Chamber and committees

I have been generous with members’ time so far, but, in order to get through business, I ask them to be as concise as possible. If the cabinet secretary could consider making his answers a bit shorter, that would be helpful.

So it removes the ability to publish either of the figures.

You might be aware that, last week, people from the retail, hospitality and leisure industries were in front of the committee. One area for which the Scottish Government has responsibility is business rates. Although the representatives of those industries raised concerns about other factors for which the Scottish Government does not have responsibility, such as energy costs, they were pretty robust in their criticism of the Scottish Government in relation to the consequentials that came to us because of the 75 per cent discount on business rates from the UK Government. Barnett consequentials totalling £260 million came to the Scottish Government, but over those two years, it has not introduced a similar or equivalent scheme. My understanding is that Wales has, although its scheme is not as generous as that in the UK, but it has used some of the money to do that.

You might have heard the criticisms last week about a lack of engagement from the Government and the lack of discussion about how those consequentials could be targeted at that sector. Although you are right that there is increased productivity and activity in some areas, the pressure on that sector is eating into profits. Although it is seen as a busy sector that is recovering from the pandemic, it is difficult for it to invest in its businesses and in skills because of the extreme margins in which it operates.

I do not know whether you want to respond to the comments that were made last week about business rates and why the Government is not looking at some kind of business relief for that sector that would bring it in line with those in the rest of the UK.

I accept that, but it is £260 million. In the scheme of things, that is not going to solve the challenges that the NHS faces. I am not arguing that we should replicate the UK scheme, but we should give some kind of relief to the sector. As I said, Wales has gone for a different model. The Fraser of Allander Institute has said that £260 million is not enough to cover an equivalent scheme, but there seems to have been a lack of discussion or consideration about what can be done to provide some relief to the sector.

Thank you, Ms Tweed.

I will pick up on something that the committee has previously written to the Government about—the small business bonus scheme. The Government commissioned a report on the scheme from the Fraser of Allander Institute, and changes were introduced in April last year. One of the factors that the institute raised was that, although the scheme was valued, it risked restraining economic growth because businesses tended to group just below the cut-off point, which perhaps held businesses back from deciding to expand their business or premises, because they would lose access to the scheme. The Government commissioned the work, but did not really respond to the Fraser of Allander Institute’s report in a significant way. Have the changes in April made any difference to some of the issues that it raised about the scheme?

Thank you. In your opening statement, you referred to the Ana Stewart report. The Government previously committed £50 million for a women’s business centre. In this budget, you have set out that, following the Ana Stewart review, a different approach will be taken to how we support women entrepreneurs. You said that it is work that is being taken forward. In your letter, you state:

“The 2024/25 budget provides the resources necessary to make early progress on delivery.”

Where in the budget can we see that investment?

That was for a business centre.

Now, there is £1.5 million for this financial year.

Is it anticipated that that will increase in future years?

Thank you. That brings us to the end of the evidence session. I thank the cabinet secretary and his officials for attending this morning.