The Scottish Government has confirmed that 23 community-led projects will benefit from £5.9 million in dedicated islands funding for 2025–26.
The funding, drawn from the Islands Programme and the Carbon Neutral Islands Fund, will support infrastructure and decarbonisation projects across 22 islands in Argyll and Bute, Highland, Na h-Eileanan Siar, North Ayrshire, Orkney, and Shetland.
Four islands – Luing, Lismore, Scalpay and Ulva – will receive funding for the first time, marking a significant expansion of the programme’s reach. In total, 18 projects will receive support this year, with a focus on community resilience, sustainability, and infrastructure development.
The Carbon Neutral Islands Fund, now in its second year, has provided over £1.4 million to support decarbonisation efforts while delivering wider benefits to island communities. Projects are delivered in partnership with local authorities and Community Development Officers from each Carbon Neutral Island.
To date, the Islands Programme has supported 88 locally-led projects across 55 islands, helping implement the strategic goals of the National Islands Plan.
Kate Forbes, Scotland’s Deputy First Minister, commented:
“Our island communities are bursting with ambition, innovation and potential, and the Scottish Government is committed to supporting local priorities and long-term sustainability. Indeed it is the underpinning objective of the Convention of the Highlands and Islands to take a collective, strategic approach to unlocking economic opportunities and tackling issues.
“I am pleased we have been able to provide substantial funding towards projects across island areas. They are all fine examples of how we can work together with communities and local authorities to boost island economies in ways that are sustainable and generate revenue that can be reinvested locally.”

The Scottish Futures Trust is providing coordination and advice to ensure projects are delivered effectively. The programme is open to applications from the six island local authorities and aims to tackle depopulation, improve infrastructure, and support economic and environmental sustainability.
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