There is more to rural Scotland than just tourism and agriculture, says far north business leader Trudy Morris
Far north business leader Trudy Morris has called on the Scottish Government to recognise that rural areas of the country have "more to offer than just tourism and agriculture".
She pointed to the north Highlands' "highly skilled engineering and manufacturing base" and growth opportunities in sectors such as aerospace and renewable energy.
“Regions like the north Highlands deserve to have their government recognise them as vital parts of the Scottish economy," said Ms Morris, chief executive of Caithness Chamber of Commerce.
"We need investment not just in traditional sectors but in those that will enable us to grasp the upcoming opportunities and play a key role in building Scotland’s cleaner, greener future.”
She was responding to Thursday's budget statement by Scotland's finance secretary Kate Forbes.
Ms Morris said: “The cabinet secretary’s commitment to continuing existing business support measures, along with the doubling of the discretionary fund available to local authorities, is welcome news.
"However, previously announced measures have been slow to get funding to businesses and in some cases have been heavily oversubscribed. We need to see a redoubling of efforts to get promised support to businesses as a matter of urgency.
“For too long, businesses have endured a stop-start approach to Covid-19 restrictions and the funding required to address the impacts of these. With light at the end of the tunnel, we now need clear and detailed plans from the Scottish Government as to its economic route map out of the pandemic.
“With regard to support for rural areas, we need the Scottish Government to recognise that rural Scotland has more to offer than just tourism and agriculture.
"These are undoubtedly important parts of the economy of the north Highlands, but so is our highly skilled engineering and manufacturing base. The region has clear growth opportunities in a range of sectors in the coming years, most notably in aerospace and renewable energy.
"Our fishing industry, another key sector for our region, has suffered huge losses over this last month due to new trading rules and also needs vital support to recover and develop into new markets.
“The Scottish Government's commitment to investment in infrastructure is welcome. In line with its ambition that ‘no part of Scotland is left behind’, it is imperative that we see a step change in the levels of infrastructure investment in regions like the north Highlands, particularly with regard to transport."
Ms Morris underlined the chamber's view that there is an urgent need for a public service obligation to protect Caithness air services following the loss of scheduled flights from Wick last year.
“That the budget contains an additional £20 million for aviation support, most of which has been allocated to Highlands and Islands Airports Ltd, is welcome recognition of the vital role that air services play in supporting remote and rural economies," she said.
"In light of this increased investment, we now hope to hear from the Scottish Government as a matter of urgency as to how it will support lifeline air services from Wick John O’Groats by way of a public service obligation."
Ms Forbes announced record funding of over £16 billion for the NHS and social care sector, £3.5 billion for social security and welfare payments, and investment of £2.7 billion in education and skills – with total investment increasing by £3.8 billion.
She said local authorities are to be given £90 million of funding – the equivalent of a three per cent increase – on top of the local government settlement to compensate councils that choose to freeze their council tax.
To deliver stability and certainty from the tax system, Ms Forbes said there will be no changes to income tax rates this year.
“This budget is focused on delivering tax policies that will support economic recovery and maintain our commitment to creating a fairer and more progressive tax system," she said. "It is about striking the right balance between raising the revenue required to fund our public services and supporting the economic recovery through targeted interventions.
“This includes using the rates relief handed back by businesses to help fund a three month 100 per cent rates relief extension for the sectors that have been hardest hit by the pandemic.
“Should the UK government bring forward an extension to its equivalent rates relief that generates consequential funding, we will match the extension period as part of a tailored package of business support measures.
“During this time, it is vital that we also continue to support households and families. That is why I have ensured that no Scottish taxpayer will pay more income tax in 2021/22 than they do now on their current income and, for a fourth consecutive year, more than half of Scottish income taxpayers will pay less tax than if they lived anywhere else in the UK.
“In recognition of the increasing pressures on many family budgets, I am also providing local councils with £90 million on top of their settlement of £11.6 billion to freeze the council tax. This will ensure that while council tax bills won’t go up, there will be no impact on vital local services.
“Now is a time for stability, certainty and targeted support for the individuals and businesses who have been most impacted by the pandemic and our tax policy delivers this.”
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