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SNP defeat emergency motion calling on council to condemn business rates rise

Derek Mackay is facing calls to rethink his proposal.
Derek Mackay is facing calls to rethink his proposal.

Aberdeenshire’s SNP group have blocked an emergency motion urging the Scottish Government to rethink the controversial increase in business rates.

Councillor Ian Tait lodged the motion calling on Finance Secretary Derek Mackay to phase in an impending rise in rates to soften the blow on north-east businesses.

There has been outrage among entrepreneurs in the region over the past week as it emerged some firms are facing increases of more than 100% in their rateable value.

Mr Tait, who represents Fraserburgh, said: “Derek Mackay needs to deal with this urgently. The rates should not be implemented in one go. I think it would be much better if the Scottish Government implemented them in a phased way.”

Independent member Mr Tait was joined by Conservative leader Jim Gifford who offered a similar plea to Holyrood.

“Our businesses pay their fair share and then some,” Mr Gifford said. “What they see with the increases is an unfair burden being put on them.

“We owe it to the people who own businesses in Aberdeenshire to plead their case. These increases could be the final nail in coffin for some businesses.”

Councillors from across the chamber condemned the policy and warned of the impact it could have on their local areas.

Liberal Democrat councillor Ian Mollison added: “This is people’s lives we’re taking about, not an esoteric political debate where we kick seven bells out of one another.”

But the SNP-led Partnership administration refused to openly criticise Mr Mackay’s stance and proposed an amendment.

Councillor Stephen Smith lodged a counter motion which called for the council to research the impact of the rates reevaluations before approaching the government.

He said: “History tells us that when reevaluation occurs, whatever the colour of the government, businesses don’t like it.”

The Peterhead councillor, vice-chairman of the newly formed business services committee, said firms across Scotland had enjoyed five years of no change in business rates as well as relief for smaller enterprises.

Despite a lengthy recess during which the leaders of the different groups tried to thrash out a consensus position, the motion was eventually put to a vote.

The vote was split 31 in favour of Mr Tait’s motion and 31 in favour of Mr Smith’s amendment.

Provost Hamish Vernal, an SNP councillor, used his casting vote to defeat the motion.