Call for end to Brexit ‘political panto’

A leading business body has called for politicians to start delivering after a year in which they drove firms “to the brink”.

Andrew McRae, policy convener for the Federation of Small Businesses in Scotland, urged companies to “keep their heads up” as they tried to navigate the Brexit minefield that lay before them while also concentrating on the day job.

“Although we might not have tuned in to every twist and turn of the Brexit rigmarole, the endless uncertainty has certainly hit business confidence for six,” Mr McRae said in his annual festive address.

“Our members in Scotland now report record low levels of business optimism, while small business owners elsewhere in the UK are similarly downbeat.”

Mr McRae said it was imperative that MPs returned to Westminster after their Christmas break with a determination to deliver a Brexit deal “in days, not weeks” and warned of dire consequence if no agreement could be reached.

“A no-deal, no-transition Brexit is the worst possible outcome for Scottish smaller businesses and we need to see our political class stretch every sinew to avoid it,” he said.

Mr McRae also said he hoped the prime minister and senior Cabinet colleagues would reflect on the plans put forward last week on immigration.

“Their new proposals will particularly hurt Scotland’s communities, businesses and economies and we need to see an urgent rethink,” Mr McRae said. “At the same time, even if there is a deal, early 2019 must see Scottish smaller businesses doing what they can to try to prepare for the UK leaving the EU.”

Mr McRae said the “political panto” was not the only issue facing firms.

“As if we needed more to consider, there are substantial regulatory reforms coming down the track for business next year,” he continued.

“The Making Tax Digital programme will mean big changes for tens of thousands of Scottish operators, helpfully coming into force just a month after the UK is due to leave the EU.

“If they’ve not done so already, businesses will need to wrap their heads around these moves before too long.”

Andrew McRae is Scottish policy convener for the Federation of Small Businesses.