The SNP administration has come under fire from a top travel and tourism leader over its decisions on tax policy.

The senior industry figure criticised Holyrood’s move "not to afford business rates relief at the last Scottish Budget", a decision that has been challenged by small business owners across sectors including retail, leisure and hospitality.

The Scottish Government insists the package it provided outstripped the value of the 75% business tax relief that firms south of the Border received and for which Scotland received funding from Westminster.

Andy Cliffe, chief executive of AGS Airports, which owns Glasgow and Aberdeen airports in Scotland and Southampton in England, said the "global allure" of Scotland is an asset that offers greater potential.

Mr Cliffe, pictured below, said Glasgow Airport could bring in a further £1 billion to the Scottish economy in our Business HQ Monthly Big Read this month.

AGS airports in Aberdeen and Glasgow welcomed 9.7 million passengers through their doors in 2023 and expect that number to increase to 10.7 million this yearAGS airports in Aberdeen and Glasgow welcomed 9.7 million passengers through their doors in 2023 and expect that number to increase to 10.7 million this year (Image: Colin Mearns/Newsquest)

He said: "Glasgow Airport alone generates £1.44 billion in GVA (Gross Value Added) every year and supports in excess of 30,000 jobs. We know that with the right policy support, we can attract more routes which will in turn enhance our contribution by adding a further £1 billion (GVA) and an additional 15,000 jobs."

Mr Cliffe, who joined the Scottish Tourism Alliance board in October, also said: "Scotland may be a small country in population terms, but it has a global allure attracting millions of visitors each year.

"The quality and breadth of our tourism and hospitality sectors are key components of our proposition to airlines and inbound visitors. It’s important this sector is supported which is why the decision not to afford business rates relief at the last Scottish Budget was not only concerning, it was a missed opportunity."


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A Scottish Government spokesperson told The Herald: "The latest Scottish Budget has ensured that more than 95% of non-domestic properties continue to benefit from a lower property tax than anywhere else in the UK and has delivered a package of reliefs worth an estimated £685 million in 2024-25. This year the basic property rate for non-domestic properties with a rateable value up to and including £51,000 will be frozen, delivering the lowest such rate in the UK for the sixth year in a row.

"Last year Scotland welcomed new routes to Atlanta and Calgary, and this year airline JetBlue started their first ever Scottish service. The return of Hainan Airlines’ Beijing service on a direct basis last year was also great news for Scotland’s connectivity."

The spokesperson added: "It is our ambition to help Scotland become as well connected as peer nations. Transport Scotland, VisitScotland and Scottish Development International work as one team to help Scotland’s airports grow international connectivity while not returning to previous emission levels. We would be happy to meet with AGS Airports to discuss how we can work together to enhance Scotland’s connectivity."

Also in Business HQ Monthly, deputy business editor Scott Wright reveals that distillers on Scotland’s most famous whisky island have signalled their optimism over the future of the industry, while shrugging off any prospect of its continuing expansion risking problematic over-production.

He writes that the "whisky industry on Islay is in buoyant mood amid a spate of major investment aimed at capitalising on soaring demand for its distinctive spirits around the world, while attempting to safeguard its long-term sustainability for future generations".

Business editor Ian McConnell interviews husband and wife team Steve and Alison Timoney own both the Caledonia Gladiators professional basketball team and luxury castle and wedding venue Crossbasket Castle for the supplement.

Elsewhere, business correspondent Kristy Dorsey tells how Scotland's golf courses are paying the price for increasingly inclement weather, writing: "From Agnes in September to Kathleen in the opening week of April, it's been a hyperactive spell as 2023-24 tied the record for the most named storms in the UK.

"Scotland's golfers have been all too aware of this as the country's greenkeepers have struggled to keep up with the impact of excessive wind and rain.

"In the most extreme instances, courses are disappearing into the sea."