Meeting of the Parliament

Meeting date: Tuesday, November 4, 2014

Official Report 856KB pdf

---

Town Centre Action Plan

The next item of business is a debate on motion S4M-11386, in the name of Derek Mackay, on the “Town Centre Action Plan—One Year On” report.

16:06  

It is apt that I am here hot on the heels of the Historic Environment Scotland Bill debate, given the important role of historic buildings and conservation areas in many of our town centres. There is huge crossover between the two items, and I have no doubt that the proposed new body will be well positioned alongside key partners to help to make the most of the opportunities to promote both.

It is already a year since I launched the town centre action plan in Kilmarnock. Yesterday, we uploaded on to our website a one-year-on report, which provides a useful snapshot of progress against each of the key themes in the plan. One year on, that report is evidence of the significant activity that is being undertaken across the Government and with wider partners on a consensual basis. I am pleased to witness evidence of growing engagement from councils, communities and businesses across Scotland, which are working towards revitalising our town centres.

The action plan sets out our strategic response to the key themes that were identified by the external advisory group that undertook the town centre review. It clearly shows where we need to align our main functions and policies in order to create the necessary conditions to support local vision and delivery.

Since last November, I have had a direct hand in ensuring that colleagues and senior officials across the Government have been kept informed on and fully engaged in the delivery of the action plan. I have met local authorities, community groups and business representatives, and I am encouraged by what I have seen is under way.

There is, of course, still much to do. I am here today for two reasons: to set out what we have achieved and to hear members’ views on where we need to go next in the on-going action plan delivery.

I responded to the call from members to address the proliferation of payday lending shops in our town centres by hosting a summit in April, which led to the publication of a 12-point plan. That includes measures to improve the availability of financial education and money advice through working with industry and local authorities, as well as test-case planning pilots in authority areas that are most impacted by clustering issues.

I am pleased that the Competition and Markets Authority has concluded its investigation into the payday loan market. We welcome its final report, which announces measures that include the introduction of a comparison website and greater transparency on fees and charges.

The town centre first principle was agreed by the Cabinet on 24 June and announced jointly with the Convention of Scottish Local Authorities on 9 July. It was the main ask from the national review, and it calls on central Government, local authorities, communities and the wider public sector to put town centres at the heart of proportionate and best-value decision making. Agreement to that principle marks a significant shift in public policy and is further testament to the raised profile of town centres across all sectors.

The Scottish public finance manual, which is less high profile but is vital in practice, guides public bodies on the acquisition and disposal of their assets. It has been revised.

We welcome the town centre first principle, but what impact would it have had if it had been in place when the court closure programme was considered?

It is hard to say, but it would certainly have been a consideration in that programme, perhaps in a way that town centres were not, because the principle requires as a matter of policy and guidance that town centres be considered in any asset and service decision. That is one of many material considerations that could be taken into account. I understand Gavin Brown’s concerns about the buildings, but there are opportunities to use them in the future for community and other groups in ways that can generate footfall.

The manual puts in place guidance on the acquisition and disposal of assets and makes the principle a consideration when such decisions are made in the future. The equivalent policy in the national health service will also be updated in due course. As well as those revisions, in the new Scottish planning policy, which was published in June, we reflect the principle of the town centre first approach and broaden it out to plan for a broader range of uses that will attract significant numbers of people to their towns.

In practice, local authorities and public sector bodies are encouraged to demonstrate their commitment to their town centres by acknowledging the principle and applying it when making decisions about investment in town centres. I namecheck East Ayrshire Council, East Renfrewshire Council, Clackmannanshire Council and West Dunbartonshire Council for different but related reasons.

On town centre living, not only will the town centre housing fund bring empty town centre properties back into use in seven local authority areas, but significant funding from the affordable housing supply programme is helping to provide more affordable homes in town centres throughout Scotland. On 18 November, we will host a one-day Scottish housing event that will bring together more than 300 stakeholders to help shape a five-year collaborative housing action plan for Scotland that focuses on the delivery of current housing strategies. As part of that, town centres will be a priority.

We are absolutely committed to supporting the right conditions for businesses and entrepreneurs to flourish in Scotland and I am delighted that, last Friday, we published new official statistics that show that the number of recipients of our small business bonus scheme is at a record high, with more than 96,000 properties benefiting. That is an increase of 50 per cent since we introduced the scheme back in 2008. It provides many thousands of business premises in Scotland’s towns with a real and enduring benefit.

We are using the levers available to encourage long-term vacant premises to be brought back into use. One such example is the expansion of fresh start rates relief to apply to pubs, hotels and restaurants from April this year.

There are many good points in the principle and in talking about how we develop town centres. The infrastructure of our town centres depends on transport infrastructure. There are many and diverse issues to that, particularly in relation to car parking. We have had the bus investment fund, but what guidance is being given to local authorities, and what work is being done with them, on transport?

I will return to transport and investment, but the revised Scottish planning policy makes it perfectly clear that the place-based strategy and accessibility are incredibly important. We will not have a national policy on parking, but it is an issue that comes up constantly and on which local authorities should certainly reflect when they make decisions about their town centres.

Local authorities have new powers, on which we have all agreed, to carry out enforcement action in town centres in relation to dangerous and defective buildings. I worked closely with the Labour Party on that.

We want to unlock the potential that exists locally, in the knowledge that great things can happen when we empower people to achieve their goals.

What analysis has been carried out on the impact of the legislation on empty properties? What pre and post-legislative analysis does the minister have in place to show what difference it will make?

As it happens, the wholesale review into the changes to empty property rates relief will be undertaken next year. Just today, I asked our adviser, Professor Leigh Sparks, how he felt that property vacancy rates were. A report is coming out in early December that should inform us on the current and live position. The wider analysis of the impact of the rates relief changes will be fully known in 2015 and we will respond accordingly then.

I look forward to progressing the Community Empowerment (Scotland) Bill through the Parliament. It will break down further barriers and help to create the conditions for community-led regeneration, which we support, not least because it will extend the community right to buy to urban areas as well as rural areas. That could be transformational.

