The Scottish Retail Consortium (SRC) has issued a stark warning that the nation's high streets are in peril and could be lost without urgent government intervention in the upcoming Budget.
An Urgent Plea to the Finance Secretary
In a direct appeal to Finance Secretary Shona Robison, the retail body is pressing for the introduction of a permanent discount on business rates. This call to action follows the Chancellor's announcement of a 10% discount for retailers in England last week. The SRC argues that Scotland risks becoming a "materially less attractive investment option" if a similar tax break is not implemented north of the border.
The Stakes for Scotland's Town Centres
SRC Director David Lonsdale articulated the critical situation in a column for the Herald and in his letter to the government. He stated that Scotland is "one bad Budget away from losing our high streets as we know them". Lonsdale emphasised the wider economic role of retail, noting that thriving shops boost footfall for neighbouring cafes, restaurants, and entire town centres.
While acknowledging past government action on rates—such as more frequent revaluations and scrapping a proposed surtax on grocers—Lonsdale stressed that maintaining competitiveness is essential. It is key to fulfilling a shared vision of making "Scotland the best place in the UK to grow a retail business".
Government Response and Current Support
A Scottish Government spokesperson confirmed that decisions on non-domestic rates for the 2026/27 financial year will be detailed in the Scottish Budget this January. The spokesperson added that the government continues to work with businesses to foster growth.
The current Budget already provides a substantial package of reliefs, valued at an estimated £730 million. Furthermore, the government highlighted that the basic property rate has been the lowest in the UK for seven consecutive years.
Despite this existing support, the retail sector's message is clear: without a competitive, permanent rates discount from April 2026 that at least matches England's offer, the future viability of Scotland's cherished high streets hangs in the balance.
