Business leaders have welcomed a commitment from the First Minister to “engage urgently” with them on rates.
John Swinney pledged his Government would take action to “identify” and tackle concerns raised by businesses – some of whom fear the rise in costs could put them out of business.
This will take place within the first 100 days of the new Scottish Government, Mr Swinney said.
He announced the move as he addressed business leaders from across Scotland in Edinburgh on Friday.
I’m pleased the First Minister has committed to swiftly address our concerns with business rates in his first 100 days
Speaking at the CBI Scotland annual lunch – in what was his first keynote address since being returned as First Minister – Mr Swinney recognised the
“strong and deeply concerned views” from business.
And he told businesses: “I want us to engage urgently, within the first 100 days of the Government, to identify the early steps we can take to address these concerns.”
The commitment comes despite the Scottish Government having already put in place a business rates relief package worth more than £870 million.
Afterwards Leon Thompson, executive director of UKHospitality Scotland, said: “I’m pleased the First Minister has committed to swiftly address our concerns with business rates in his first 100 days.
“A permanently lower poundage rate for hospitality is the clearest solution to fix the broken business rates system, make it fairer and reduce bills for hospitality businesses.
“This is our priority ask of the Scottish Government and delivering it within its first 100 days would be a major signal of its support for hospitality and the business community.”
Mr Swinney made the announcement on business rates in a speech which took place almost immediately after the first meeting of his new, slimmed down Scottish cabinet.
The First Minister told the audience at the event in Edinburgh how a “golden combination” of greater control over Scotland’s energy, together with a return to the European Union – both of which he said could be achieved with independence – could be critical to Scotland’s future economic success.
Mr Swinney insisted that reduced energy costs “can and should be as transformational for Scotland’s economy” as lower corporation tax costs were for Ireland.
While he did speak about independence, most of the speech was squarely focused on business – with an admission from him that “quite simply, government in Scotland needs to work better”.
Mr Swinney vowed delivering increased economic growth would be “at the heart of the Scottish Government’s agenda” over the next five years at Holyrood.
While he accepted “turbulent times” such as the current conflict in the Gulf could “push us back or, worse, knock us off course”, the First Minister said his Government has a “responsibility to set a clear course”.
He promised a range of economic policies to “enable us to make the most of very many economic opportunities we enjoy here in Scotland”.
I want my leadership over these next five years to be a time of ambition and possibility
The SNP leader said: “We have had too many years where hope has been in short supply.
“I want my leadership over these next five years to be a time of ambition and possibility.”
He said he wants to “create a sense of national purpose to make Scotland a more successful country”.
As part of efforts to achieve that, he said he and his ministers will engage “substantively” with Scotland’s businesses over the next five years.
Speaking directly to business leaders, Mr Swinney told them: “You are invited to engage with my Government, with me, my ministers and my officials.”
Businesses should tell ministers about the “barriers to success” and what measures are needed to grow the economy, with the SNP leader telling them: “I give you the assurance that your voice will be heard.”
He made clear he does not regard the SNP’s lack of a majority at Holyrood as an “impediment to making progress to make Scotland a more successful country”, stressing the “enthusiasm” of his Government to work with other parties in the Parliament to “help build a more successful future”.
On planning – an area where businesses have raised concerns about delays to developments – he promised that in the first 100 days, his Government will work with others to “map out the further improvements that are necessary if the planning system is to better support growth and investment”.
CBI Scotland director Michelle Ferguson welcomed the First Minister’s remarks.
She said: “To address an audience of some of Scotland’s leading businesses so early in the new term shows just how important an issue the economy is, and will be, in the coming Parliament.
“The First Minister spoke warmly about working with business to deliver the economic growth that Scotland needs.
“I look forward to meeting with him again in the days and weeks ahead to discuss how we can build a competitive and dynamic economy that delivers for the whole of Scotland.”