Speaking in Holyrood Douglas Lumsden called on the Scottish Government to do more in regards to reforming non-domestic rates in Scotland. Douglas Lumsden expressed his and the Scottish Conservatives support for the Non-Domestic Rates (Coronavirus) (Scotland) Bill mirroring the steps taken elsewhere in the UK. However, Douglas Lumsden also highlighted the ned for wider reform stating that “Although the bill is welcome, it falls short of providing the help that thousands of businesses need, due to the failed system”.
In April Douglas noted that in 2017, Businesses in the North East of Scotland were faced with huge increases in their rates bills when it was assessed at the peak of oil and gas activity. This wasn’t changed after the slump in the sector forcing business to continue to pay disproportionate rates until the next valuation. However, despite calls from business leaders to bring this forwards it was delayed further as a result of the pandemic.
“The delay was so disappointing for the businesses that were waiting. We continue to have a situation in which the non-domestic rates income from businesses in Aberdeen is greater than that from businesses in Edinburgh – a city with twice the population.”
Douglas described the current system of business rates as “outdated”, and argued that greater and broader reform must be sought. In doing this Douglas argued that the voices of business must be put at the heart of policy making and that Government must work with local businesses to develop a new system that encourages growth.
Concluding Douglas called on the Scottish Government to do more “[It] has the powers. It needs to stop sitting on its hands and use them.”
