Dr. Poonam Gupta OBE, CEO, PG Paper
As the CEO of an export company in a highly competitive industry, I have identified several critical issues that need urgent attention for sustainable economic growth.
There is a clear training and skills gap in the workforce, which directly impacts our competitiveness and needs to be addressed by our government.
Innovation funding also falls short and needs to be enhanced to support business growth. Additionally, reliable internet connectivity, not just in major cities but across Scotland, is crucial for bolstering the remote workforce. Further investment is definitely required to improve the infrastructure.
Job creation in deprived areas like Inverclyde, where our company is based, requires targeted support to boost economic activity.
Historically, government policies have often been crafted without sufficient business consultation, leading to less effective outcomes. A more collaborative and consultative approach between the government and businesses is essential to tackle these challenges and promote a robust, inclusive economy.
Doug Smith, Board Director, Scottish Chambers of Commerce
I think my hope is that we will have a much better environment for capital investment. Recent studies have shown that the UK is significantly behind other G7 countries in the level of GDP that is being directed towards research and infrastructure projects, and that’s something which needs to be addressed. I think that’s got two parts to it. One part is that we need to increase the level of public investment, and that public investment, which we all understand will be limited, needs to be better directed than it has in the recent past. The second part is that we need the private sector to step up and commit to investing for the future. Rightly, however, I think the private sector can look towards respective governments and say, “you need to create an environment that makes that possible”. It’s too difficult across some parts of the country to deploy capital, whether its planning permissions or other statutory consents and regulations. We need to be braver in the public sector about welcoming private sector investment, because we really will need it.
Jacqueline Dobson, President, Barrhead Travel
Speaking on behalf of the Scottish retail travel community, I can only hope that the next parliamentary term will see genuine regeneration of our high streets. Serious investment and modernisation are required to transform communities up and down the country.
Aside from a business rates system that is completely out of touch with the reality of modern retail, we need policies that will encourage and incentivise businesses to open or expand on the high street. The community benefits that come from a thriving town or city centre are well documented but we’ve yet to see any meaningful policy that focuses on actually filling empty units and creating jobs.
Finally, we need to see more innovation in youth training through apprenticeship programmes and development funds. Scottish businesses who are paying into the UK levy are not receiving their fair share of funding; perhaps it’s time for a complete overhaul of the national system to ensure equal access and opportunity, irrespective of where you live.”
Richard Blair, Business Development Director, McLaughlin & Harvey WorkSpace
I think what we are looking for from the next government is increased investment in cities. Until we see the workforce going back into offices, we are not going to see an increase in the city economy. At present we are seeing buildings being vacated. There needs to be an increase in the need for buildings in cities and support networks to those buildings, be it shops, cafes, restaurants, hotels etc. We really need to have a drive to getting people back into the cities.
In terms of skills, we need to increase encouragement for young people to come into the property and construction industry. There is a clear lack of resource to meet demands of projects at the moment and we are not at the top of any kind of boom within the construction industry right now.
Dr Billy Grierson, Director and Experienced Facilitator, Perth Innovation
I would like to see serious thinking. We have had too much over the last 5 to10 years of what I call bullet pointing, they just get a good idea and go and do it, without any depth of thought going into it. Probably not true but that’s the way it looks.
I think both Westminster and Holyrood need to get their act together and think about small businesses. The impression I get is particularly the tax authorities, think that people start a small business as a way of avoiding tax. I know very few people who have done it for that reason but that’s the way they are treated. I think that has to change. They have to take small businesses seriously. Small businesses are the backbone of the UK and Scottish economy and they are not really treated as such.
Stephen Martin, Head of Office (Glasgow) – RBC Brewin Dolphin
This is more for Scotland, but the differential in the taxation system is really something that causes our staff and clients concern and is not great for Scotland’s economic competitiveness in sourcing and retaining it’s population. Trying to have some form of consistency across the home nations would be really quite helpful for the country. Looking at the national elections, it would be a similar theme looking for stability in legislation. If you are trying to plan the financial future of individuals or families, you need long-term stability in the rules. The constant chopping and changing all the time, particularly in pensions legislation, which makes the planning process much more convoluted than it could or should be. So, having some form of long-term stability in that area would be hugely helpful. Of course, governments change, and they want to influence things. So, we are dealing with an imperfect world, but nonetheless, if there could be some form of recognition of that then that would help people save. If it helps people save for their futures, then ultimately that would be good for the country as a whole. It’s that whole stability piece within the world of finance which is important, so its these two areas – taxation and stability in legislation – which are crucial.
Dr Liz Cameron CBE, CEO, Scottish Chambers of Commerce
Now the election is over, the real work of government must begin and that means supporting job creation and enabling Scotland to remain ahead of the game in global competitiveness. We need an ambitious programme of pro-enterprise and pro-growth policies, but without urgent action, the opportunity for positive change clearly mandated by the electorate will be wasted.
It is imperative that our leaders at Holyrood and Westminster, and our new Scottish MPs, to work together to put the economy and growth at the forefront of all policy discussions to ensure that Scotland remains prosperous for all.
A significant step the new government must take is committing to establishing a Joint Economic Growth Board within the first 100 days, which would immediately instil confidence that the Government truly backs business. A partnership of equals based on trust, mutual respect and understanding, with a common goal of delivering a growing economy and restoring prosperity. To achieve this, the government must actively listen to concerns of both business and voters and explore meaningful solutions to our economic woes.
Kerr Elliott, Head of Business, Camerons Volvo | Business Advisor, Scottish Chambers of Commerce
What the motor trade across Scotland needs is support from the new government to aid the sales of EV cars. Customers are keen to switch to electric vehicles and see the benefits environmentally, but want to future proof their purchase and know that they are saving money too. Unfortunately there isn’t quite the confidence in the market for consumers at present. Something which might help them to make the change would be for VAT at public charging points to be in line with home charging at 5% rather than the existing 20%.
Secondly, no cost RFL on EVs would make a huge difference to consumers, the threat of a future RFL charge is currently putting people off. Not knowing what will happen here is quite off putting.
Thirdly, battery degradation is a common cause for concern; standardised retailer batteries checks would be a useful tool across the motor trade.
Finally, standardised public EV charging costs would be hugely useful in instilling consumer confidence in their purchase, knowing that running costs were consistent would be fantastic.
Dr Jeanette Forbes OBE,CEO, PCL Group
It is absolutely essential for the future of our economy that the Energy sector is recognised as a traditional industry. With many businesses involved in this sector and of course many personnel it is important that further licences are issued by the Government for future developments in the North Sea, that will ensure the retention of expertise especially in Aberdeen which shall be a requirement as we transition into the new energy era.
In addition to the Energy sector, it is vital to our communities here in the North East that our Hospitality, and Tourism sectors are also supported, encouraging overseas visitors to this area which is still in recovery mode after COVID. International visitors made a total of 4 million visits to Scotland in 2023, stayed for 34.4 million nights and spent £3,593 million, an upward increase of 23% from 2022.
Aberdeen always seems to miss out on government support for infrastructure and this needs to change. UK Government and the devolved Government in Holyrood need to work closer together if businesses are to make significant growth for the economy.