As well as that, earlier this year, I launched the stalled spaces programme, which unlocks local potential to fill empty and stalled spaces in a temporary or permanent fashion with community-led initiatives. I also support, and encourage all members to support, the Community Empowerment (Scotland) Bill’s extension of powers to local authorities to create local relief schemes that are right for them in dealing with the rates pressure that local businesses face, while remaining mindful that a majority of business premises in our town centres benefit from the small business bonus, as I have mentioned.

With the action plan, place-based reviews and the principle in practice, I am convinced that the longer-term outlook for our town centres is good. In reviewing the national planning framework 3, I have ensured that transport and accessibility connections through policy are to be considered when planning decisions are made. I have also given Sustrans new funding to support travel networks, including those for cycling and walking.

I have heard particular complaints about digital towns. That is why I have extended permitted development to renew the telecommunications infrastructure in our towns, so that they can be part of the digital revolution, too. We will carry out a demonstration project to support digital proactivity in our towns. Only today, I announced extra financial support of £119,000 towards a programme of town centre planning pilots, in collaboration with nine planning authorities, and we will expand on town centre charrettes so that local people are engaged with solutions.

I have given the Scotland’s Towns Partnership new resources to enable it to be the go-to organisation to bring together external partners, work with others and provide much-needed support to communities across the country. The partnership is also responsible for Scotland’s towns week, which runs from 17 until 23 November. I have also today announced new funding for business hubs in the community to deliver a cluster approach to support for innovation.

I will continue my work with the external advisory group, because its perspective is invaluable to the Government’s decisions. I repeat my message about partnership with all, because it is only by working in partnership that we will be able to deliver for towns across Scotland. I look forward to hearing members’ views this afternoon.

I move,

That the Parliament acknowledges the publication of the report, Town Centre Action Plan – One Year On, and notes cross-government delivery against each of the key themes; welcomes the partnership with COSLA and local government in the agreement and adoption of the Town Centre First Principle; is encouraged by the progress being made during the demonstration phase; agrees that local decision-making and delivery, good place-making and a renewed spirit of entrepreneurialism in town centres are key to their social and economic success; acknowledges the growing engagement and wider work underway by councils, communities and business across Scotland; encourages all parties to share and promote details about their activities through Scotland’s Towns Partnership; looks forward to following the progress under the second year of the plan, and reiterates its call for elected representatives at all levels, local communities and wider public and private sector partners to continue to work together to revitalise Scotland’s town centres.

16:17  

There is nothing in the motion with which we disagree. The motion is fine, as far as it goes. It notes the publication of the report, welcomes the engagement, notes the demonstration phase and so on. We will support it at decision time, regardless of the result of the vote on our amendment.

We welcome in particular the announcements about the small business bonus, which is a policy that the Conservatives have pushed for many years. There is welcome news on the sheer number of businesses that are benefiting from the scheme and on the value of the measure to businesses across Scotland.

I also welcome the town centre first principle. However, it has to be effective on the ground if it is to make any impact. That point was behind my intervention on the minister because, a year ago, when we debated town centres, the Government talked a good game about the town centre first principle but was busy closing down courts in high streets and closing down counters in police stations across Scotland. We felt that there was a contradiction between what the Government was saying at the top level and what was happening on the ground. We welcome the commitment and hope that it signals a new approach—a genuine town centre first principle.

We do not disagree with anything in the motion, but we have captured in our amendment a number of issues that are not in the motion. The yardstick that the Scottish Government should be judged by is the statement that Nicola Sturgeon made in 2012, when the external advisory group was set up to look at town centres. She said:

“we want to take every measure possible to ensure that our town centres are vibrant places.”

The Scottish Government says that it wants to “take every measure possible”. That is why we need to look a bit deeper at whether it is doing that or whether more could be done.

One of my biggest criticisms of the Scottish Government relates to the business rates incentivisation scheme—a policy with which the Scottish Conservatives agree 100 per cent; in fact, we would go further than the Scottish National Party did in its 2012 manifesto. In theory, it is a great policy that incentivises businesses and councils and leads to more funds being spent on economic development and town centres. It was a flagship policy in the local government elections in 2012. However, in year 1 of operation, the goalposts were moved very late in the day. The thresholds that councils had been given were increased quite dramatically so that councils did not benefit to the tune of the numbers that they expected and merited.

In 2013-14, the Scottish Government did not even put up the goalposts; it did not even give councils targets or incentives under the scheme. The scheme was simply ignored. We are seven months into the 2014-15 financial year and, as far as I am aware—I stand to be corrected—we have no thresholds yet for what councils are expected to achieve under the scheme. Early next year, we will move into the formal part of the budget process for 2015-16, and who knows what thresholds will be set then?

This is a Government that said that it could set up the entire apparatus of a new state in 18 months but, as we approach the fourth financial year of the business rates incentivisation scheme, the scheme remains in cold storage. It has had no impact on the ground. A year ago, we were highly critical of the Scottish Government for a lack of progress; 12 months on, it is difficult to see what progress has been made.

The scheme could make a genuine difference to councils. The sums involved could be far larger than many of the sums announced by the minister today and in the report. It is good for councils and it is good for business. The funds could flow towards innovation and regeneration, to town centres more widely and to entrepreneurship. I ask the Government to give us a full update on the position of the scheme and to ensure that the scheme gets going. As we know, the external advisory group did not recommend just that the scheme should continue; it recommended BRIS-plus—an enhanced scheme.

I agree with the member about the importance of some kind of financial incentive for councils to do the right thing. Is it therefore not also important that the Scottish Government should have sufficient powers and financial incentives to allow it to do the right thing?

I am glad that the member agrees with me, because the scheme is his party’s policy and has been pretty much ever since the day he was elected. I remind him of the Scotland Act 2012. He might have missed the draft budget that was published four or five weeks ago, which had powers being transferred and some of the very incentives on which he is so keen. If the member is so keen on the policy, why has he not put any pressure on his party’s front bench about it? Why has he said nothing on the policy over the past couple of years, despite apparently being in favour of it?

