Business bonus scheme boosts the economy

The number of small businesses benefitting from the Scottish Government’s Small Business Bonus Scheme (SBBS) has increased by 50 per cent in the last six years.

New statistics revealed record numbers of business properties in Scotland are receiving the funds, with 96,265 properties being supported by the initiative in 2014/15, an increase of almost 4,000 properties since last year.

The Scottish Government said expansions to the scheme and efforts to raise awareness are likely to be factors which have contributed significantly to this marked increased in the number of recipients.

Minister for Energy, Enterprise and Tourism, Fergus Ewing said: “Our small businesses are key drivers of sustainable economic growth. We recognise the important role they play in our communities, which is why we are doing all we can to help them by delivering the most competitive business tax environment anywhere in the UK.

“Scotland’s businesses are receiving a real and enduring benefit from the Small Business Bonus Scheme. As a result of our investment in supporting businesses, 96,000 properties will be up to more than £3,000 better off under the Small Business Bonus than their English counterparts and their equivalent scheme.

“The success of our small and medium sized businesses is integral to the success of our overall economy. Last year I wrote to every business in Scotland that I believed was eligible for SBBS but not claiming, and we have also expanded the scheme to potentially benefit an additional 4,000 eligible properties in small chains.”

Andy Willox, the Federation of Small Businesses’ (FSB) Scottish policy convener, said the scheme continues to give most Scottish small firms “a competitive advantage over counterparts in other parts of the UK”.

He added: “Further, it insulates many small enterprises from the complicated and arcane non-domestic rates system. Scottish small and medium sized businesses support over half of Scotland’s private sector workforce and this figure rises to four in five jobs in rural remote parts of the country.

“The FSB in Scotland and across the rest of the UK continues to press for reform of the business rates system to make our property tax systems fit for the 21st century. The Scottish Government deserves plaudits for their landmark rates relief scheme however this should be regarded as a first step in a wider programme of reform."