EUROPEAN Union cash will help more than 20,000 Scottish businesses benefit from £60 million worth of investment into Scotland’s small and medium-sized enterprises.

Thousands of jobs could be created by the investment which the Scottish Government says is evidence that “maintaining our EU membership is a top priority.”

The European Regional Development Fund is supporting small and medium-sized enterprises (SMEs), helping companies to expand.

SMEs account for 97 per cent of businesses in Scotland, and the £24.5m funding from the EU will target growth through innovation and investment.

The European support is channelled through local authorities and business support organisations and includes more than £8.3m to Scottish Enterprise, £3.8m to Highlands and Islands Enterprise, £1.8m to North Lanarkshire, and £1.9m to West Lothian.

With match funding, the total investment is £60.6m which is forecast to help create more than 11,000 jobs.

Keith Brown, cabinet secretary for economy, jobs and fair work will confirm the funding on a visit to manufacturing firm Andrew Wright Glass in Irvine.

He said: “This is a fantastic opportunity to support our SMEs – the engine of the Scottish economy. The investment will benefit more than 20,000 enterprises, with the aim of identifying and developing our next 1,000 growth businesses. Business Gateway support alone is forecast to create 11,000 jobs.

“This investment shows exactly why the best way to guarantee jobs, investment, services and projects across the country, is by maintaining Scotland’s relationship with the European Union. Membership delivers many social, economic and cultural benefits for individuals, businesses and communities so maintaining our EU membership is a top priority.

“Collaboration has been so important in bringing this funding together and I applaud the hard work from the Scottish Local Authority Economic Development Network, Scottish Enterprise, Highlands and Islands Enterprise and numerous local authorities.”

Councillor Stephen Hagan, Cosla’s spokesperson for development, economy and sustainability, said: “This additional funding will be a huge boost to Scotland’s SME community and will allow us to build on a successful year that saw Business Gateway and its partners provide strategic support to thousands of growth businesses throughout Scotland.

Hagan added: “During 2015/16 the Business Gateway website saw unprecedented numbers of businesses access advice and information, and our network of advisers across the country provided additional adviser time to 9,000 growth businesses to help them take their ventures to a new level.

“It is extremely important we keep this momentum going in the coming months and years and there is no doubt this funding will play a key role in making this happen.”

“As local authorities delivering the Business Gateway service continue to develop support for businesses, we will look to work ever more closely with our partners, including Scottish Enterprise, Highlands and Islands Enterprise and others, to ensure that businesses have access to a support package that meets their individual needs, wherever they are based.

“Through a combination of specialist adviser support, strategic seminars and masterclasses, and other business services, we will look to support 18,000 businesses as they look to achieve their growth ambitions, helping to generate over 11,000 new jobs.”

Jim Galloway Chair of the Scottish Local Authority Economic Development Network said: “This award recognises how local authorities including Business Gateway teams around the country can work together to maximise opportunities to support local businesses. “We’re delighted to have secured this European funding as it will allow us to assist more businesses across Scotland, create more jobs, and grow the Scottish economy”