Seòmar agus comataidhean

I will quote a business in my constituency. It has said:

“We have not signed the contract with Circularity Scotland. Our solicitors said we would be at risk of being derelict in our duties as directors as we would be signing a contract without due care. We have not been given terms and conditions and have not been given any costs from SEPA or Circularity Scotland.”

Would the minister comment, please?

I thank the member for bringing the debate to the chamber. I add my voice to those who recognise and applaud the stoicism and determination of many in the hospitality sector, including pubs, small hotels, restaurants and similar venues in the Borders and Midlothian, which with Covid funding—although not all received it—adapted as the epidemic progressed and somehow managed to stay afloat.

I am thinking of one place in particular, in Peebles: the Central Bar in the Northgate—a small freehold pub, almost like someone’s living room. It had a hard time during Covid because it did not have the space to provide food and therefore missed out on support. It had its regulars, for whom it was more than a place for a wee bevy—it was their social life. Undaunted by virtual closure, the proprietor took the time to redecorate and added hanging flower baskets outside. If members visit its website, they will see what a cheery place it is after his efforts during Covid.

Now, thankfully, we all look forward to more normal times across spring and into summer. Indeed, a by-product of Covid was the popularity of the staycation and the enjoyment of simple pleasures such as taking a walk to a local cafe or pub. I think that it made us all appreciate what was on our doorstep, which also means that we are supporting our local communities.

Particularly in rural areas, such venues are part and parcel of the community, and they often play a large part in raising funds for charities. With regard to rates, there is, of course, the small business bonus scheme, with some—depending on rateable value—paying no rates and others paying a proportion. For decades, that policy has helped small businesses. There is also rural rates relief for businesses in designated rural areas, start-up benefits and so on. All of that distinguishes the Scottish non-domestic rates from the English system, so I do not support the call for 75 per cent business rates relief, as many small businesses already receive a 100 per cent discount. It is like comparing apples and pears.

The Scottish Government continues to pursue the Tied Pubs (Scotland) Act 2021, which is currently blocked by an interim interdict while an appeal against the judicial review that had been won by the Scottish Government goes through the court process. Success in resisting that appeal would redress the current imbalance that acts against tenant landlords.

However, one issue that I agree will cause difficulties is the deposit return scheme, whereby small, pubs, hotels and so on will not charge customers the 20p levy but will instead be required to store the empties to be collected, when the money will be recouped. Where will those empties be stored? I can think of several small businesses in my area that simply cannot store them.

There is also the high cost of energy, which is devastating for hospitality in Scotland. Any hotelier, publican or restaurateur today will tell you that that is the biggest issue that they face. It is not included in the Tory motion, which is therefore like a curate’s egg—only good in parts—although I note that the member made passing reference to the cost of energy and rising costs in his opening speech. We have 10 per cent inflation and, indeed, 17 per cent food costs inflation, which are by far the biggest hits on hospitality.

I conclude by recognising and thanking all those small hospitality businesses in my constituency for soldiering on through Covid, often with the support of their communities.

Just a little bit of history: it was, in fact, the Conservatives, through Derek Brownlee, in negotiating a budget many years ago, who introduced the small business bonus scheme, which the Scottish Government was happy to accept. Gone are those days.

Will the member take an intervention?

Don’t!

Previously, I raised the concerns of craft breweries, such as Broughton Ales and Traquair House Brewery, as well as those of Dryden Aqua glass recycling company—all in my constituency. Today, I add the concerns of Villeneuve Wines, a wine retailer in Peebles, which is also in my constituency. All those companies are at a loss with regard to the deposit return scheme—they are confused by it. How flexible will Circularity Scotland be regarding registrations in those circumstances?

Will the member give way?

Michael Marra (North East Scotland) rose—

On uncertainty for businesses, I raised my concerns about craft brewers at Traquair earlier.

Dryden Aqua, which is an existing successful glass recycling company in my constituency, recycles glass into eco-friendly water filtration systems. According to Circularity Scotland’s rules, its business is not a recycling business. Nobody has mentioned existing recycling businesses yet. Does Daniel Johnson agree that that is yet another example of a reason why the scheme must be paused, particularly with regard to glass?

Does the member include in his list the existing glass recycling companies in Scotland, which had to seek a meeting with Circularity Scotland as it had not reached out to them?

Will the member give way?