Scot Lib Dems raise alarm over sluggish new business growth

The number of new businesses created in Scotland still has not recovered to pre-pandemic numbers, according to figures released by the Office of National Statistics (ONS) and highlighted by Scottish Liberal Democrats.

The statistics show that business births from 2023-25 remain 8 percent lower than they were in the three years prior to the Covid-19 pandemic.

Scottish Liberal Democrat finance and economy spokesperson Jamie Greene blamed the SNP Government’s poor record of promoting economic growth and productivity and called for more help for entrepreneurs.

During the budget negotiations, Scottish Liberal Democrats secured £2.5million for young entrepreneurs and £70 million for Scotland’s colleges to help ensure business-minded young Scots have the resources and skills they need to start and grow firms.

However, to obtain Scottish Liberal Democrat support for the budget, ministers will also have go further on business support following recent revaluations which have hiked business rates for many, particularly in the hospitality and accommodation sectors.  

Scottish Liberal Democrat finance and economy spokesperson, Jamie Greene, said:

“Years on from the COVID-19 pandemic, new business creation in Scotland is still not back to where it was in the years before.

“This is deeply concerning as business births are a key indicator of both economic health and investor confidence, both of which are clearly suffering under the SNP. The Nationalist government has been side tracked for years, and has lost focus on what Scotland really needs; strong economic growth.”

“The Scottish Government must act immediately to restore faith in the Scottish economy by sorting out business rates, supporting small businesses, encouraging start-ups, and letting entrepreneurs know that Scotland is open for business.”