HUNTER BACKS TAX POWERS FOR SCOTLAND

HUNTER BACKS TAX POWERS FOR SCOTLAND
SCOTTISH ECONOMY NEEDS RADICAL CHANGE
Sir Tom Hunter has today joined business people and members of civic society backing greater economic powers for the Scottish Parliament.
His support, which comes in response to a new survey looking at Scotland's small business start up rate, was welcomed by SNP MSP and Finance Committee member Linda Fabiani who urged others to engage in the debate about how to grow Scotland's economy and protect our public services through tight financial times.
Writing in the Times Sir Tom says:
"Stimulating economic growth is Scotland’s only option. Sure, we can make efficiency savings, but using taxes to create growth is our only true option. We need a tax regime that encourages growth in business at all levels of the economy. That means marked changes in corporation and personal taxation alongside fiscal incentives to encourage business creation and expansion."
He also argues that the powers are needed to secure investment in key jobs and services:
"Although the Scots are staring into a £20 billion plus abyss in public sector finances over the next decade, we need to remember it’s not a mere numbers debate. It’s about what we can afford to pay for: care for the elderly, NEET prevention, education, health. It’s about individuals who may or may not have a future depending on whether we can afford it or not."
Ms Fabiani also commented on the increasing criticism of the Calman Commission proposals that has emerged in response to the Scottish Government's consultation on a referendum bill.
Ms Fabiani said:
"Sir Tom Hunter joins other leading businessmen in recognising that for Scotland's economy to achieve it's potential and to support the jobs and public services we need it is essential that the Scottish Parliament controls the levers of growth.
"As Sir Tom says, shuffling the deckchairs and tinkering at the edges with the powers we have is no longer enough.
"There must be real incentive to invest in business, to grow the economy and to use the revenues from that investment to deliver the care and support for people across our society that we all value.  That can only be achieved by taking financial responsibility for our own future.
"There is a growing desire for Scotland to stand on it's own feet financially and a growing understanding that not only can we afford to do so but that in the current economic climate we cannot afford not to.
"With support increasing all the time I urge all those with an interest not just in economic growth, but in employment and delivering strong public services in the future to engage positively in this discussion and to join others in putting forward plans that will move Scotland's economy and our society forward."
Commenting on the growing criticism of the Calman proposals Ms Fabiani said:
"Despite the protestations of Labour it is increasingly clear that the Calman proposals are unacceptable and economically damaging.
"Instead of delivering the radical change and shift in responsibility argued for they would simply replace one ineffective and unworkable system with another.  Even the chair of Calman's expert finance group  - which did not write the proposal - accepts that changes to the UK tax rates will have a negative effect on Calman's proposals and would require mediation between the two Governments.
"Calman has been overtaken politically and economically and it is time to move on to real financial responsibility for the Scottish Parliament and a referendum on independence."