09 January 2009
By David Scott
Business leaders have increased pressure on the Scottish Government to drop its plans for a local income tax, claiming businesses would be deterred and the economy damaged.
CBI Scotland's call for the scrapping of the proposals is one of a number of key policy changes it believes are needed to give a 'much-needed boost to firms and the economy'.
In a document urging ministers and MSPs to make reforms and investments across policy areas, it also called for action to speed up infrastructure projects. It said if Scottish Water were privatised, this would release £180m a year.
CBI Scotland director Iain McMillan claimed the Scottish National Party administration's support for business often appeared to be 'only skin-deep'.
He added: 'A government truly committed to growing businesses and developing Scotland's economy would not risk turning businesses and top-level skills away from Scotland by introducing a local income tax.'
Nor would it put Scotland's future as an exporter of energy at risk by ruling out new nuclear power generation, disqualify Scotland's private sector from contributing to the delivery of GP services and clinical care or retain Scottish Water in public ownership, McMillan said.
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