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MP blames demolition of Aberdeen office block on ‘ruinous’ business rates

Mr Clark at the building
Mr Clark at the building

A political row has broken out after a north-east politician blamed the demolition of an Aberdeen office block on “ruinous” business rates.

Colin Clarke, Conservative MP for Gordon, has laid the blame for the destruction of Silverburn House in Bridge of Don on the Scottish Government – and claimed nearly £1 million each year will be lost from the local economy as a result of the work.

But last night a spokesman for the finance secretary, Derek Mackay, blasted the allegations as “completely untrue”.

The block has been an onshore fixture in the North Sea oil and gas industry for decades.

Its demolition comes just months after it changed hands, having gone up for auction with a guide price of £1.25 million – a fraction of what it was worth six years ago.

Demolition under way at Silverburn House this week

Mr Clark said: “The ruinous approach by the SNP to taxing the north- east is leaving physical scars.

“Because of Nicola Sturgeon’s government, council tax is up and income tax is up.

“Business rates are higher in Scotland than anywhere else in the UK.

“We are viewed as a cash cow for the government in the central belt.

“I hope that what comes to replace Silverburn House will do very well.

“But the cost of doing business in Scotland has just lost another six-figure sum to the economy each year.”

A spokesman for Mr Mackay said: “The Tories’ claims are completely untrue – the reality is that Scotland has the most attractive business rates in the UK, with the most generous package of reliefs, worth over £750 million, with the lowest poundage rate which ensures that more than 90 per cent of properties in Scotland pay a lower tax rate than those in Tory-run England.

“In addition, 55% of Scottish income tax payers pay less income tax than they would if they lived elsewhere in the UK, while council tax in Scotland is also lower than in England.

“Meanwhile, the Tories continue to threaten Scottish businesses with the catastrophe of a no-deal Brexit.”