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Deputy First Minister Jenny Gilruth insisted a \u00a35 million government package would be sufficient to help businesses suffering from the Princes Street fire.<\/p>\n
The sum provided is half that received by businesses affected by the Union Corner fire in Glasgow. \u201cThe circumstances are different,\u201d she said. \u201cBusinesses in Glasgow were forced to close down. That is not the case here.\u201d<\/p>\n
Ms Gilruth toured the site of the former Debenhams Store, overlooking the Castle, with Edinburgh council leader Jane Meagher. <\/p>\n
The fire broke out on 9 July, leaving a blackened facade which is now being made safe. The minister said this would be quicker than demolition.<\/p>\n
However, it will be a further three weeks before the street is fully reopened and trams allowed to resume journeys between the west end and Newhaven. <\/p>\n
Many businesses in Leith say the closure is hitting trade at a particularly busy time of the year as thousands of tourists arrive for the festival. <\/p>\n Ms Gilruth rejected suggestions that the government had been slow to respond. \u201cThe council asked for help on 17 July and we have been in discussions ever since,\u201d she said.<\/p>\n The schedule means Princes Street will remain closed for the entirety of the festival. \u201cI can\u2019t do anything about that,\u201d said Ms Meagher, adding that safety was her primary concern. <\/p>\n She also confirmed that the council is in talks with the three owners of the buildings affected to ascertain their responsibility for repairs and any unpaid bills.<\/p>\n The government funding will be administered by the council over the coming weeks to help businesses and will also help secure the site, make the building safe, and support festival operators forced to relocate.<\/p>\n Ms Gilruth said: \u201cThis fire has caused widespread\u00a0difficulties in Edinburgh, not just in the city centre, but extending north into Leith and Newhaven, as business and commuters adjust to the disruption caused by the fire.<\/p>\n \u201cThe Scottish Government has been determined from the start to ensure that we are ready to support the council in assisting those affected and the funding being set out today will help to keep the city moving and to adapt, while also enabling long term recovery.<\/p>\n \u201cThe impact in the capital has been significant at a time when the August festivals are getting underway. The Scottish Government\u00a0is\u00a0committed to working\u00a0urgently\u00a0with partners to ensure there is the fullest possible recovery, including the reopening of Princes Street as soon as is safely possible.\u201d<\/p>\n Daily Business Bulletin<\/strong>:\u00a0Subscribe here for our morning bulletin of breaking news<\/em><\/p>\n \t <\/div>\n![\"\"](\"https:\/\/dailybusinessgroup.co.uk\/wp-content\/uploads\/2026\/08\/Jenny-Gilruth-in-Princes-Street-2026-08-05-at-14.40.11.png\")