By Democrat reporter
The SNP must not short-change local businesses, Scottish Labour leader Anas Sarwar has warned today.
The UK government budget extended 40 per cent rates relief for all retail, hospitality and leisure businesses as part of their plans to protect small businesses and support key sectors.
But that measure did nothing to help businesses such as Lady C in Dumbarton town centre which closed its doors on November 5. Or Photo Ecosse or …
In previous years the Scottish Government received hundreds of millions of pounds of Barnett consequentials from rates relief in England, but instead of using the money to replicate the relief here it “disappeared into the SNP’s budget blackhole”.
The Fraser of Allander Institute has estimated it will cost £220 million to replicate this policy in Scotland.
Scottish Labour has urged the SNP to “support Scotland’s high streets” by matching the Labour plans for a 40 per cent relief using funding from its record block grant settlement.
This call forms part of a wider demand from the Scottish Labour Party for wholesale reform of Non-Domestic Rates to strengthen communities and support economic growth.
This includes proposals to increase the rates applied to large distribution warehouses to level the playing field between high streets retailers and online giants.
The UK Labour government is currently taking forward similar proposals elsewhere.
Scottish Labour leader Anas Sarwar said “For too long businesses in Scotland have been forced to pay the price for the SNP’s financial and economic failure.
“Now that the UK Labour government has ended the era of Tory austerity and delivered a record block grant for Scotland, the SNP has no excuses.
“Labour is protecting retail, hospitality and leisure businesses, which are so important to our economy and our communities.
“The SNP must match this level of ambition and pledge not to short change Scottish businesses in a desperate bid to fill its budget blackhole for another year.
“The business rates system in Scotland is not fit for purpose as it stands – we need a new direction.
“The SNP must support Scotland’s high streets by passing on rates relief this year, and set out a long term plan to reform rates so they better support local economies.
“Scotland’s economy has been held back for too long by this out of touch and incompetent SNP government – but Labour will back businesses and boost growth.”