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Parliamentary debates and questions

S5W-21535: Mason, John (Glasgow Shettleston)

Scottish National Party

Date lodged: 7 February 2019

To ask the Scottish Government what estimate it has made of how much the cap on the increase in the rates poundage in Scotland will save businesses, broken down by local authority.

Answered by: Kate Forbes 27 February 2019

For 2018-19 we limited the inflationary increase in the non-domestic rates (NDR) poundage to the Consumer Price Index (CPI), rather than the Retail Price Index (RPI) as had previously been the case. In 2019-20 we have gone further by limiting the inflationary increase in the poundage to less than CPI (2.1% compared to 2.2%). The estimated overall saving to businesses in 2019-20 as result of this decision is £35.2 million, relative to the baseline where the Scottish Government would have uprated the poundage by RPI. The following table provides a breakdown by local authority of the estimated saving based on the latest NDR income reported by local authorities on their 2018-19 Mid-Year Estimate returns.

Local authority

£m                

Aberdeen City

3.1

Aberdeenshire

1.5

Angus

0.3

Argyll & Bute

0.4

Clackmannanshire

0.2

Dumfries & Galloway

0.6

Dundee City

0.7

East Ayrshire

0.4

East Dunbartonshire

0.3

East Lothian

0.3

East Renfrewshire

0.2

Edinburgh, City of

4.5

Eilean Siar

0.1

Falkirk

0.9

Fife

1.9

Glasgow City

4.4

Highland

1.8

Inverclyde

0.2

Midlothian

0.4

Moray

0.5

North Ayrshire

0.5

North Lanarkshire

1.3

Orkney Islands

0.1

Perth & Kinross

0.7

Renfrewshire

1.4

Scottish Borders

0.5

Shetland Islands

0.3

South Ayrshire

0.5

South Lanarkshire

4.2

Stirling

0.6

West Dunbartonshire

1.1

West Lothian

1.1

Scotland

35.2

Source: Local Authority Mid-Year Estimate Income Returns.