THE business of politics in the run-up to this UK General Election has often been contradictory and confused.
It can be difficult to grasp which promises and pledges are going to see the light of day amid the scare tactics and quick dismissals from either side. Yet the politics of business has never been clearer.
Quite simply, without prioritising growth, we can’t create much-needed jobs and stimulate our struggling economy. Whoever is in power, they need to take urgent action within the first 100 days to help all businesses, small and large.
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And that’s not just a clarion call from the Scottish Chamber of Commerce’s 12,000 business members. There is a reason the economy is a top three issue with the electorate, according to polling.
Voters understand that encouraging investment, and providing business support and incentives, creates valuable jobs and helps local businesses survive and thrive. It puts money into people’s pockets which in turn boosts spending across local communities. And there is no doubt that flow is much needed for the high streets, pubs and restaurants that have been so badly hit by Covid and the ongoing economic challenges.
It’s also a pathway for young people into employment, creating a new, skilled workforce and delivering the innovation we need to stay ahead in a global marketplace.
The SCC has called on all the main political parties in the UK General Election to prioritise economic growth and job creation by establishing a partnership between business and government to oversee an ambitious programme of pro-enterprise and pro-growth policies.
Committing to forming a Joint Economic Growth Board within the first 100 days would immediately instil confidence that the Government truly backs business. Not a talking shop paying lip service to employers, entrepreneurs and innovators – a partnership of equals based on trust, mutual respect and understanding, with a common goal of delivering a growing economy and restoring prosperity.
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And that means listening to our concerns and those of voters and exploring meaningful solutions to our economic woes.
The SCC has published a detailed 15-point action plan for the next UK Government to deliver pro-growth policies to turbo-charge investment, innovation, and job creation. It’s a comprehensive manifesto with constructive input from across all our business sectors and valuable insight from Scottish and UK business leaders.
The 12,000 companies we represent are the drivers of economic growth and employ millions of people. It is no magic formula – quite simply, the country succeeds when business succeeds.
But we can’t do it alone and would urge the next UK Government to work closely with the business community and focus on resolving the issues holding our economy back and stopping investment in jobs.
There are four critical objectives: unleashing business growth; accelerating investment; boosting global trade; and prioritising people and talent. Underpinning those are our 15 key priorities.
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We can unleash business growth by: committing to no new UK taxes or levies on business for the lifetime of the next Parliament; cutting the VAT rate for hospitality, leisure and tourism sectors to boost spending, stimulate demand and support footfall in towns and cities; and reducing alcohol duty to ensure the flagship industry is competitive, supported to grow, export, and create jobs.
We can also do this by: restoring an internationally competitive, tax-free shopping incentive for overseas visitors; and investing in new and existing innovation districts across Scotland’s cities as part of a new industrial strategy.
And we can accelerate investment by: introducing a green industrial strategy to drive investment through incentives, green skills and enable technologies such as sustainable aviation fuel and carbon capture and storage.
We can implement the union connectivity review by boosting air and rail links between UK nations and regions; instilling confidence and unlocking investment in the oil and gas sector by committing to maintain investment allowances and future exploration, as well as consider ending the windfall tax; and creating a detailed just transition plan to net zero for the oil and gas sector, to protect jobs and investment as well as ensure energy security as we move to new sources of energy.
We can also fund the futureproofing of Scotland’s towns and cities by investing in their resilience, growth, regeneration and attractiveness to citizens, businesses, visitors, and investors.
To boost global trade, we can: increase exports by growing the number of exporting SMEs and improving access to the EU – the UK’s largest trading partner; and prioritise and invest in air routes of strategic importance, including exporting and tourism routes.
Prioritise people and talent by: helping people transition successfully from Universal Credit into work, by increasing taper relief, boosting uptake of bootcamps, and providing high quality careers advice for job seekers, returners, and career changers; and developing a skilled migration strategy to attract international talent, including tailoring for Scotland’s skills and working population needs.
We must also recognise the value of international students and retain the post-study visa, ensuring the UK is competitive with global higher education hubs.
Each of the 15 priorities are carefully considered proposals, built by business for business, and will have a positive, lasting impact for everyone across Scotland and the UK. It will go a long way to deliver a strong platform for sustained growth and employment.
As Scotland’s largest business network, across a network of 30 regional Chambers of Commerce, we are optimistic that the new government, whichever party is in power, will carry forward their encouraging ambitions to work with business in a meaningful, constructive partnership to unlock growth and help support struggling sectors.
To delay, fudge and refuse to engage is not just letting down business. It’s wasting an opportunity to make a positive difference and put the building blocks in place for a better future.
There is no doubt a UK Government having a clear focus and working smarter and harder together with business will create jobs and bring prosperity and much needed investment. And that’s one post-election statement that doesn’t need fact checking.
Liz Cameron is chief executive of Scottish Chambers of Commerce
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