THEY are the shops that Scots have relied on for decades but cost pressures from competition and complying with the national minimum wage have led to 3,000 jobs being lost from Scotland’s convenience grocery sector in the last year alone.

New research from the Scottish Grocers’ Federation and its UK counterpart the Association of Convenience Stores has shown that convenience stores add £532 million in gross value added to the Scottish economy.

But, under tremendous pressure from supermarkets and the rise of Aldi and Lidl, the last year has seen that value fall by 8.5 per cent, while the numbers of stores operating has also dropped.

There are 5,324 independent convenience shops in Scotland, according to research from the trade group, This is down five per cent on last year as Scotland saw a net loss of 278 stores.

In order to help protect the industry, the SGF has successfully campaigned for the establishment of the first-ever Scottish Parliament Cross Party Group on independent convenience stores.

Backed by Gordon MacDonald MSP, the group will aim to promote and preserve an industry that is a vital lifeline to many thousands of Scots.

The SGF, which last week called for convenience stores to be taken out of the Business Rates system in Scotland, said its Local Shop Report helped dispelled the myth of convenience stores as simple corner shop.

The Federations head of policy and public affairs, John Lee, said: “The reports shows the real economic (and social) impact of independent convenience stores – there are more per head of population than in the rest of the UK and these stores provide almost 42,000 jobs and contribute some £532 million to Scotland’s economy.”

However, Mr Lee added there are fears that the cumulative impact of increased cost pressures such as the national minimum wage are now having an impact on these retailers.

“The number of jobs in the sector fell by 3,000 in 2015 and the number of stores fell by 300 – this is the first time since 2012 that we have seen reductions like this,” he added.

Traditionally family-run businesses, the research found that 45 per cent of all stores are owned by family partnerships, and 21 per cent of those owners have been in business for more than 25 years.

More than £70m was invested by these owners in the upgrade of their stores in the last year, with 69 per cent of that funding coming from the owners’ own pockets. Just nine per cent of the cash came through bank loans.