In other areas, some of the general progress has been slow. The document that was produced yesterday had two columns to cover the action that was meant to have been taken and what has been achieved. However, the Government deleted the column that was in the initial document for the timescales in which some of the actions were to take place. Without comparing the two documents, some would think that more has been achieved than has been achieved.

I will give one example. The original document talked about energy performance certificates. The Government said that it would strengthen the guidance to make sure that there is support for commercial premises to comply with the ratings

“at point of sale and new lease in January 2014”.

When it was set a year ago, that was a short-term six-month target for something to be done. However, yesterday’s document says:

“A public consultation will be published on energy efficiency before the end of 2014.”

I pick that out as one of quite a number of examples in the document where progress has not been made.

While the Government has made some progress, and while we will support the motion today, there are a number of areas where the Government needs to do far more—in particular, on the business rates incentivisation scheme.

I move amendment S4M-11386.1, to insert at end:

“; however, in so doing, believes that the Scottish Government generally needs to improve its rate of progress, in particular with regard to the Business Rates Incentivisation Scheme, which has been a disappointment so far, and calls on the Scottish Government to give serious consideration to an updated Town Centre Regeneration Fund and to implement a relief scheme for retail properties that have a rateable value of up to £50,000”.

16:24  

We, too, welcome the chance to hear the update from the minister on progress. We are absolutely clear that we support the principles underpinning the town centre first policy, but the key for us is implementation. There is a role for a critique of the fiscal mechanisms that the Scottish Government has used thus far. I would also argue that local authorities have to have more financial tools and more financial capability to make the cultural and infrastructure changes that are needed.

Our local authorities have a key role in civic leadership. Business improvement districts have been incredibly important in enabling town centre businesses and retailers to come together, especially in relation to management and marketing. The civic role of councils in pulling together businesses and local communities to regenerate, revitalise and support town centres to make them places that people want to visit is crucial.

Over the past two summers I have visited a range of town centres to see best practice at first hand and to hear about the challenges. I have held a series of meetings with key stakeholders, community activists and town centre management specialists to draw on their expertise. There is a lot of best practice out there and some really good work is happening, such as Glasgow City Council’s support for cultural enterprises; the work that the minister referred to on payday loan shops and controls on gambling shops; the work that Renfrew has done on town centre management and public realm investment; and Falkirk’s business hub and support for training opportunities. However, I heard concerns in Lanark about how to get housing above shops to repopulate our high streets; indeed, I heard that key message in several local authority areas.

I was particularly impressed when I visited Dunfermline this summer to look at its town centre improvements in the High Street, such as its work on signage, which links to tourism opportunities. A clear leadership decision had been taken to bring about that investment. Given that there are 32 towns in Fife, the focus on Dunfermline means that other towns have to wait. We can see that challenge across Scotland. Our big local authorities have many town centres and some staffing resource, but they do not have the cash resources, and the smaller authorities have neither the staff nor the cash. There is a real challenge there. Alex Rowley will close the debate for Labour. It was really interesting to see that the strategic decision to invest money to prioritise that investment made a real difference.

The Scottish Government can do a lot more. The policy has been in place, but the Scottish Government has been exposed as not always implementing it. In East Kilbride, the major issue was that the opportunity to bring new NHS investment to the town centre—and to bring thousands of trips to the town centre by NHS staff—had been missed.

Compulsory purchase orders are still mentioned by authority after authority as an issue. Local authorities are prevented from getting to grips with properties that are owned by private landowners who sit on them for years without making any investment, sometimes because they, too, do not have the investment capital available.

We need to have a rethink on planning capacity. Most planning authorities do not have the scope, and authorities certainly do not have the financial capacity, to carry out the big planning projects that we might have seen 10 or 20 years ago. That is a real challenge. At the moment, planning is more about regulating and looking at proposals that have come in. There are many town centres where, with more scope and more staff resource, it would be easier to bring forward major projects such as those that we see in Edinburgh and Glasgow, where transformative investment is taking place. That investment is not available for our out-of-town authorities and it is certainly not available for our smaller authorities.

The work of pulling together with housing associations, taking on land assembly, buying up properties and investing in refurbishing ground-floor properties for retail use and looking at compatible use, such as housing, on the upper floors is simply not possible within the current framework. The Scottish Government needs to look at that. We need to make sure that local authorities can use their democratic civic leadership role. They need to work to support businesses, but there are also times when market failure means that they have to take a lead, set out a vision and a plan, resource it and bring the business community and local communities with them.

There needs to be more capacity to borrow on the strength of new housing in our town centres and more scope to use CPO powers to enable much-needed investment to take place. The powers that we identified in our devolution commission document, “Powers for a purpose—Strengthening Accountability and Empowering People”, would give authorities the chance to take the lead that is so clearly needed. Local authorities need the capacity to develop a vision, they need the finance and they need the staff resources.

Although we welcome the report, much more needs to be done.

16:30  

I welcome the debate and the Government’s report on its town centre action plan.

Members may be aware of something called the carbuncle awards, which are awarded by Urban Realm magazine. One of them is the plook on the plinth award, which is for the most dismal town in Scotland. I consider that award to be very unhelpful, not least because the town that I live in and represent, Cumbernauld, has won it and is regularly nominated for it. Predictably, it has been nominated again this year.

I consider the award to be very unhelpful because I think that Cumbernauld is one of the best towns in the country to live in. It has good schools, good transport links and an abundance of green space in and around it, and the award certainly does not recognise the strong sense of civic pride in the town of many individuals and organisations.

The primary reason why Cumbernauld keeps getting nominated for the award—you will be glad to hear that I am bringing my speech to the point of the debate, Presiding Officer—is its town centre. Cumbernauld town centre is largely composed of what was built as the United Kingdom’s first indoor shopping centre—I suppose that that befits the innovation of the time. It has its defenders—many architects praise its vision and design—but even those who resolutely defend its architectural merit must recognise its modern failings.

Much of the town centre is now very dilapidated and many of the units are vacant. I am certain that it would not be described as an overly welcoming place, aesthetically. Any action plan that can assist with the revitalisation of Cumbernauld town centre would be very welcome.

