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Chamber

Meeting of the Parliament (Hybrid) 02 December 2020

02 Dec 2020 · S5 · Meeting of the Parliament
Item of business
Parliamentary Bureau Motions
Kerr, Liam Con North East Scotland Watch on SPTV

Yes, I agree with that. I can see from the record that many business groups did not support the proposal in the order. I will shortly speak specifically about one such group, and about a solution that might be of interest.

The last revaluation was several years ago. The north-east was accordingly assessed against trading conditions as they stood at that time. That reassessment completely failed to take into account the impact of the oil downturn and its effect on the north-east economy. As a result, business rates bills were based on rateable values that failed to reflect the reality of trading in the north-east when they came into force in 2017.

North-east businesses have been paying eye-watering rates ever since. This is their chance—at last—to be reassessed against realistic trading conditions and the market in the north-east as it is, and not as the central belt thinks that it is. Businesses in the north-east cannot wait any longer. One needs only to walk down Aberdeen’s Union Street to see the impact of the crippling and inaccurate rates on that great city.

MSPs need not feel pressured into voting for the order. There is a solution, and it is in the Scottish Government’s own paper as option 2. That solution, which I suspect Sarah Boyack was referring to, is endorsed by Aberdeen and Grampian Chamber of Commerce, and is that the Government should carry on with the 2022 revaluation, but introduce a valuation date of 1 April 2021. Revaluing rates as early as possible to align rateable values with current market conditions, in the light of Covid-19 and the most recent restrictions, would be a fairer and vastly more sensible step to aid economic recovery than delaying the revaluation.

For years, the conditions against which the north-east was assessed have not existed. For years, the north-east has paid crippling business rates that have had dramatic—sometimes terminal—impacts on our high streets and jobs. That must not continue for one minute longer than necessary.

The solution is clear: MSPs should vote against the order, send it back so that the committee can reconsider option 2, and deliver a fair deal for the north-east. MSPs can back the north-east and its people by doing so at decision time.

18:10  

In the same item of business

The Presiding Officer (Ken Macintosh) NPA
The next item of business is consideration of Parliamentary Bureau motion S5M-23563, on the approval of a Scottish statutory instrument. Motion moved, That...
The Presiding Officer NPA
Liam Kerr wishes to speak against the motion. 18:07
Liam Kerr (North East Scotland) (Con) Con
I rise to speak against the order, and I urge MSPs to vote against it at decision time. The order concerns the business rates that our shops, enterprises, ho...
Sarah Boyack (Lothian) (Lab) Lab
Will the member take an intervention?
Liam Kerr Con
I will make a little progress and then I will come back to Ms Boyack. I understand why the change is being proposed. The minister will tell us that the Gove...
Sarah Boyack Lab
Does Mr Kerr agree that, although the majority of Scottish businesses support a delay to the tone date, the evidence that the Local Government and Communitie...
Liam Kerr Con
Yes, I agree with that. I can see from the record that many business groups did not support the proposal in the order. I will shortly speak specifically abou...
The Cabinet Secretary for Finance (Kate Forbes) SNP
Contrary to Liam Kerr’s point, the Barclay review’s primary concern was to provide stability and minimise the impact of economic shocks. It would be irrespon...
Jackie Baillie (Dumbarton) (Lab) Lab
Will the cabinet secretary acknowledge that the tone date in Scotland is different from the tone date in Wales and the rest of the United Kingdom?
Kate Forbes SNP
Yes, and I celebrate that, because it minimises the time for the market to be considerably different at the point on which the revaluations are based. A one-...
The Presiding Officer NPA
The vote on that SSI will be taken at decision time. The next item of business is consideration of Parliamentary Bureau motion S5M-23557, on approval of the...
The Minister for Parliamentary Business and Veterans (Graeme Dey) SNP
In keeping with the Covid scrutiny protocol that was agreed between the Government and the Parliament, I should outline the purpose of this Scottish statutor...
The Presiding Officer NPA
The decision on that SSI will also be taken at decision time. The next item of business is consideration of six Parliamentary Bureau motions. I ask Graeme D...