By John Lamont MP
Rising costs and higher taxes are putting businesses across the Scottish Borders under pressure.
I hear it every day when I speak to shop managers, hospitality providers, farmers and manufacturers who are working hard but feel they can't get ahead because of government policy decisions.
One of the biggest concerns raised with me recently is the SNP’s ongoing business rates revaluation. Many small enterprises have seen their bills increase massively, often completely unexpectedly, by thousands of pounds. These are not large corporations with deep pockets, they are mostly family-run businesses and local employers who simply cannot absorb huge bill hikes that they understandably did not anticipate.
Small businesses are used to being short-changed by the SNP government, who for many years refused to fully pass on business rates relief provided by the UK Conservative government. That meant firms here were at a competitive disadvantage compared to their counterparts south of the border.
However, this new rates revaluation is even worse. This time, John Swinney's government is actively increasing costs at a time when businesses are already struggling.
In recent weeks, I have met with businesses across the Borders, including Burt's Hotel in Melrose and the Kingsknowes Hotel in Gala who are deeply worried about the taxes and bills that keep going up.
They are particularly concerned in the aftermath of recent decisions by the UK government. Small businesses are already facing significant bill increases as a result of Labour’s National Insurance hike. Chancellor Rachel Reeves’ decision to increase employer National Insurance has forced some firms to lay off staff, cut opening hours, scale back investment, or put growth plans on hold altogether.
Sir Keir Starmer and his government act like this is no big deal, but it really matters because small businesses are the foundation of our economy. They provide skilled local jobs and generate the tax revenue that supports our public services. When small firms cannot grow or worse, when they can't survive, we all feel the impact.
Labour and the SNP must stop taking short-sighted decisions that assume businesses can shoulder any cost thrown at them. We should be backing local enterprises, not burdening them.
If we reduce their costs, and cut unnecessary red tape too, it will give small businesses the platform to invest, innovate, and employ more local people. That is the way to grow our economy and increase the revenue we need to support public services.