Cumbernauld town centre is primarily thought of as a retail space, so people might not expect us to encourage them to see it as a place in which to live as well as shop. Some apartments there have been vacant for some time. The action plan included a town centre housing fund, which I brought to the attention of the town centre managers, although I am unaware of whether they sought to benefit from that fund. I saw other places benefit from it and it would be interesting to know how successful those experiences have been. The Government is considering the fund’s future and I will be looking to see what happens to it and whether there are any possibilities for my town centre.

I mention the town centre owners. Unlike most town centres in Scotland, Cumbernauld town centre is privately owned, which is part of the problem when we try to take forward a strategy for its regeneration. Not only is it privately owned, but it is privately owned by multiple owners with competing commercial interests. The local authority has a role to play in revitalising Cumbernauld town centre, but it can do only so much given that private ownership. It will be good to hear from the minister how any town centre action plan can involve the private sector and private owners, to encourage redevelopment.

I welcome the town centre first principle and, in particular, the way in which it encourages the public sector to look at town centres first when locating services. However, I caution against using it as a bar to development elsewhere in our towns, particularly our larger towns. Cumbernauld has a population of 50,000 and is growing. Recently an application was made for a new retail unit at a location in the town that needs investment. Planners recommended against granting approval, despite recognising that there is nowhere in the town centre for such a development. I am thankful that elected councillors disagreed and granted approval. That serves as a reminder that some planning officials might look to apply a town centre first principle as a town centre only principle, and we must ensure that that does not happen.

Overall the action plan report is very welcome. I welcome the progress made, and I hope that it bears fruit in my constituency.

16:34  

As a member of the cross-party group on towns and town centres, I appreciate the opportunity to reflect on the town centre action plan. I am aware that the minister has engaged with the stakeholders represented on the group on several occasions, and I thank him for that.

With the change in leadership that will take place later this month, a Scottish Government ministerial reshuffle is likely. Many of the cross-party group’s members consider it important that there continues to be a minister with specific responsibilities for town centres. We need to know that someone in the Government is responsible for driving forward the action plan and remains accountable to the Parliament for its implementation. I am sure that the cross-party group will work constructively with whoever that person is to keep town centres and regeneration firmly on the political agenda.

There is no one-size-fits-all solution to town centre regeneration. Many of our communities face common challenges, but that does not mean that there are uniform solutions. In North Ayrshire, which is in my region, I see how the Irvine Bay Regeneration Company and its partners are transforming Irvine by breathing new life into the town centre, as it did in Kilwinning before that, although car parking remains an issue in both towns. I see also how Largs, only a few miles away, came up with a different solution, adopting the BID model after a rigorous and sometimes animated debate in the business community.

We cannot regenerate our towns from the political centre, but we can do our bit by implementing the town centre first principle and providing funding, guidance and support. The Scottish Government has to give our councils and our communities the tools that they need to make our town centres more vibrant, accessible, inviting and economically resilient.

Retail is changing, how we access services and purchase goods is changing, and the constant growth of new technology means that our lifestyles are changing, too, but let us be clear: there is still a place—indeed, there must always be a place—for community, for a safe and modern public realm and for our town centres.

We know that we need to understand town centres better. We need to collate and disseminate more data and information about them; we also need to map changes in our economies and help local leaders to identify opportunities for growth, investment and job creation. Therefore, I welcome the work of the understanding Scottish places consortium to develop typologies, benchmarks and a toolkit to help practitioners understand their towns. How and when does the Government intend to roll out the toolkit across the country?

On housing, there is a recognition that we have to repopulate and revive town centres as living communities as well as places where we go to shop, to socialise and to use services. To that end, I welcome the town centre housing fund. However, according to the Government’s website, awards from the fund totalled £2.7 million, yet delivered fewer than 100 new affordable homes across the country. We cannot argue that the fund is transformational, but it has shown councils and housing associations what is possible with investment and imagination.

In its report, “Town Centre Action Plan—One Year On”, the Government also commits to

“identify best practice and models of engagement”

to encourage owners to turn empty units into affordable homes. It would be helpful if the Government could elaborate on some of those practices and engagement models, as I expect that we all know of vacant properties in our constituencies and regions that could be put to better use.

I am just finishing, Presiding Officer.

You are indeed.

It is impossible to say everything that needs to be said about our town centres in one short debate. However, the Parliament can be assured that—

You really must close.

—because of the issue’s importance, there will be plenty of opportunities to continue the discussion beyond the chamber in the communities where the success of the action plan will ultimately be judged.

That was too much.

16:39  

Our town centres are like our people: they have a past, a present and a future, and they will never stop changing. All are different and all have their own character. Our task in government is to recognise the issues that they face through the years, help where we can and set up the conditions that allow them to adapt and flourish. Everybody has a stake in that, including Government, the public and the companies and property owners who own many of our town centre buildings.

Many people—mainly older people—look back and wish that their towns were the way they were in the past. They remember fine old buildings and streets filled with local traders and department stores, with no pound shops or payday loan shops. Many younger people look forward and wish for the modern shops that they see in our bigger cities and modern out-of-town malls. They want cafes and meeting places where they can enjoy spending time with friends.

Who is right? Both groups are right, of course, which is why town centre planning is a difficult task for any minister and Government. The aim is to preserve the best of our town centre history and heritage and plan ahead with sensitivity, while opening the door to aspirations and new possibilities. That is a tall order and it should not be a matter just for the minister; we must work in partnership with everyone who has a stake in our towns.

The review of our town centres and the resulting action plan are making an impact. The small business bonus scheme is helping nearly 100,000 small businesses this year, as the minister said. Fresh start is offering further help to bring back into use empty shops that have been vacant for a year or more. The town centre housing fund is helping to bring life back into our towns, particularly at night. I hope that moves to create more digital towns, with free wi-fi, will attract younger citizens in particular.

