Scottish Conservatives unveil ‘bold’ policy paper to support business

The Scottish Conservatives will today (Monday) unveil bold plans to support businesses and reverse the damage caused by years of SNP mismanagement.

Proposals to overhaul apprenticeships and cap business rates rises are at the centre of a new policy paper, entitled Growing a Productive Scotland, which will be launched by leader Russell Findlay and his shadow economy and business team.

The party will address business calls for more apprenticeships, by making it a demand-led service and ensuring that the funding provided by firms is ringfenced for places, rather than disappearing into SNP government coffers.

Scottish firms are crying out for skilled workers, but the SNP currently fail to pass on around £300million of the Apprenticeship Levy businesses pay – which means that only 25,000 apprenticeship places are funded each year, rather than the 34,000 demanded by industry.

On rates, as well as pausing the current crippling revaluation, which threatens to kill off numerous hospitality firms, the Scottish Conservatives would put a cap on future increases to give businesses certainty to plan ahead.

The party would also simplify the landscape for businesses, with Growth Scotland becoming the one-stop body devoted to providing support.

Scottish companies currently have to deal with more than 100 public bodies and a maze of 750 separate schemes but these plans would bring all their functions together, putting support, skills development, loans and grants under one umbrella.

Scottish Conservative shadow business secretary Murdo Fraser said: “Under the SNP, Scotland's growth has stagnated and business investment has lagged behind. Companies are going to the wall and jobs are being lost.

“That has to change, and the bold policies in our policy paper would deliver that.

“Under the SNP, the apprenticeship system is short-changing the businesses that fund it and the young people who rely on it to acquire key skills. The Scottish Conservatives would ensure that Apprenticeship Levy monies are ringfenced, and apprenticeship places are allocated in line with the demands of employers.

“The Nationalists are also crucifying hospitality businesses with enormous rates rises. We'd put an end to that by placing a cap on revaluations that would be fairer, give firms certainty and safeguard jobs.

“Establishing Growth Scotland would make the business landscape simpler, reduce red tape and boost productivity.

“The Scottish Conservatives are the party of business, and our plans would undo the damage done to economic growth by the SNP's high taxes and over-regulation.”

Notes to editors

Ringfence the Apprenticeship Levy to provide demand-led training. Businesses in Scotland have to pay the Apprenticeship Levy but the Scottish Government are not clear with them about how this money is spent. We would ensure that all money paid by employers in Scotland for the Apprenticeship Levy goes towards funding a demand-led apprenticeship model that will ensure business' skills requirements are met and removes the problems of having to fit decisions around the funding cycle. We would also remove the age cap on modern apprenticeships so that age will not be a barrier to aspiration.  

Cap rises in business rates bills at revaluation. The latest non-domestic rates revaluations saw enormous tax rises inflicted on businesses when they're already struggling with bills, and the current system discourages property improvements because it will result in a higher tax bill. We would cap rises between cycles and exempt improvements from revaluations for a longer period so that businesses can get return on their investment.

Coordinate major growth and infrastructure projects through one body – Growth Scotland. To reduce avoidable delays due to communication issues between different agencies, we would coordinate infrastructure projects through one body. This will provide a single point of contact, and a clear investment path whilst respecting the autonomy of local authorities.  

Have a single-entry point business support. At present, support is delivered through 100 public bodies and 750 separate schemes. Businesses move between programmes as they grow, repeating information and navigating different criteria. Under this model, firms will enter the system once through Business Gateway, which will be part of Growth Scotland, and access advice, grants, loans, skills support and specialist programmes through a single route.