Scottish Industries combine to call for rates discount for Retail, Hospitality, and Leisure
Five leading representative groups have combined to urge MSPs to deliver a permanent business rate discount for all retail, hospitality, and leisure premises.
The collective call comes ahead of the unveiling of the Scottish Government’s Budget on the 13th of January and in the wake of the UK Budget, which introduced a permanent business rate discount for retail, hospitality, and leisure premises in England.
The five organisations represent retailers, hospitality, tourism, and leisure sectors with a stake in the vitality of Scotland’s high streets and town and city centres. Together the sectors employ 457,000 Scots.
In an open letter to MSPs the five write:
Dear MSP,
Permanent business rate discount for all Retail, Hospitality and Leisure
Our ambition is for Scotland to continue to be a great place to do business.
However, the UK Budget has moved the goal posts. Retail, Hospitality and Leisure businesses in England will receive a permanently discounted business rate from April. This will see a 5p in the £ discount to their business rate, which roughly equates to a 10 per cent discount.
Our sectors are the backbone of communities across Scotland. The everyday economy drives foot-traffic and provides local and flexible jobs and career opportunities for almost half a million Scots. If our sectors in Scotland miss out on a permanent business rate discount we fear this will have significant consequences for our town and city centres. If these locations become less viable to trade profitably that will affect commercial investment and jobs.
As our high streets adapt to a new economic model in straitened times there remains a critical need for continued investment. Creating the best investment conditions for retail, hospitality and leisure premises is vital to keeping these businesses attractive to customers and to minimise the number of shuttered high street buildings. Scotland must not become a materially more expensive place to operate as it would likely shift investment to other parts of the UK. It is certainly not in the interests of Scotland’s economy for retail, hospitality and leisure businesses to be incentivised to invest in Berwick-upon-Tweed over Bothwell, Buckhaven, or Blairgowrie.
Our organisations have a range of views on reforming business rates. However, we are aligned in asking you and fellow Parliamentarians ahead of the Scottish Budget to maintain competitiveness and introduce a permanent business rate discount for all retail, hospitality and leisure premises; one which is at least as competitive as is planned for England. This would deliver on the pledge in the New Deal for Business Group Implementation Plan to deliver the most competitive business rates regime, support commercial investment and economic growth, and signal Parliament stands behind our retail, hospitality, and leisure industries.
Yours sincerely,
David Lonsdale, Director, Scottish Retail Consortium
Leon Thompson, Executive Director, UKHospitality Scotland
Marc Crothall MBE, Chief Executive, Scottish Tourism Alliance
Phil Clapp, Chief Executive, UK Cinema Association
Huw Edwards, Chief Executive Officer, ukactive
