Scottish businesses to pay ‘up to 70% more in rates’ versus across the border – Harpers Wine & Spirit Trade News

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By James Lawrence

Published:  22 November, 2024

The organisation is therefore calling on the Scottish government to introduce at least 40% business rates relief for owners to avoid financial catastrophe, using funding allocated through the Barnett formula.

It is also calling for a clear roadmap to full business rates reform, which was committed to as part of the New Deal for Business.

According to UKHospitality Scotland: “Compared to hospitality businesses in England receiving 40% relief, Scottish businesses would be at a significant disadvantage if they were denied business rates relief for a third year in a row.”

Its data suggests that a local pub, for example, would pay almost £6,000 more in rates – 66% more than an equivalent business in England.

Meanwhile, a town centre restaurant would reportedly pay almost £10,000 more in business taxes.

Leon Thompson, executive director of UKHospitality Scotland, commented: “Scottish businesses need business rates support from the Scottish Government, especially after they have missed out on relief measures in the past two Scottish Budgets.

“Venues will continue to find themselves tens of thousands of pounds out of pocket, compared to their English counterparts, if this happens again. This time, it will hit even harder when combined with billions more cost hitting businesses in April through employer NICs.”

Thompson added: “Hospitality has so much potential to deliver for Scotland economically, socially and culturally. I know the Scottish government recognises this and I hope that it chooses to implement some business rates support for our businesses, which is so crucial for them to both survive and thrive into the future.”