Scotland's Economy

Business rates consultation

November 27, 2012 by John Swinney MSP No Comments | Category consultation

Scottish businesses already operate in the most competitive business environment in the UK thanks to the improvements we have made to the current rates system and to ensure Scotland maintains this competitive advantage, we have today launched a consultation on business rates.

Supporting Business – Promoting Growth, aims to further improve the rates system and that’s why I’m calling on our many entrepreneurs, businesses and organisations to come forward, get involved, give us their ideas and suggestions on how this can be achieved.

The aim of the consultation is to establish a more user-friendly and transparent rates system for businesses, whilst still raising the revenue to deliver the services on which businesses rely.

The consultation will run for three months and contributions will inform decisions on the best way forward for businesses and local authorities across Scotland. I am looking forward to receiving contributions from across the business spectrum.

Today, I also confirmed that the Scottish Government will not set a higher poundage rate in Scotland, but will continue to give Scottish business a competitive edge and will maintain parity with the business rate poundage in England and will hold the next Scottish rates revaluation in 2017. This will give businesses the stability and confidence to plan for the future. For example, over 89,000 recipients of SBBS can be reassured they will see no increases in their current properties’ rateable value until 2017. By 2017 this Government is confident we will have a range of economic powers through independence that can help us create further competitive advantages for business  in Scotland.

To press ahead with a revaluation would have seen tens of thousands of businesses in Scotland put at a competitive disadvantage to other parts of the UK as it would have meant breaking our commitment to match the English poundage. This is something that I am not prepared to do.

This Government is focusing our resources and powers to support business and strengthen economic growth.  Through this consultation we will consider what steps are necessary to ensure that Scottish businesses are getting the best support possible, and to ensure they can make a full contribution to Scotland’s economic success.

Tags: business rates, economic growth, economic powers, SBBS

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