The Scottish Retail Consortium (SRC) is recommending First
Minister makes economic growth the
preeminent priority in his upcoming ‘Programme for Government'
with every measure tested against the simple benchmark of whether
it will improve Scotland's economy and business competitiveness.
The Programme for Government is due to be unveiled on 6 May. In a
letter sent last week to the First Minister, the leading business
representative group said an expanding economy is a prerequisite
for providing well paid jobs, raising living standards, and the
revenues to allow Government to enact social and environmental
change.
SRC praised recent decisions to scrap a mooted surtax on grocery
stores, freeze the basic property rate, rule out applying fair
work conditionality to business rate reliefs, and to fund action
to combat shop thefts.
However, the SRC said even before the recent global economic
turbulence Scotland's retailers faced challenging trading
conditions, with flatlining retail sales and flaccid levels of
shopper footfall. Meanwhile, the cost of doing business continues
to spiral, with rises in non-domestic rates and employers'
national insurance contributions adding £200 million to Scottish
retailers' outgoings this year.
SRC warned that any further statutory measures in the Programme
for Government “which compound the costs crunch retailers face
are almost certainly going to be passed onto consumers through
higher prices or reduced choice or convenience.”
SRC is seeking action on regulation and retail crime, including:
- A sustained and enhanced focus and funding on tackling retail
crime, to prevent shoplifting, deter abuse towards shopworkers,
and aid the vitality of high streets
- A proportionate approach to regulation of food products high
in fat, salt or sugar, and towards in-store restrictions on the
promotion of alcohol
- The scrapping of plans to introduce a customer levy on single
use disposable cups which it believes is deeply flawed
David Lonsdale, Director of the Scottish Retail Consortium, 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.
There is significant value in positioning Scotland as a nation
where Government makes stable, predictable, strategic decisions.
We therefore hope the First Minister in his legislative programme
will continue to adopt the New Deal for Business principles and
avoid any unwanted surprises in terms of additional tax or
regulatory measures. The focus should be on making Scotland the
best place in the UK to grow a retail business.”
ENDS
Note: SRC's submission was sent last week to the First Minister -
available at: first-ministers-programme-for-government-may-2025-april-2025.pdf
