Young Enterprise (YE) Scotland, a charity dedicated to providing enterprise education to young people across the country, has announced it faces closure following the loss of its primary government funding. With its future now uncertain, YE Scotland warns that up to 31 jobs may be lost if emergency financial assistance cannot be secured.

The charity, which has supported schools and colleges for over 30 years, disclosed that the withdrawal of its government grant—a substantial portion of its income—puts its operations at serious risk. Last year alone, YE Scotland’s initiatives, including its flagship Company Programme, reached over 18,000 students, many of whom credit the program with paving the way for their entrepreneurial journeys.

Emma Soanes, YE Scotland’s chief executive, expressed devastation over the news. "The loss of our major income source not only puts our staff at risk of redundancy but threatens to undo our contributions to Scotland's educational landscape,” Soanes said. She also stressed that losing support for Scotland’s young entrepreneurial talent contradicts the goals outlined in the government’s National Strategy for Economic Transformation and the Entrepreneurial Campus report.

In recent years, YE Scotland has awarded over 1,000 students with an enterprise qualification (SCQF Level 6), illustrating the charity's impact in fostering the skills essential for entrepreneurship. Traditionally, YE Scotland has relied on a combination of Scottish Government grants, private sector contributions, and support from various trusts. However, government funding for 2022/23 and 2023/24 was delayed, and in July, YE Scotland was informed that the grant process would shift to a competitive model, meaning no automatic renewal.

The new Entrepreneurial Education Pathways Fund, introduced in August, now allocates grants of up to £250,000 on a competitive basis for innovative youth programs in the public and private sectors. Despite submitting five proposals, YE Scotland was unsuccessful in securing funding.

Andy Campbell, YE Scotland’s chairman and founder of the Scottish Space Network, voiced readiness to collaborate with the government. He acknowledged the challenges posed by current budget constraints and noted YE Scotland’s commitment to maintaining operations despite previous funding delays. "Although we continued our programs to avoid disruptions for young people, the current situation has left us facing potential closure without emergency support,” Campbell said.

The Scottish Government confirmed the new competitive nature of the Entrepreneurial Education Pathways Fund, stating that all applications were assessed fairly. Discussions with YE Scotland are ongoing as the charity seeks urgent financial relief to continue its work, albeit potentially on a reduced scale.