MARY We must look after small businesses
BY WEST SCOTLAND MSP MARY FEE
A large part of my casework in the last month and a half has come from owners of small and mediumsized businesses in Renfrewshire.
This is mainly due to the lower levels of grants available to them in Scotland in comparison to the grants available down south.
While many businesses have had to cease trading for the time being, they are still having to pay rents, insurances and staff costs.
A group of Scottish business announced that they would take the Scottish Government to court over the funding shortfall, which is estimated to be around £600million.
In England, small businesses can apply for 100 per cent of a scheme for each property they operate from, to cover rents and staff costs
Whereas in Scotland, an almost identical scheme is less supportive, with 100 per cent grants for the first business and then 75 per cent for each subsequent business.
So, if a small retailer had two outlets, they could apply for the full grant for one, but only 75 per cent on the other.
Last week, the group on Scottish businesses were successful in applying to the courts for a judicial review to take on the Scottish Government.
Small businesses are the lifeblood of the economy and crucial to the economy of places like Renfrewshire.
Our economy is suffering badly at the moment.
If small businesses fail during this time, not only will it hurt our local economy, it will leave thousands more people jobless at a time when people can’t afford to be out of pocket.
Pass extra funding to councils As a result of UK Government spending, the Scottish Government is due an extra £155 million to deal with the coronavirus crisis.
I am backing calls from opposition parties, council bodies, trade unions and constituents for the extra funding to be passed on to councils to help them better deal with the crisis.
COSLA, the council umbrella body, have passed a motion with cross-party support calling for the extra £155 million to be passed straight to local government without delay.
They have also rejected the claim made by the finance secretary that the Scottish Government are assessing the funding and instead called on councils to use reserves first.
A constituent who contacted me has rightly called this “astounding that local authorities should be using reserves when the Holyrood has received additional money”.
It is clear the Scottish Government is not in line with the public on this.
We cannot allow councils to use reserves and face further financial constraints, especially after a decade of SNP cuts to councils.