Cunninghame North MSP Kenneth Gibson states that the Scottish Government is providing £200m more in business rates this year, after concerns were raised about the impact of tax hikes on local businesses last month.

Asked by the 'News' if the 12.5% cap on increases in the hospitality sector will stay in place in future years, Mr Gibson replied: "No one can predict at this stage what the situation will be next year. However, stability is highly desirable and therefore the removal of support highly unlikely. And of course, any changes require to be voted in by Parliament."

The Cabinet Secretary for Finance, Derek Mackay MSP, in response to a question in the Scottish Parliament last Thursday from local MSP Kenneth Gibson, has confirmed that almost half of all business properties in North Ayrshire will be exempt from rates from 1 April.

Mr Mackay stated: “The small business bonus scheme provides 100% rates relief to around 2,100 properties in North Ayrshire in 2016-17 and is estimated to provide 100% relief to around 2,300 properties in 2017-18.”

Commenting, Kenneth Gibson said: “No property with a rateable value of £15,000 or less will pay rates from April. The previous threshold was £10,000 and the increase means that of the 5,009 business properties in North Ayrshire, some 2,300 will pay no rates at all from 1 April, an increase of 200.

“This exemption, combined with a 3.7% cut in the rates poundage, increase in the large business supplement threshold from £35,000 to £51,000 and a 12.5% cap on increases in the hospitality sector, means that 46% of businesses in North Ayrshire will pay nothing, 26% the same or less and 28% more following revaluation. Following revaluation, business can appeal if they consider their rates bill is too high. Unlike in England, there are no charges imposed on businesses that appeal their rates in Scotland.

“The package of rates support for businesses next year will be £660 million across Scotland - £199.6 million more than last year.”