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North-east hotelier refusing to pay unfair business rates increase

Stewart Spence
Stewart Spence

A leading north-east hotelier has vowed not to pay a huge increase to his business rates bill.

Stewart Spence, who owns the Marcliffe Hotel in Pitfodels, says he will not pay a penny more than the current levy after being hit with a 25% increase on April 1.

Businesses across the region have lashed out at the independent revaluation of Scottish business rates, which has left many of them facing vastly higher bills.

Some firms are facing rates rises of more than 100%.

The revaluation was based on an assessment of the north-east’s booming economy in 2015 – before the slump in oil and gas.

Mr Spence is facing a 25% increase in his rates bill – meaning it will shoot up from £253,000 to £314,000.

He said he will refuse to pay the new fee until a fairer “settlement” is reached, and has accused the Scottish Government of taking no action to avoid the situation.

Mr Spence had already been appealing his previous rates bill prior to the revaluation, arguing it did not reflect the state of the local economy.

Speaking last night, he said: “I am not doing anything illegal, I am still paying my money. I am paying the old amount – which I am still in a dispute over – until a settlement is agreed.

“Unfortunately, they are not agreeing to see sense as far as the whole of Scotland is concerned, especially the north-east because we have been hit so badly.

“I was already appealing my old rates because of the huge down turn in my business. Until I get a satisfactory answer I am just going to continue with what I am paying, which is £253,000.

“That was based on the turnover I had five years ago. My turnover since then has dropped 40%. That is why I was appealing the original bill.

“It is just about trying to get these people to see sense in regards to where we are in Aberdeen. Not a single business has not been affected by the downturn.

“I have had a lot of support for it.

“We all have to pay our way, we all have to pay our fair bit into the pot, but how can they be charging us for business that was here five years ago and is not here now?”