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Business groups urge Scottish Government to invest Barnett windfall on infrastructure

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Business groups urge the Scottish Government to spend its £800million Barnett windfall on roads, rail, digital and housing to boost economic competitiveness north of the border.

Liz Cameron, chief executive of the Scottish Chambers of Commerce highlighted road projects in the Highlands – including the proposed upgrade to north’s busiest tourist routes.

She said the funding will give the Scottish Government the ability to “accelerate some long overdue projects, such as improvements to the A82, the Berriedale Braes on the A9 in Caithness and deliver much needed upgrades to Scotland’s outdated rail infrastructure north of Perth”.

Andy Willox, the Scottish policy convener for the Federation of Small Businesses, also focused on Scotland’s roadways and the need to boost digital infrastructure.

He said: “The Chancellor is right to get trade moving by addressing shortcomings in local infrastructure. Any additional monies coming to Scotland should be used for public works that deliver for local economies.

“With one in three local roads in Scotland in an unacceptable condition, we’re looking for the Scottish Government to step up.”

He added: “Scotland has much poorer mobile coverage than England. UK Government efforts to boost coverage through 5G must deliver for firms in Stirling and Sutherland, as well as those in Shoreditch.”

The Scottish home building industry called for the same funding priority for housing to be given north of the border as was set out by the Chancellor for England.

This included a £2.3billion Housing Infrastructure Fund, £1.4billion for affordable homes and a further £1.7billion to speed up the construction of new homes on public sector land.

Nicola Barclay, chief executive of trade body Homes for Scotland, said: “Nothing is more important to Scotland’s social wellbeing and economic success than ensuring we have enough homes to meet the needs and aspirations of our growing population.

“Today’s focus on housing by the Chancellor not only recognises the importance of this but also generates a significant budget boost for the Scottish Government which we must see similarly prioritised towards home building, if this country is to thrive and grow.”