SIMON HOWIE, the entrepreneur behind the eponymous range of meat products, has said the Scottish Government scored a “massive own goal” when it began charging landlords business rates on vacant premises.

Mr Howie, who is behind a number of businesses including flooring supplier Shore Laminates and property agent Pacitti Jones, was speaking as his Rossco Properties company announced plans to develop a third phase of its Inveralmond Trade Park in Perth.

The company is investing £12m to 15m in developing a recently acquired 17 acre plot, and Mr Howie said it was essential that some of the properties are pre-let, after the Scottish Government scrapped rates relief on vacant commercial and industrial properties.

Inveralmond Trade Park is currently home to the likes of Screwfix, Everest and Topps Tiles and also regional operators like Harbro.

Mr Howie said that with a new junction being built onto the Perth bypass, from MacDiarmid Park to Luncarty, the company expected significant occupier interest in the new phase from both national players expanding into the area and from growing local businesses.

He argued, however, that many businesses found it difficult to lease larger premises, because Government plans have led to a shortage of new commercial buildings.

In April 2016, the Government introduced a new policy on vacant properties meaning owners must pay 90 per cent of business rates after three months of being empty, more commonly known as ‘void rates’.

“Previously we would quite happily have put up four or five buildings and looked for tenants,” said Mr Howie. “Now the mind-set is very much that we need to have them pre-let or almost pre-let before we start building because we’re liable for void rates. I genuinely believe this government has scored a massive own goal with that.”

Mr Howie added: “The government’s view was that if they charged void rates, then landlords would reduce the price and get the leases away, but now… old buildings are coming down and there’s a lack of new buildings going up.”

He said medium-sized businesses aiming to grow were most impacted by this change in landlord behaviour.

“The supply isn’t there so landlords are able to charge more on what’s available so it’s done the opposite on what the Government was looking for.”

Rossco Properties will be working on a masterplan over the next six months and will seek planning permission by next summer.

Mr Howie said he hopes to be on site within a year, “or sooner if there is a good level of interest”.

“Perth has been throttled for some time with a lack of industrial land supply,” he said.

“We want to do something; a company that perhaps leases 5,000sq ft, how do they get to 10,000? It’s difficult, options are limited, but this development will give them unlimited options.”

The third phase of the site will create an estimated 300,000sq ft of commercial and industrial space, double the 150,000sq ft that was built in phase one and two between 2006 and 2009.

Mr Howie said that enquires were already coming in from across the UK.