Apr 16 2010 by Gordon Bannerman, Perthshire Advertiser Friday
Dear Editor, – Labour’s plans to increase national insurance by 1% will hit businesses in Perthshire and comes at exactly the wrong time in the economic cycle.
This is our strongly held view and between us we employ over 3,000 people and run many of Perthshire’s small and medium sized businesses.
In a personal capacity, we welcome Conservative plans to stop the proposed increase in national insurance by cutting Government waste.
In the last two years, businesses in Perthshire have cut their costs without undermining the service they provide to their customers. It is time for the government to do the same.
Few would argue the state cannot become more efficient. In the last few years, the private sector has improved its productivity by around 20 per cent, while productivity in the public sector has fallen by three per cent.
Savings can be made by removing the blizzard of irrelevant objectives, restrictive working practices, arcane procurement rules and government interference. The Conservative’s announcement marks the beginning of this debate. As taxpayers we would welcome more efficiency in government.
As businessmen we know that stopping the national insurance rise will protect jobs and support the recovery.
A reduction in government spending is coming to Scotland, no matter who wins the election. It would be dishonest and economically irresponsible to state otherwise.
However, cutting government waste won’t endanger the recovery – but putting up national insurance will.
Mrs Paula Tabourel; owner, Breizh Restaurant and Sante Restaurant; Geoff Brown; chairman, GS Brown Construction; Allan Proctor; managing director, A. Proctor Group; John Ferguson; owner, Lamb & Gardiner; Eddie Anderson; Royal George Hotel; Angus MacDonald; executive chairman, SWR; Charles Arbuthnott; managing director, Sidey; Michael Dobson; managing director, Sidey; Mike Martin; owner, Tay Racers; George Taylor; owner, Taypack Potatoes; Jim Stewart; owner, Stewarts of Tayside; Alan Bannerman; partner,Red House Hotel; Douglas Cameron; owner and chairman, Cameron Motor Group; Stewart Wishart; owner, The Dome Restaurant; Paul Shields; director of Symphony Hotels & Leisure.