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09 December 2009

SCOTLAND OFFICE CALLOUSLY DISMISSES BORDERS TOURISM JOBS

SNP CANDIDATE SLAMS LABOUR’S “APPALLING IGNORANCE” OVER 6000 THREATENED WORKERS IN SCOTLAND

Paul Wheelhouse, SNP candidate for Berwickshire, Roxburgh and Selkirk has slammed the Scotland Office’s “appalling ignorance” of the impact of the UK Government’s policy on Scotland’s rural economy.

Reviewing the transcript of the most recent Scottish Questions on 25th November highlighted that Labour Minister, Ann McKechin dismissed the problems facing small self-catering businesses by the proposed withdrawal of Furnished Holiday Letting Relief.

Under the Furnished Holiday Letting Relief scheme people who rent out chalets and self-catering homes are eligible for a range of tax concessions.

Abolishing this vital tax break could have a massive impact on tourism business across the Borders.

Commenting, Paul Wheelhouse said:

“It’s appalling that the UK Minister would be so scathing about the livelihoods of 6000 tourism workers and their families.

“She seemed to believe that because relatively few people were involved, it was OK to undermine their businesses. I don’t think the 6,000 people who own self catering businesses across Scotland, many of whom live in this area, would agree. These businesses are the bottom line for many families and the Minister’s disregard for their livelihoods will not sit well.

“Small holiday letting businesses are a vital part of our local economy and the accommodation mix and, particularly where they make use of otherwise redundant buildings, they can provide employment and custom to other small businesses.

“The UK Minister needs to get her facts straight and look at the sensible tax neutral alternative proposals being proposed by the SNP’s Mike Weir, FSB and national tourism bodies before these changes cause irreparable damage to the rural economy of Scotland.

“Is she prepared to throw away thousands of jobs in the teeth of a recession rather than consider alternative views?”

ENDS

Notes to Editors

This is the exchange between the SNP’s Mike Weir MP and Labour’s Anne McKechin, as reported in Hansard,:

Mike Weir MP (SNP):

The Minister will be aware that many groups including the Association of Scotland’s Self-caterers and FSB Scotland have raised concerns as to the impact of the proposed abolition of furnished short holiday letting lease. Alternative solutions have been proposed which would be tax neutral and support the industry. Would she ask the Treasury to look again at this matter to avoid serious damage to the economy of many areas of rural Scotland, including my own?

Ann McKechin MP (Labour):

As the Honourable Gentleman will be aware the current rules were understood not to be compliant with EU law and I don’t think they were fair either to other residential landlords. It’s also likely that if we had set the rules as they stood, it would have had a negative impact on tourism both in Scotland and the UK. There are only 60 thousand individuals throughout the UK who are claiming this benefit but in fact there were 15 million overnight visits in Scotland as part of tourism last year so we consider that the problem will not have any major impact on tourism.

 

 

 

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