That’s a welcome U-turn today by finance secretary Derek Mackay MSP on the business rates crisis facing the North East. The massive protest from the business community has been heard. That’s no small achievement.
As Scottish Liberal Democrat leader Willie Rennie MSP commented: “Finally the Scottish government has realised the seriousness of the problems facing businesses.”
However it does yet again pull the rug out from under the feet of Aberdeenshire Council’s SNP/Labour administration. We saw them defending an iniquitous council tax raid last year until Derek Mackay changed his mind on that, and now their defence of Scottish Government inaction (until now) on business rates is left exposed. While it must be hard for the council administration to follow the U-turns of the finance secretary, the needs of Aberdeenshire ought to come first.
Unfortunately the government support is limited to the hospitality sector and to offices … which leaves nurseries still facing a significant rates increase. They can appeal, but that will take some time to be heard and meanwhile they face paying the higher sums.
In the meantime Aberdeenshire Council is asking for views on how best to structure a Business Rates Relief Scheme for Aberdeenshire: https://online.aberdeenshire.gov.uk/apps/news/release.aspx?newsid=4639
Up to £3 million was set aside as enabling money in Aberdeenshire Council’s revenue budget agreed at full council on 9 February to be used to support a rates relief scheme.
Figures from SNP MSP Gillian Martin in the Press and Journal showed just 38% of businesses in Aberdeen would have been better off or have had no change to their rates, compared to 73% in Glasgow, 62% in Edinburgh and 70% in Dundee. The Shire is in the same boat as the city. Some of our businesses were being clobbered.