Welsh Government’s Economic Resilience Fund (ERF) will see wider support being provided to secure jobs and help businesses develop, as well as additional help for firms affected by local lockdowns.

To date, the ERF has delivered almost £300m of support to more than 13,000 companies in Wales. This has helped to protect in excess of 100,000 jobs which might otherwise have been lost.

This new phase of the ERF will see £80m being made available to support businesses with projects that can help them transition amid changes to the shape of the Welsh economy, and will require co-investment from companies and a clear plan about how they will adjust to the post-Covid economy.

Of this, £20m will be ring fenced to support tourism and hospitality businesses who are facing particular challenges as they enter the winter months.

An additional £60m will be allocated to support businesses impacted by local lockdown restrictions.

Mr Skates said: “This additional help has been designed to complement and build on the support announced by the Chancellor last week, again demonstrating the Welsh Government’s proactive approach to go above and beyond in providing extra financial assistance that we know our businesses and workers need.”

The £80m worth of business development grants will be open to micro businesses, SMEs and large businesses.

• Micro businesses (employing between 1 and 9 people) will be able to apply for up to £10k on the condition they match this with their own investment of at least 10 per cent.

• SMEs (employing between 10 and 249 people) will be able to apply for up to £150K on the condition they match this with their own investment of at least 10 per cent for small business (1-49 staff) and 20 per cent for medium sized (50-249) business.

• Large businesses (employing 250+ people) will be able to apply for up to £200K on the condition they match this with their own investment of at least 50 per cent.

Mr Skates added: “We are going through a time like no other. Coronavirus and the increasing risk of the UK reaching the end of the European Union transition period without a deal have placed incredible challenges on our businesses.

“As a Welsh Government, we continue to do all we can to back our businesses, our workers and our communities.”