Hospitality businesses are being encouraged to join UKHospitality Scotland’s call for business rates relief at the Scottish Budget by writing to their MSPs.
With the Scottish Government being handed additional funding following the Autumn Statement, UKHospitality Scotland is campaigning for it to be used to introduce 75% business rates relief for hospitality businesses and to freeze poundage rates.
Without these measures, Scottish businesses would find themselves at a competitive disadvantage to their English counterparts for the second year running. An inflation-linked increase in the poundage would also cost the sector almost £20m.
UKHospitality Scotland Executive Director Leon Thompson said:
“With just under two weeks to go to the Budget, now is the time for Scotland’s hospitality sector to come together and impress upon politicians the urgent need for action on business rates.
“It was deeply disappointing that the Scottish Government chose not to reciprocate business rates relief last year and that undoubtedly left businesses worse off. It was a mistake not to use funds to support businesses that are vital to the health of our cities and towns; driving growth and employing millions.
“Ignoring the burning issue of business rates once again would compound that error and cement the fact that operating a business in Scotland is now unquestionably more difficult than in the rest of Britain.
“We’re hearing from businesses that their pubs in Scotland are at least £10,000 worse off than a pub in England. This discrepancy not only makes business survival more challenging but it also means almost zero investment in the future, which stunts any economic growth or job creation.
“Implementing 75% business rates relief and freezing poundage rates would provide a lifeline for our sector, amid challenging economic times, and allow businesses to invest and grow. I would encourage every business to write to your MSPs and make your voice heard on this critical issue.”