Scottish Labour leader Kezia Dugdale has urged action from the Scottish Government over controversial business rates rises – saying the SNP has been “found wanting” on north-east issues.
She toured the Hub at Elevator in Aberdeen and spoke with entrepreneurs before knocking doors ahead of the local council elections where the party is predicted to lose control of a number of major Scottish local authorities.
The finance committee backed a plan where the council, led by Labour with the Conservatives and independents, would put forward £3million to cushion the blow of steep rises – if Holyrood matched the contribution.
But since that decision on March 9, there has been no reply from Scotland’s finance secretary Derek Mackay.
The opposition SNP group has committed in its local election manifesto to a £4million package – totally funded by the local authority.
This came after Mr Mackay backed down to growing pressure and announced a national relief package in February for the worst-hit sectors.
Ms Dugdale said: “Businesses across the north-east are deeply worried at the impact of the increases of the business rates, in fact here in Aberdeen 62% of businesses have seen their rates go up – some as high as 200%.
“What Labour here in Aberdeen have done is put together their own local relief scheme with £3million of cash to help those businesses affected.
“But they’ve also, rightly I think, appealed to the SNP government in Edinburgh to match it.
“It is not for a lack of funds because the UK government have put in place a business rates scheme for the whole of the UK.
“Scotland’s share of that is £37million over three years. We would like to see some of that come to Aberdeen, the impact of business rates in Aberdeen would mean quite a substantial amount of that money would come to Aberdeen.
“This is all set against a context of cuts being imposed by the SNP onto local authorities.
“I think the council has done an incredible job to find any money to put aside to help businesses affected and are right to appeal to Edinburgh for greater impact.
“Quite often you hear the SNP say they’re worried about job losses in the north-east, worried about how to handle the decline in the North Sea oil and gas but when it comes to stepping up and delivering some practical help they are found wanting.”
A Scottish Government spokeswoman said: “The Scottish Government has committed to £660 million of business rates relief this year, including an additional £7.5 million relief already announced recently for Aberdeen.
“This is alongside an additional £130 million resource for local government also announced recently, including an additional £4.5 million for Aberdeen City Council. We will respond to Aberdeen City Council in due course.”
