Libor funding boost for Scottish military charities

The funds will be used for housing and mental health support schemes for military veterans

Five Scottish military charities are to receive a total of £5m gathered from UK banks in Libor fines.

The cash will be used to fund projects including housing and mental health support schemes for military veterans.

The biggest donation, of more than £2.5m, will go to Veterans First Point to establish a number of mental health support centres in Scotland.

The cash comes from fines imposed on the banking industry for rigging the Libor benchmark interest rate.

In the UK as a whole, a total of £35m from the armed forces covenant (Libor) fund has now been distributed to 96 military charities.

During the recent Autumn Statement a further £100m was made available.

The latest round of funding was announced by Chancellor George Osborne.

New centres

Veterans First Point Scotland, which provides welfare and psychological support for veterans and their families, will use the new funding to develop their centre in Edinburgh and establish a further three centres in Inverness, Dundee and Aberdeen.

The four other Scottish charities that will benefit from this funding are:

• Houses for Heroes Scotland will use £1.94m to build low-rent houses in Scotland for wounded service personnel and their families.

• Scottish Veterans Residences in Glasgow will receive £233,000 to provide temporary supported accommodation for veterans in Glasgow, to help with the transition to civilian life.

• The HMS Neptune Welfare Fund will receive £102,000 to refurbish a holiday cottage so it can be used by injured servicemen and their families.

• Rothiemurchus Lodge in Aviemore will receive £65,000 to upgrade the lodge, which is used as affordable self-catering holiday accommodation for Armed Forces personnel, veterans and their families.

Scottish Secretary Alistair Carmichael said: "I congratulate the dedication and innovation of all those involved in these fantastic projects who will benefit from this latest round of funding.

"It is right that fines received from banks who attempted Libor manipulation is being used for good causes across the UK to provide those serving personnel, veterans and their families with the support they need.

"Charitable projects across Scotland, from Dumfries and Helensburgh to Edinburgh and Inverness have benefited from £5.5m of Libor funding this year.

"Scotland's armed forces community as a whole will also benefit from UK-wide projects which have received a share of the £35m of Libor funding."