Retailers warn First Minister against ‘unwanted surprises’ in legislative plans

Retailers are urging the First Minister to avoid “unwanted surprises” – such as new taxes or more red tape – when he sets out his plans for the coming year.

With John Swinney having confirmed he will deliver his programme for government earlier than usual in May, the Scottish Retail Consortium (SRC) set out a series of measures it wants the SNP leader to consider in a bid to make the country the “best place in the UK to grow a retail business”.

The demands come at a time when the SRC says retailers are facing “increasing geo-political tensions over trade and tariffs” as well as weak economic growth.

It repeated calls for the Scottish Government to scrap plans for a charge on single-use disposable drinks cups, with the SRC claiming the so-called “latte levy” is “deeply flawed”.

The organisation also wants to see a “proportionate approach” taken to regulations impacting upon the sale of foods high in fat, salt or sugar, and towards any future restrictions on the promotion of alcohol.

And it says there should also be a “sustained and enhanced focus” on tackling retail crime, to both prevent shoplifting and deter the abuse of shop workers, as well as funding to help achieve this.

Appealing to John Swinney, who will set out his legislative programme for the coming year on May 6, SRC director David Lonsdale said the First Minister should be focused on delivering economic growth.

Mr Lonsdale said: “This is a period of flux and challenge for Scotland’s private sector at a time of weak economic growth, rising statutory costs, and increasing geo-political tensions over trade and tariffs.”

In these circumstances he argued there is “significant value in positioning Scotland as a nation where Government makes stable, predictable, strategic decisions”.

Mr Lonsdale went on to urge Mr Swinney to “avoid any unwanted surprises in terms of additional tax or regulatory measures” in his Programme for Government.

The SRC boss said instead: “The focus should be on making Scotland the best place in the UK to grow a retail business.”

Scottish Conservative business and economy spokesperson Murdo Fraser agreed with the SRC that boosting economic growth should be “front and centre” of Mr Swinney’s plans.

The Tory MSP said: “Growth is absolutely crucial to improve living standards, provide jobs and fund essential services.

“Scottish companies have to contend with Labour’s national insurance tax increase and the SNP’s hike in business rates. On top of that, they are being hit by higher energy prices, increased costs and a raft of regulation.

“The SRC are right to say growth should be front and centre, but the policies of Scotland’s two left-wing governments are holding back firms that drive our economy.”

He insisted that the Conservatives “are the only party challenging the high taxes and wasteful spending of both Labour and the SNP, and arguing for policies that will allow businesses and the economy to thrive”.

Deputy First Minister Kate Forbes said: “We will continue to work with businesses across the economy to drive economic growth and prosperity.

“Scotland offers the most generous small business rates relief in the UK and I have been clear that the UK Government must immediately reverse the increase in employers’ national insurance contributions to support business.”