In my town, Kilmarnock, there have been spectacular and transformational changes in recent years, which the minister has seen for himself. Historic old buildings such as the Palace theatre, the grand hall, the Opera house and the Johnnie Walker whisky bond building have been modernised and beautifully lit. The magnificent John Finnie Street, which is almost entirely red sandstone—there is nothing like it anywhere else in Scotland—has been fully restored. Our historic viaduct, which takes centre stage and is an iconic symbol of the town, is also beautifully lit at night. New housing, embedded in the heart of the town, will bring a vibrancy that we hope will benefit everyone, including our many quality local traders.

However, problems remain and people are entitled to expect not just local government and national Government but everyone to try to address them. Many of my constituents talk about shops that lie empty and derelict, with no sign of improvement, sometimes for many years. Others highlight their fears about shopping in town centres that are often, sadly, a focal point for people with addiction issues, with all the disruption to shoppers that such gatherings can cause.

We cannot do everything overnight and we do not have unlimited resources. However, we can try. We need to think differently about how best to tackle some of the issues. The public can and should have a direct role in generating new ideas for their town centres at the early stages of planning and not as consultees after the architectural drawings have been finalised. People should be involved from the start in shaping and taking ownership of their towns. The corporates and property owners must make a contribution, too. We must consider whether rent levels are appropriate in the current market conditions.

In government we can do only so much, but we have achieved a lot in a relatively short time. We all have a stake in improving our town centres. I am confident that if we continue the good progress and examine some of the issues that I have highlighted there will be further positive transformation in our town centres in years to come.

We are now very tight for time.

16:43  

I am delighted to speak in this debate, because I am the MSP for the largest town in Scotland. Paisley town centre is fantastic. I might be slightly biased in saying so, but the centre has fantastic buildings and there are many exciting events in the town. More important, the people of Paisley are extremely friendly and welcoming.

The decline in our High Street has been documented throughout the past couple of decades and has been mirrored in towns that face similar challenges and problems. The Scottish Government’s town centre action plan can make a significant impact and change the fortunes of not just Paisley but town centres across our country.

The minister was right to comment on the appropriateness of the debate coming after the debate on the Historic Environment Scotland Bill. When we walk through towns such as Paisley we walk through the historic environment. In Paisley, we walk past the abbey, the Coats memorial church and various other buildings that have been a constant and important part of our past and are still used.

That brings me to a challenge that many towns such as Paisley are experiencing. Some of the buildings were once used by NHS Greater Glasgow and Clyde and by the local authority, but, as services change, they have ended up no longer in use. One example in Paisley is the Russell institute building, which was used by the health board. Luckily, I managed to get all the relevant individuals together, and the Paisley Development Trust—with investment from the Scottish Government—will now take over the building and ensure that it remains a major part of Paisley’s future. That is the sort of issue that we need to look at.

In our town, Scottish Government investment is being used to build new homes in the town centre, right next to the sensational backdrop of Paisley abbey. That development has increased footfall in many of the businesses in Paisley. A small coffee shop that is run by two businessmen is now extremely busy because it is seconds away from the two areas in which the Scottish Government has invested and is therefore benefiting from increased footfall. That shows us how we can get people back into our town centres and ensure that we can create the future for them that we all want.

The small business bonus scheme has made a massive difference to many retailers in Paisley. I know of many small businesses that would not be retailing in Paisley at present if it had not been for the scheme, which is of great assistance. In Renfrewshire, 2,475 small businesses are benefiting, to the tune of £5.1 million in 2014-15. That is the type of investment that is making a difference in town centres throughout Scotland.

The Scottish Government has protected local government funding, in drastic contrast to what we have seen happening down south, where the outcome of the 2011 spending review was a real-terms decrease of 18.6 per cent from 2012 to 2015.

The Scottish Government also came up with the idea of the business improvement district scheme, which is being implemented in Paisley as we speak. In fact, it will come as no surprise to members that I will once again be voting yes in Paisley, in support of the BID idea—my own premises are in the BID area.

All those businesspeople have got together and are working towards taking ownership. The people who work and live in Paisley are the best people to deliver for the town and ensure that we can make a difference. I have supported them, and I commend every single one of the people involved in that group. Ironically, the group is called Paisley first, which brings us full circle to today’s debate, which is on the town centre first principle.

So much work has been done, and so many events have been brought to Paisley. The minister and I were part of that work when we were in local government.

We have done so much, and all we have to do now is build on that work and take it to the next level to ensure that we deliver for our town centres.

Excellent—thank you for that unbiased view of Paisley.

16:47  

Regenerating, reviving and renewing our town centres is a challenge in which we are all united. It is certainly one of the biggest issues for my constituents in Dunfermline. I strongly welcome the town centre first approach, which is already delivering real results despite the difficult financial challenges that local authorities face.

That principle is moving us closer to ensuring that our town centres are not just places to shop, but are right at the heart of public, community and social life. The reality is that our town centres will never again be places where we just go to shop. They must embrace leisure, not just retail; they must be places that people live in, rather than just visit; and they must be vibrant day and night, all year round.

Recently, I was pleased to welcome my colleague Sarah Boyack to meet local stakeholders, businesses, voluntary groups, entrepreneurs and elected members to showcase the fantastic work that Fife Council is doing to regenerate Dunfermline town centre. Already, £1 million has been invested in the town centre in projects such as free wi-fi, floodlighting of iconic buildings, the restoration of Dunfermline city chambers, winter festival lighting, digital signage, floral displays and promotional campaigns. Those are all aimed at making Dunfermline a more attractive place to visit, day and night. They are backed up by a longer-term town centre action plan and other initiatives, such as a £2.2 million investment in Dunfermline cycle network; the Fire Station Creative project; and a £12 million partnership to create a new Dunfermline museum and art gallery right in the centre of town.

It is clear that there is a lot more to do, particularly with regard to empty units and derelict buildings on our high streets. I believe that we could do a lot more with further devolution of power and resources to our local authorities so that they have the power in their own hands to facilitate local economic regeneration even further.

The motion states that

“a renewed spirit of entrepreneurialism in town centres are key to their social and economic success.”

That is key, and I am pleased that we are making good progress in that regard in Dunfermline.

