Aberdeen’s SNP group has pledged £4million of business rates relief for struggling firms if they win power in May.
The package would introduce a 3% cap on rises for the hospitality industry and a 12.5% cap on rises in both the manufacturing and retail sectors, if the nationalists win a majority at the upcoming council elections.
In February, finance secretary Derek Mackay bowed to weeks of pressure and announced a national relief package, including a 12.5% cap on increases in the hospitality sector, and measures for offices in the city and Aberdeenshire.
The Labour-led coalition at the Town House have twice voted down the local SNP scheme – putting forward their own £3million plan, which will only become active if the Scottish Government matches it.
SNP sources said the funding for the proposed relief would come from the budget surplus, any savings which the council makes on its own rates due to the measures being implemented by the Scottish Government and, if applicable, contingencies.
SNP group leader, Stephen Flynn, said: “The council had the opportunity to put real financial support for businesses on the table weeks ago but the Labour, Tory and Independent administration opted to reject my proposals and have tried to shirk responsibility at every turn.
“It is utterly shameful that businesses do not currently have a council which is willing to act in their best interests.
“But I can guarantee that, if we do win a majority on May 4, that will change – they will have an administration which is willing to deliver £4m of relief for both them and their employees.”
However, the council’s finance convener, Willie Young, said: “This is simply Stephen Flynn clutching at straws because he knows he won’t get a majority and won’t need to implement this.
“Our package would offer rates relief to all businesses in the city, with Scottish Government support, and would total £6million.
“The SNP want to give only £4million.”
