Hospitality bodies have welcomed Scottish finance minister Derek Mackay's recommendation to extend the 12.5% business rates cap.
The Scottish Tourism Alliance (STA), British Hospitality Association (BHA) and Scottish Licensed Trade Association (SLTA) have said they are "encouraged" by Mackay's response to the Barclay Review. Mackay recommended the cap for hospitality and licensed trade businesses be extended for 2018/19.
Mackay supported a continual review of how business rates are calculated to create a fairer system for all businesses, irrespective of size or ownership.
He also proposed to reduce the revaluation term from five to three years to sit more in line with market trends. The hospitality coalition said this "will offer reassurance to our industry during this period of political and economic unknowns as we head towards our Brexit date".
The Barclay Review, overseen by former RBS chairman Ken Barclay, called for an overhaul of business rates but stopped short of recommending a new system, prompting disappointment from hospitality industry bodies.
The STA will announce the results of its research project, ‘Tourism & Hospitality: the Growing Costs of Doing Business' at its Autumn conference and annual general meeting on 3 October.
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