In 2013, Dunfermline hosted the first ever final of the Carnegie test town—an initiative based on matching the oversupply of space in our town centres with the huge supply of talent and ideas in our young people, whereby young people are asked to come up with new and enterprising uses for shops, offices, stalls and other vacant spaces in our towns and cities. Test town is now the UK’s biggest town centre business challenge, and I commend the Carnegie UK Trust for that brilliant idea, which has captured the imagination of young people in Scotland and across the UK.

Locally, in Dunfermline, the success of test town has led to Fife Council and local traders rolling out their venture street programme to build a lasting enterprise legacy for our town centre. Venture street will be at the heart of Dunfermline’s winter festival and will run right up to Christmas eve. I wish all those who are participating in venture street every success in what some people have called Dunfermline’s version of “The Apprentice”. It is something that we will all look forward to.

While some people paint a picture of doom and gloom when talking about our high streets, there is a lot to be excited and enthusiastic about, too. However, that does not mean that there are no challenges. A Carnegie UK Trust report that looked at the test town graduates found significant cost barriers to town centre trading—challenges that could probably be easily avoided by trading online. Business rates are often excessive even for start-ups, and rents are simply too high. Too many landlords continue to seek long-term, highly inflexible agreements with new tenants, which can be a real stumbling block to even the most committed people in getting a business off the ground. Also, the town centre first principle certainly does not seem to extend to many banks, which seem to favour online ventures over town centre ventures in making investment decisions.

Although we are seeing real progress, there is still much more to do. We need more action to break down the barriers to participation in the town centre economy if we are to ensure that our town centres are not just places where we spend a couple of hours on a Saturday, but are places with a purpose—places that people want to visit, spend time in, live in and bring up their families in, and that are right at the hub of social and community life.

16:51  

It is worth reminding ourselves of what the Scottish Government is doing to assist our town centres. I will do that by focusing specifically on the area of the country that I represent. Across the whole of Angus, in excess of £20 million has gone into the small business bonus scheme since its introduction, with £3.7 million of support being provided in the present financial year alone. That is real help for more and more businesses, and the number of small-scale operations that have had their rates bills either abolished or substantially reduced has risen from 1,854 in 2008 to 2,361 this year. Additionally, in Kirriemuir, thanks partly to a £645,000 grant from Historic Scotland, a conservation area regeneration scheme has been established in partnership with Angus Council. All told, the scheme will offer grants amounting to £1.1 million over five years, aimed at enhancing the look of the town centre.

Additionally, Angus is to be the location of one of the four business hubs that the minister mentioned, and Carnoustie is one of the seven towns across Scotland to benefit from the £2.7 million town centre housing fund. A sum of £200,000 has been secured from the fund to provide up to four houses in the High Street in Carnoustie. Angus Council plans to build those properties on the site of one of two former retail units that were destroyed in a fire. Locally, there was a view—which I would, ideally, share—that the retail unit in question should have been rebuilt, but it seems that there were no takers for such an opportunity.

Therein lies one of the problems that are at the heart of the challenge that we face in revitalising our high streets. We cannot magic up businesses to fill properties—especially properties that are constrained by being located in long-established buildings. Even in an attractive high street such as Carnoustie’s, which contains some niche shops and has, in the past year, been capable of attracting a leading retailer in Boots, there is a surplus of available units. In part, that is down to existing units being of unsuitable size to meet the requirements of potential incomers.

However, high streets are not just about buildings; they are about people as well, and, as we strive for better, there must surely be a role to be played by the public. Like many members who represent constituencies that contain towns of whatever size, I hear many complaints about the state of the high streets and the lack of shops of the kind that people want. Yet, at the same time, I know of shops—in Carnoustie and Arbroath, for example—that are attracting custom from well outwith Angus, such is the product and the accompanying quality of service that they offer. If local consumers do not support local shops, is it any wonder that “For Sale” and “For Rent” signs adorn our high streets? This cannot be only about Government support or locally driven initiatives; there is a need—perhaps even a responsibility—for the public, wherever possible, to seek to spend a proportion of their disposable income in the shops that are located in the hearts of our towns, instead of taking the convenient option of buying everything under one roof in large-scale supermarkets.

I want to pick up on a point that Gavin Brown made about the impact on high streets of court and police counter closures. His observations will, I accept, be valid in many places, but not everywhere. The closure of Arbroath sheriff court met with a mixed response because, owing to the constraints on the building, we had an issue with undesirables loitering on the pavement outside, which impacted on footfall, much to the annoyance of neighbouring businesses. Efforts are being made to bring the building back into use to serve a purpose that could increase footfall in the area and provide a boost for those businesses.

In nearby Carnoustie, the police counter that closed was located a good half a mile from the town centre. Police Scotland and Angus Council are presently in discussions about relocating the police presence to a location at the very heart of the high street. I draw Parliament’s attention to that simply to support the point that was made earlier that no two town centres are the same, and no two town centres will be improved by the same solutions.

Thank you for your brevity.

We move to the closing speeches.

16:55  

Members will be relieved to hear that I am not going to speak about my own town.

Today’s debate is about Scotland’s town centres and their future, and it has highlighted the crucial role that small businesses play in town centres. Unsurprisingly, that is what I wish to focus on. We all want to see flourishing and diverse high streets returning to our town centres, and a combination of entrepreneurial spirit and Government support can go a long way towards achieving that.

Government at all levels can play a crucial role in revitalising our town centres. It can do so chiefly in two ways: by levelling the playing field with larger businesses and by cutting the fixed costs of high street businesses.

It is widely agreed that local businesses are struggling to compete with larger retail outlets in suburban developments and with the rising popularity—and, indeed, novelty—of online shopping. Customers shop online and in many shops in out-of-town developments because of simplicity. In other words, the issue is convenience. That is the essence of the matter—we must make it as easy to shop in our local high streets as it is to shop elsewhere.

First, I would like to say that under no circumstances should we see the need to assist our town centres as a reason to discriminate against out-of-town and online businesses. That would simply not be fair, nor would it be in customers’ best interests. Rather, we must level the playing field by making it easier for high street retailers to compete for customers.

