Grant Thornton in Scotland urges Chancellor to focus on sustainable post-Brexit growth in Autumn Statement

As Chancellor, Philip Hammond, prepares to deliver his first Autumn Statement, Grant Thornton in Scotland has created a ‘wish list’ of priorities focused on delivering sustainable growth north of the border, amid a climate of economic and political uncertainty.

The leading business and financial advisory is calling for greater collaboration between Holyrood and Westminster, with a shared vision focused on stimulating economic activity, simplifying the tax system, working in partnership with the public sector and fueling future success with greater support for entrepreneurship and skills and apprenticeships.

Recent research from Grant Thornton revealed many business leaders were comfortable foregoing tax reductions in favour of greater certainty, stability and simplicity. The findings suggest that any measures aimed at cutting taxation should focus on encouraging growth by increasing productivity and reducing some of the burdensome costs of employment. Steps have already been taken by the UK Government to reform Britain’s heavily outdated tax system. But, much more could be done to create a world renowned system of taxation which stimulates success with incentives such as tax credits for businesses seeking global export opportunities, and increased support for Scotland’s rapidly growing start-up and SME community.

Ongoing discussions over the future of the Scotland’s relationship with both the UK and the European Union, and the recent US election have created increased uncertainty in the Scottish business community. Any prolonged period of anxiety can slow growth and cause long term economic damage. Therefore, a focus on ‘spades in the ground’ projects, tackling immediate chronic infrastructure issues, from roads to railways and housing, would be broadly welcomed. While the Chancellor cannot provide all the answers to ease the growing sense of anxiety, the Autumn Statement offers the Government a golden opportunity to offer some degree of reassurance and stability.

Vishal Chopra, head of tax at Grant Thornton in Scotland, said: “With no clear plan yet in sight following this year’s Brexit referendum, and the result in the US Presidential election, there is a real sense among everyone – not least Scotland’s business community – that some reassurance and certainty is required to stabilise economic conditions and provide a positive sense of direction.

“Trust must be at the heart of this year’s Autumn Statement and I would hope to see the Chancellor placing an emphasis on building bridges and relationships between the business community, political world and the third sector. That trust must extend to Holyrood. Iit is key that all political leaders cast aside their differences and work collaboratively to avoid creating long term economic damage.

“2017 could be the year of disruption that many have predicted. The Chancellor has an opportunity to make the Government’s case that both Scotland and the UK remain open for business and ready to take on the challenges that lie ahead.”