The Courier & Advertiser (Angus and Dundee)
Businesses in plea for rates to be frozen
Deputy First Minister John Swinney has been urged to freeze business rates in a letter from 19 industry bodies.
Mr Swinney is in charge of the country’s finances while Finance Secretary Kate Forbes is on maternity leave and will announce the Scottish Government’s draft budget on December 15.
His budget will come at a time of immense pressure on public finances, and business leaders have urged him to “at least” freeze non-domestic rates.
Rates are paid on nondwelling properties to local councils and are set by the Scottish Government, which also has the power to freeze them as was the case during the pandemic.
Chancellor Jeremy Hunt announced in his Autumn Statement that business rates would remain the same next year.
The letter to Mr Swinney said: “Given the decision taken in the UK autumn statement, we ask that at the very least Scottish ministers follow suit and freeze the rate in the coming financial year.
“This would aid firms with the costs crisis, help them keep down prices, and ensure that no more Scottish commercial premises than currently do pay a higher business rate than applies down south.
“It would support business investment and retain competitiveness for most ratepayers.
“Our organisations have a range of ideas on how Scotland’s rates system could be improved.
“However, we believe this practical measure to at least freeze the rate requires to be taken, which would be a positive step applicable to all commercial premises and help ease the burden.”
The Scottish Retail Consortium, Scottish Financial Enterprise, CBI Scotland, the Scottish Chambers of Commerce, Ukhospitality Scotland and the Scottish Tourism Alliance signed the letter.
Scottish Conservative finance spokeswoman Liz Smith supported the calls, saying businesses are “grappling with the global cost-of-living crisis and have barely had time to get back on their feet following the pandemic”.
She added: “They are desperate for support.
“This is a measure the Scottish Conservatives have repeatedly called on ministers to introduce but so far these calls have fallen on deaf ears.
“A host of sectors across Scotland would be impacted by a failure to implement this freeze so John Swinney must listen to their concerns.”
Public finance minister Tom Arthur said: “The Scottish Government recognises the enormous pressures facing businesses during the current crisis.
“The Scottish Budget 2022-23 delivered the lowest non-domestic tax rate in the UK for the fourth year in a row, ensuring more than 95% of non-domestic properties have a lower property tax rate than anywhere else in the UK.”