Based on what we keep hearing from shoppers, the biggest problem is probably the lack of adequate parking facilities in town centres, especially when compared with large shopping centres. It is simply too much hassle and too expensive to drive into a town centre to shop, not to mention the fact that people frequently struggle to find a spot to park their car for long enough, without facing potential death threats from traffic wardens. All that does high street retailers no favours, and I believe that we could and should turn the situation around in partnership with councils.

I continue to believe that in order to deliver that change, we and the local authorities need to provide resources and the means for extra parking spaces and cheaper parking rates. Furthermore, there is much to be said for making park-and-ride schemes more attractive to use. The balance between those solutions is a matter for debate, but I hope that we can all agree on the need to facilitate easier transport to and from town centres so that it is just as attractive and easy for people to go to their local high street as it is to go to an out-of-town retail park.

The second approach that we could take to help our high streets would involve the Government stepping back rather than stepping in. I am talking about rates relief. We could learn from the model in certain areas of the United States whereby stand-alone businesses with single outlets are offered a discount on their business rates in order to encourage originality and diversification on the high streets. Too often in Scotland, we hear that all town centres consist of multiple outlets of the same brands. That would chime with the long-awaited and long-delayed business rates incentivisation scheme, as it would give local authorities the chance to drive redevelopment themselves. Many town centres in the United States have distinctive shops in them, which we tend not to have here.

The impact of such policies would, we hope, bring high streets that were filled with varied, competitive, appealing and sustainable businesses, including post offices and libraries. That would increase the choice that is presented to customers, make their shopping experience easier and, in some cases, make it cheaper. Furthermore, the benefits for local jobs and local economies would be far-reaching. That is what we should be aiming for, so I trust that we can all agree to strive for that.

There is a great deal that can be done to support our town centres and there is a clear direction for what could and should be done. We can all agree on the desirability of vibrant and diverse high streets, but to achieve that the Government must take action on business rates and give local authorities the means to make driving into town centres much more appealing.

I call Alex Rowley. You have up to six minutes.

16:59  

I tried to follow the minister’s speech, but he went fairly quickly and I did not pick up a lot of it. However, he did say that the longer-term outlook is good and strong. I think that progress has been made, but we have a long way to go. Alliance Boots sent out a briefing in which it pointed out, regarding town centres, that with

“one in nine retail outlets now lying empty ... the challenge is to ensure that they are better equipped to support the economic and social aspirations of our communities.”

Willie Coffey picked up on that point and talked about involving communities and communities taking ownership.

I accept Graeme Dey’s point that no two town centres are alike. There might be different solutions for different town centres, but I believe that we would find that most town centres have similar problems. The minister said that he was keen to come here today to listen to ideas about how we can move forward. In that regard, Cara Hilton mentioned the Carnegie UK Trust test town pilot in Dunfermline. One of the issues that came out of the pilot was that the biggest barrier to many of the young entrepreneurs of tomorrow being able to access premises is the inflated costs of rents. That is an issue in most of the town centres that I know in Fife and it has to be addressed. Landlords are asking for unrealistic rents that are way above market value.

I believe that local authorities need to have more powers to use the planning system more innovatively for town centre renewal. For example, licensing committees could play a big part and tourism could be a major factor and key industry in regenerating many of our town centres. However, that means that we need more of a focus. Part of the solution for many of our town centres is to repopulate them. It is certainly the view of Fife Council with regard to Kirkcaldy town centre that getting people back there to live would be a key way to go forward. We need to target specific financial support to local authorities to help them do that.

On putting the local authority in the driving seat, we can look at the Dunfermline example that was mentioned earlier. What I have learned from looking at town centres is that there needs to be strong leadership driving town centre renewal. In Dunfermline there is a BID company, which has new leadership in place. I suggest that it was a decision by Fife Council to put £1 million into Dunfermline town centre, working in partnership with local groups and the BID company, that started to drive forward the town centre renewal. The council also decided to put in an area manager to drive that forward, pull people together and work with the BID company. I suggest that there is evidence to show that we need strong leadership for town centre renewal. More recently, Fife Council took a decision to invest £1 million in Kirkcaldy town centre as well. Again, it is not about money alone, but about strong leadership working with all the key stakeholders.

It all comes back to Willie Coffey’s point. I recently asked the director of the Development Trusts Association Scotland whether he would be kind enough to come up to Cowdenbeath and look at what we could do to move forward in Cowdenbeath town centre, which is smaller than Dunfermline and Kirkcaldy town centres but is also suffering from decline. He gave me examples from Haddington and many other places in Scotland where local people have begun to take control of their town centres. They work with retailers and are able to take over some small units and encourage local businesses to come into the town centres. As Willie Coffey suggested, empowering local communities is the way forward.

Margaret McDougall raised a number of important issues around job creation, car parking and the cost of car parking. The evidence in some town centres suggests that if car parking charges were removed, that would create a bigger problem in terms of not having enough car parking. That is not the case in every town centre, though.

The minister talked about the legislation that went through on dangerous and defective buildings, and now we have the Community Empowerment (Scotland) Bill. When I first saw the bill’s powers that allow local authorities to come up with local schemes, I found them to be an exciting prospect. The only difficulty—I come back to parking—is that local authorities are under major financial pressures at this time. Some have lifted car parking charges in some areas in the run-up to Christmas and are offering free parking after 3 o’clock, and things like that, but all that costs money. It actually costs millions of pounds. Some local authorities have been using charges to try to get round some of the cuts that they are making.

Alliance Boots put forward an interesting proposition in suggesting that a business rates incentivisation scheme whereby local authorities would be allowed to keep 100 per cent of the rates above an agreed level could be an effective tool to drive forward town centre regeneration if the money was ring fenced.

You must close, please.

I am not necessarily suggesting that we should pick up on that initiative, but I hope that the minister intends to work with authorities to look at council tax and the future of local government finance. As part of that—

You really must close, please, Mr Rowley.

—he could perhaps look at how local authorities can be empowered to do more and lead in town centres.

