Scottish retailers call for urgent business rates support as gap widens with rest of UK
Posted on in Business News, Cycles News
Scottish independent retailers, including those in the cycling sector, are urging the Scottish Government to provide crucial business rates relief in its upcoming budget, as the disparity in support between Scotland and the rest of the UK continues to grow.
ONS data reveals that retail insolvencies in Scotland have increased at a faster rate than in England and Wales over the past two years, since the retail discount was abandoned in Scotland. This trend suggests the Scottish government's policy is actively damaging the high street, which includes bike retailers that play a key role in promoting active travel and environmental goals.
The situation looks set to worsen as retailers in England prepare to receive 40% business rates relief from April 2024, while Scottish high street businesses, including cycling shops, have received no comparable support for the past two years, despite facing identical challenges with rising costs and economic pressures.
Karen Forret, Owner and Managing Director of Wilkies and Member Director for ACT parent company Bira, said: "Scottish retailers will be up against it come April with the new National Insurance and wage costs. We need the Scottish Government's support more than ever.
"For the last two years, Scottish high streets have had no support from the Scottish Government, while our counterparts south of the border and in Wales have received vital assistance. Retail is not just an essential part of our communities but also critical for Scottish tourism."
Bira, along with the ACT, is highlighting that the lack of comparable support puts Scottish retailers at a significant competitive disadvantage, particularly as they face increasing operational costs and economic challenges in 2024.
The organisations await the Scottish Government's budget announcement, hoping for measures that will help protect and sustain Scotland's vital high street retail sector which encompasses shops that support the cycling industry that has attracted significant investment in cities such as Glasgow.
Andrew Goodacre, CEO of Bira said: "The future of our high streets hangs in the balance. We urge the Scottish Government to recognise the crucial role independent retailers play in Scotland's economy and communities by providing comparable support to that offered elsewhere in the UK."
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