By Kristy Dorsey
Business organisations representing tens of thousands of firms across Scotland say more clarity and consistency is needed in the guidance being given to the private sector on tackling the coronavirus pandemic.
Leaders from 13 industry bodies have signed a joint statement calling for an end to confusion over which businesses are “essential” and which should shut down. They say more alignment is needed between the Government messages coming out of Holyrood – where the presumption is that firms should close – and those from Downing Street, where assumptions favour staying open if possible.
Business leaders from organisations such as CBI Scotland, Scottish Engineering and Scottish Financial Enterprise say there must also be more consistency between public rhetoric and official government guidelines on how firms should behave.
“The message to ‘stay at home’ is one that business has heard, agrees with and is taking immediate measures to implement,” the statement says. “However, for some firms, this isn’t as straightforward as it may seem.”
Construction companies have been among those caught up in the mixed messaging, and many manufacturers remain unclear about whether their work is deemed essential. Firms that carry on trading risk being accused of putting profits before lives, as was the case last week when Mike Ashley attempted to keep his Sports Direct chain of retail shops open.
“Recent confusion over which firms are required to close, and which are permitted to remain open, has resulted in different interpretations – with conflicting views and public debate as a consequence,” the statement continues.
“Key to ensuring we strike the right balance are clear and consistent guidelines from government, as well as simple and structured systems to deliver them – without this, ambiguity is certain to emerge.”
Donald Cameron, the Scottish Conservative shadow finance secretary, said mixed messages will “only harm Scotland’s economy even more”.
“Everyone understands that the Scottish Government response to the coronavirus emergency won’t always be a mirror image of Westminster’s,” he said. “But where the SNP does seek divergence, it should be able to set out exactly why that’s necessary.”
Meanwhile, Scottish politicians have been accused of moving the goalposts in the allocation of coronavirus support grants.
Retail and hospitality businesses in England and Wales are receiving a £25,000 grant for every qualifying property. The Scottish Government initially announced that it would fully replicate those measures, but it has since emerged that those with more than one property – such as a small chain of retail shops – are only eligible for a single £25,000 payment.
The Scottish Retail Consortium and the British Independent Retailers Association have written to Scotland’s Finance Secretary asking for clarification of the terms of the funding package.
One of those affected is Jon Sharp, who owns the six-strong Kilimanjaro Coffee chain in Edinburgh. He has launched a petition calling for the parity of business support in Scotland.
“The Scottish Government’s approach is posing a huge risk to Scottish businesses and jobs and making it even tougher to pay landlords and suppliers in this time of unprecedented difficulty,” Mr Sharp said. “I’ve been in touch with ministers including Fiona Hyslop and Kate Forbes but have received no response to my real concerns about people’s livelihoods being threatened.
“In my view, Kate Forbes, in her role as Cabinet Secretary for Finance, is short-changing smaller businesses. If she doesn’t quickly reverse this policy and provide the same grants the rest of the UK are enjoying, the result will be Scottish businesses being forced to close and people losing their jobs.”
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