Local parliamentarians have criticised the latest Scottish Budget as not going far enough to protect businesses and jobs, as the country continues to battle with the Covid-19 pandemic.
The Scottish Budget was set to the backdrop of £8.6 billion of additional funding to Scotland from the UK Government.
Rachael Hamilton MSP and John Lamont MP welcomed a reduction in the Non-Domestic Rate (NDR) poundage rate but believe the plans for a three months extension of rates relief does not give businesses enough stability or relief. They both want the Scottish Government to go further and commit to a 12-month Non-Domestic Rate relief package to provide the certainty business needs.
Since the start of the pandemic, more than 90,000 businesses in Scotland have been supported from UK Government business loans worth £3.4 billion.
Funding for Scotland’s councils was lower than expected, at a time when local services are being stretched due to the demands of the pandemic.
Both politicians welcomed the increase in funding for the South of Scotland Enterprise which will see a £7.6 million uplift, but believe that new funding must be matched by a clear Government plan for economic recovery
After recently announcing an ‘11 point plan’ on preparing for independence, it was revealed today in the budget that funding for the SNP’s Constitutional division will increase next year after the SNP Government spent £100,000 on their Indyref Bill preparations in 2020-21.
Mr Lamont and Mrs Hamilton believe the Scottish Government should work constructively with the UK Government to ensure that Scotland can protect more jobs, save struggling businesses and begin a journey of economic recovery in the months ahead.
Rachael Hamilton MSP said:
“The budget today does little in addressing the issues at hand as a result of Covid, and it doesn’t go nearly far enough.
“Businesses across the Borders are in a very difficult situation at the moment, and I do not believe the SNP’s budget addresses their core concerns.
“Some businesses haven’t received a penny and have fallen through the cracks. They still have bills to pay and are trying to stay afloat.
“There is no clear plan ahead on how we exit this crisis, and whilst there is an increase in the Local Authority Discretionary Fund, there was no guarantee that we will see grant funding reaching businesses any quicker.
“The SNP’s dithering and delays has cost jobs, cost businesses dearly and it has led to many becoming unviable.
“My party have called for the 10-day guarantee on delivering vital funds to businesses so that they receive money in their accounts, the Finance Secretary did not commit to this today.
“The budget is another example of the SNP falling short, and failing to provide any new innovative ideas after 14 years in power”.
John Lamont MP said:
“What we needed today was bold ideas to help rebuild Scotland after the pandemic. On that measure this budget fails.
“The SNP are great at announcing new funds for businesses. But we have seen over the last few months just how long it takes to get money into the coffers of struggling businesses.
“Some businesses have been shut for months now and have received no help financially. The UK Government has delivered £8.6bn in extra funds to Scotland to help businesses with Covid-19.
“There is no excuse for not getting this funding to help bolster the Scottish economy and put us all on a better footing for when we can get back to normal.”