Thank you.

I call on the minister to wind up the debate on behalf of the Government.

17:06  

This has been a positive, constructive and useful debate. I turn to the last speaker first. Alex Rowley helpfully pointed out that I raced through the second half of my opening speech—rather carelessly, as a Government minister, as that was the good bit with the funding announcements. Having taken three interventions, I panicked somewhat when I realised that I was on page 9 of 19 with two minutes to go. For a full explanation of the funding packages that I announced, members should read the detail in the Government’s press release. I am sure that they will all be rushing to it after decision time.

There is good news and progress on partnership working. I say to Mr Brown that the omission of timescales was about nothing other than us being helpful in providing the yearly update report that the Parliament did not ask me to provide but which, in my constructive style, I wanted to offer to stakeholders and of course the Parliament. That has helped to engender a lively and useful discussion with suggestions on the way forward and comments on what members think are the weaknesses in our action plan, and I will certainly reflect on all those points.

I will not make any party-political points because that has not been the nature of the debate, but I point out that it is difficult to create new resources when our budget has been cut by Westminster. We have nonetheless identified new funds for town centres, but we expect all public authorities to consider the totality of their resources in making town centres a priority.

I turn to some individual comments that were made. Cameron Buchanan made helpful comments on the importance of accessibility, business rates and the issue of driving into town centres. Driving into a town centre might not always be the wrong thing to do. That is not the accepted wisdom, but accessibility in every form will be different from town centre to town centre.

I return to Alex Rowley’s points. Boots has given us helpful suggestions and I have invited it on to the external advisory group. Alex Rowley also touched on rental prices, and I think he is right that far too many landlords are still trying to achieve the rental regimes that they got in better days.

We will have further powers around compulsory transfer, proactive planning and compulsory purchase orders, some of which we will pilot during the next year or two. Expanded powers for local authorities around local rates relief schemes should also help them to have the power, added to the leadership and resource, to take forward the town centre agenda.

Alex Rowley pointed out that we should put local authorities in the driving seat. I argue that they are already there, as local economic development rests with them. However, we recognise our responsibility as a Government to help to set the conditions to support town centre regeneration to make the difference, and empowered local communities will be able to do even more of that through the Community Empowerment (Scotland) Bill.

On resources, we have regeneration funds, the town centre housing fund, the people and communities fund and other funds that I can identify to support individual communities in taking forward partnership projects.

Sarah Boyack referred to business improvement districts, as did many other members; the Government supports those and has made resources available to expand them. We support the repopulation of our town centres and housing above shops, and there will be an expansion of the planning and financial tools to support our town centres. If appropriate, there will also be greater use of compulsory purchase orders and the acquisition of abandoned and neglected private sector assets through the use of the Community Empowerment (Scotland) Bill. Planning authorities will be more proactive in the future.

Gavin Brown raised BRIS and asked for an update. In the coming weeks, the new regime, as agreed with local authorities and the Scottish Government, will be published, recognising where the system did not work effectively before. There is now a replacement in place, agreed by leaders and Government, and its publication is imminent. That will create the kind of scheme for the future that Gavin Brown and other members will welcome, I am sure.

Many local authorities have shown their ability to adapt to circumstances and support great schemes in local communities. I mentioned four of them earlier out of impartiality and fairness to Labour-led and Scottish National Party-led authorities that are locating and identifying public services in town centres, relocating staff in town centres and supporting private sector investment in town centres.

Jamie Hepburn was right to criticise unhelpful things such as the plook on the plinth, but he showed how we can be positive and reinvigorate civic pride in our communities. For Jamie Hepburn that community is Cumbernauld, and he spoke about private sector and public sector leadership. I commend the work of the Royal Town Planning Institute Scotland for creating Scotland’s best places, which celebrates the positive in Scotland.

Margaret McDougall, who is the chair of the cross-party group on town centres, spoke about partnership working and her experiences in Ayrshire, and the tools that local communities need to do the job. The planning toolkit will be forthcoming and repopulation of town centres is an important issue for engagement.

I am delighted that the Deputy First Minister, Nicola Sturgeon, has just arrived in the chamber because Margaret McDougall also mentioned a reshuffle in her speech. I know that is not good etiquette to mention that in the chamber.

No, it is not.

My boss informs me that it is not. However, the point was that a dedicated minister for town centres has been appreciated and the position should continue. That was not a pitch for a job, as much as I enjoy my portfolio.

Willie Coffey spoke about the changing nature of town centres, the partnership approach and the wonderful digital opportunities that we support. That is why we amended the permitted development rights to ensure that the infrastructure and investment are in place to expand mobile coverage and community broadband. He also spoke of using the majestic buildings in Ayrshire and Kilmarnock.

Graeme Dey spoke about his community in Angus and how it has benefited from a range of funds that are currently available, not least of which is the housing fund, business hubs and other start-up projects to create that vibrancy and dynamism in our town centres and to create diversification and digital and other opportunities, including employment and local business start-ups.

Cara Hilton gave a very passionate speech about the work that is being done in Fife, particularly in Dunfermline. She talked about town centres being more than just for retail, and the principle that has been established in partnership around town centre first between the Scottish Government and local government being a powerful catalyst for change. She also covered the devolution of power and the leadership role that local authorities can have to create fantastic projects such as venture street and other local innovations, the potential of online and the role that local community groups can have in empowering local communities.

It was rather out of character for him, but George Adam mentioned Paisley’s historic environment and gave us an example of how the fantastic and iconic building that is the Russell institute, supported by Government funding, will create that regeneration. George Adam would be the first to point out that Scotland’s Towns Partnership’s Scotland’s towns week will be in Paisley this year. I am sure that George Adam will seek to be there.

Funding, business rates and Government support all set the right conditions to reinvigorate our town centres. I look forward to continuing to work in partnership with the external advisory group and others to ensure that our town centres have a strong and vibrant future. I thank all members for their constructive approach to today’s debate.

Thank you, minister. That is the first time I have heard a job application in the chamber. I am sure that many of your colleagues will help you to polish up your CV.