When it comes to Highland business, here's what should be at top of new First Minister's to-do list once dust settles on leadership contest

Few would argue with any government that wishes to create ‘a more prosperous, fairer and greener economy that works for everyone’, which is exactly what the Scottish Government seeks to do in its National Strategy for Economic Transformation (NSET), published last March. Fine words, but as well we all know, it’s not the words that matter; it’s the actions that result from them that count.

Smaller businesses are the engines of the economy and the stronger the economy the more that can be done. However, instead of the whole country pulling together to create a better Scotland, many smaller businesses, and especially those in the Highlands & Islands, now find themselves feeling alienated and in despair.

The problem centres largely on the Scottish Government’s new or proposed regulations: Short-term Lets Licenses, the Deposit & Return Scheme, restrictions on the advertising and promotion of alcohol, Local Visitor Levies, and Highly Protected Marine Areas (HPMAs). All are being imposed on businesses and all will impact disproportionately on the Highlands & Islands given the nature of our economy.

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Many believe that this problem has arisen because power has been increasingly centralised in Holyrood, with the result that today’s politicians and policy-makers can be too distant from the businesses, economies and communities most affected by their decisions. Worse still, when they do consult, they appear not to heed the results but to plough on with their original plans regardless.

So, what’s the answer? What should the new First Minister do to win the confidence of the business community and get Team Scotland pulling together to create a country that works for everyone?

First, all of these regulations should be put on hold pending mutually respectful discussions between Holyrood and businesses to establish just where the dangers lie, and their consequences if they go unchecked. Then the regulations should be altered to ensure that they work both for the environment and for businesses, economies and communities.

But how to avoid problems like this recurring? First, we need a new ‘active listening’ culture in Holyrood – one that ensures that the voices of smaller businesses really are listened to and fully taken on board. And second, the Highlands mustn’t be disadvantaged by Central Belt-centric policies. ‘Island proofing’ is designed to ensure that new policies and legislation take account of island economies and communities; surely the time is now right to extend this proofing to cover mainland Highland and Argyll?

David Richardson is the Highland development manager for the Federation of Small Businesses.

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