Aberdeen City’s finance chiefs have called on SNP Finance Minister John Swinney to follow the example of UK Chancellor George Osborne who this week announced that by the end of this Parliament English local authorities will be able to retain 100% of their business rates.
The Chancellor has pledged to devolve power to English Councils to allow them to raise and to spend business rates which will give them the flexibility to attract jobs, regenerate town centres or to pay for major infrastructure projects.
Councillor Ross Thomson Conservative Group Leader and Vice-Convener of Finance, policy and Resources said:
“The Chancellor’s plan means that Council’s in England will have more autonomy over their business rates so what is raised locally is spent locally.”
“Authorities will also have the power to cut business rates if they wish to support the regeneration of the high street or to help with job creation. When Aberdeen is looking to regenerate the City centre through the master plan retaining 100% of our business rates would be a significant impetus to regeneration projects.”
“As we work towards a City Deal it’s clear that Aberdeen needs more power devolved to it from Holyrood and if the SNP followed the Chancellor’s lead in allowing us to retain 100% of our business rates then it would enable us locally to encourage business growth, regeneration and it would provide millions more for investing in services.”
Councillor Willie Young, Convener of Finance, Policy and Resources said:
“ It has become self evident from the announcement by the Chancellor George Osborne that he wants to see cities flourish as the powerhouses of the UK economy by his descion to allow local authorities to keep all of there business rates.”
“The challenge now is for the Scottish government to follow suit and support local authorities by proving real incentives for cities such as Aberdeen to grow the economy for the benefit of the Scottish and UK economy. I fear however the centralist and control freakery approach adopted by the Scottish Government will mean that once again the SNP are more interested in independence than helping Scotland and its cities flourish.”