Hospitality businesses on Arran and Scotland’s other islands will get 100 per cent non domestic rates relief, it was announced during the Scottish budget this week.
In the annual budget outlining the Scottish government’s spending plans for 2024/2025, finance secretary Shona Robison MSP announced rates relief for island businesses, but there was disappointment it was not extended across the country.
But the news will be welcomed by hard-pressed hospitality sector on Arran, however, there is a cap of £110,000 per business.
Businesses on Arran will also benefit from other announcements, among them the freezing of the non-domestic rates poundage at 49.8p, which will deliver the lowest poundage rate in the UK for the sixth year in a row.
The Intermediate Property Rate and Higher Property Rate will rise in line with inflation to 54.5p and 55.9p respectively.
Among the other figures being supplied, it was announced support for ferries, ports and harbours will be £434.5 million and that NHS Ayrshire and Arran funding will be increased by £33.3 million to £883.5 million.
Arran MSP Kenneth Gibson welcomed the assistance for island businesses saying: “Three weeks ago Alastair Dobson, Taste of Arran; Linda Johnston, Auchrannie; Craig Hatton, North Ayrshire Council chief executive, and I met with cabinet secretary Neil Gray MSP to press the case of island hospitality businesses.
“I’m delighted that progress has been made in providing additional rates relief, specifically for island hospitality businesses, despite the financial pressures the Scottish government is under.”
The full budget can be viewed at https://www.gov.scot/publications/scottish-budget-2024-25/