First Minister announces £3m funding for island projects

First Minister announces £3m funding for island projects

First Minister John Swinney

First Minister John Swinney has announced funding for island projects to deliver infrastructure, support local economies and strengthen access to services. 

A total of 13 projects across 12 islands will share in the Scottish Government’s £3 million 2026-27 Islands Programme Fund. The projects will all help maintain and attract people to live and work in Scotland’s island communities, delivering on the targets of the National Islands Plan, which was introduced in February.

Among the projects is one which will regenerate two neglected buildings on Skye into multi-use community hubs. These will deliver childcare space, gym space, arts and craft workshop spaces, as well as rentable units for small local businesses. 



Another project included is one which will deliver a permanent veterinary facility on Tiree, which will be used by local crofters. 

A project to modernise and expand training facilities within the UHI Scalloway Campus, will also be one of the recipients. 

Ahead of a visit to the Grimsay Heritage Centre, the First Minister named the funding recipients. The centre will receive £600,000 to boost its position as a cultural and economic destination for the local community. 

The First Minister said: “Our island communities have so much potential, and this funding will help them pursue ambitions rooted in local priorities, strengthening their long-term resilience and prosperity. 



“From delivering critical infrastructure to offering opportunities for small businesses, these projects will support employment, generate revenue and improve community wellbeing.”

The First Minister added: “Grimsay Heritage Centre is a fantastic example of how a strong community hub can benefit the local area, serving both as a social space, visitor attraction and a beacon of local heritage. 

“This funding will help the centre to strengthen its contribution to the local economy and deliver a wider range of initiatives for the benefit of its community.”

Sara Stewart, centre manager at Grimsay Community Association, said: “The £600,000 landmark investment will help create a lasting community hub, protecting Grimsay’s unique maritime, crofting and cultural heritage while expanding opportunities for local people and visitors. 

“It is a significant step towards securing a vibrant future for the island, ensuring Ceann na h-Àirigh continues to bring the community together and share Grimsay’s story for generations to come.”

Full list of projects receiving funding via the Scottish Government’s 2026-27 Islands Programme, with project name, local authority and the amount of funding:

  • Achnacroish Affordable Homes, Lismore, Argyll and Bute, £272,506
  • Bendoran Marine Enterprise Hub, Mull, Argyll and Bute, £345,500
  • Sustaining Tiree’s Crofting Community, Tiree, Argyll and Bute, £302,949
  • Canna Contractor Accommodation, Canna, Highland, £76,000
  • Eigg Camping Pods Expansion, Eigg, Highland, £87,602
  • Gaeltec Community Hub Phase 1, Skye, Highland, £393,000
  • Kinloch Village Road and Track Improvement Programme, Rum, Highland £355,112
  • Grimsay Together, Grimsay, Na h-Eileanan Siar, £600,000
  • Orkney’s Creative Catalyst, Mainland Orkney, Orkney, £71,773
  • Repurposing of St Rognvald’s House, Mainland Orkney, Orkney, £203,133
  • Mid Yell Pier Amenity Building, Yell, Shetland, £156,496
  • Speldiburn Community Hub Enhancement, Bressay, Shetland £77,150
  • UHI Shetland Hairdressing Training Salon, Mainland Shetland, Shetland, £58,779
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