COUNCIL ELECTION: Let councils cut business rates to boost local firms

By Bill Heaney

Scottish Liberal Democrat leader Alex Cole-Hamilton has today highlighted the plight of small business and make the case for giving councils, such as Argyll and Bute, which covers Helensburgh, Cardross and Lomond, more control over business and economic development.

The party has set out plans to:

  • Support the restoration of local control over council tax and business rates as part of a comprehensive plan to increase the proportion of funding determined and distributed locally.
  • Campaign for councils to receive their fair share of Scottish Government resources.
  • Work through COSLA to develop a new vision for local councils with a suite of new powers which can be used to make a real difference to people’s lives, particularly in economic strategy, energy, transport, town planning and funding for affordable housing.
  • Promote the long-overdue replacement of the council tax.
  • Support parity of esteem between local and central government underpinned by a fiscal framework that recognises the important work councils do.
  • Give a full power of general competence to local authorities, encouraging innovation and easing the grip of government ministers.

Mr Cole-Hamilton, pictured right,  said:  “Local businesses have taken a battering during the pandemic. They need help to get back on their feet and compete with online retailers. That’s why we should be giving councils the flexibility to decide what is right for them.

“It is absolutely bonkers to assume that the person best placed to make decisions on everything from enterprise policy to business rates in Helensburgh is an SNP minister in Edinburgh.

“Cutting bills for small businesses on the high streets of our towns and villages can help to revitalise areas and sectors which have fallen behind.

“Every Scottish Liberal Democrat elected on 5th May will offer new hope for local businesses and put local people back in charge, not distant SNP ministers.”

Meanwhile, Dumbarton constituency MSP Jackie Baillie is backing calls for an emergency budget to tackle the cost of living crisis and support firms with higher costs.

Labour has called for a tax cut for small businesses across the UK – the move paid for through an increase in the Digital Services Tax – which would see £171 million available to Scottish firms through Barnett consequentials.

New analysis from Labour has shown the impact of higher costs on Scottish businesses, with two in five firms being impacted in some way by rising energy costs and nearly 40 percent passing higher prices onto customers in Scotland.

The MSP, pictured left,  is worried that Dumbarton, Alexandria and Helensburgh town centres could be left like ghost towns if businesses are affected by the cost of living crisis while being given little support.

Despite 50 percent rates relief being extended for 12 months for retail, leisure and hospitality businesses in England and Wales, the SNP has only extended rates relief for three months for Scottish businesses. This has led to fears that Scottish traders including those in West Dunbartonshire, Helensburgh and Lomond could be left behind.

Labour has called for an emergency budget to help firms and households across the UK, the measures include a tax cut for small business, an emergency fund for energy intensive industries and a halt to the Conservatives national insurance rise adding to payroll bills.

Jackie Baillie said: “Business across Scotland including those in my own constituency across West Dunbartonshire, Helensburgh and Lomond are at breaking point – but they are being failed by two out-of-touch governments.

“We are right to talk about the cost of living crisis – but we also have a cost of running a business crisis too.

“It would be tragic if our town centres in Dumbarton, Alexandria and Helensburgh that have survived the pandemic are put in danger now. If firms cannot afford to carry on, we will be left with ghost towns so we must do all we can to prevent that from happening.

“That’s why we need an emergency budget to support businesses and an urgent package of resources from both governments for those businesses in danger.”

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