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Budget votes a double blow to Borders economy

April 1, 2010 4:37 PM
Originally published by Scottish Liberal Democrats

New tax rules for furnished holiday lettings and the planned increase in fuel duty will come as a 'double blow' to the Borders economy according to local MP Michael Moore.

Speaking after the final votes on the measures in the House of Commons contained in last week's Budget statement, Mr Moore criticised the Government over their failure to support families in the Borders that have been hit by the economic downturn.

Under the Government's plans, fuel duty is set to rise by 3 pence over the next year and many local people have contacted Mr Moore recently to express their concerns over the impact of new tax rules on their self-catering accommodation businesses.

Commenting after the votes, Mr Moore said:

'Tourism and transport are two key elements of our local economy and these tax increases will come as a double blow to people in the Borders.

'With consumers in the many areas of the south of Scotland already paying well over the odds for their fuel another increase in duty was the last thing that we needed. In rural and more remote areas people are forced to rely on their cars to get around and this move will impact heavily on local families.

'Similarly, the changes to the tax rules around self-catering accommodation lettings will do little except pile on the misery for a number of small businesses in the Borders, many of which are already struggling to make ends meet.

'Instead of providing people with the help they need, Alistair Darling has brought forward measures that will take money out of our local economy and increase the hardships faced by businesses and individuals that have already been hit hard by the downturn.'

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