The Scottish Property Federation has called on the government to work with industry to unlock potential for economic growth in the country.
At its annual conference in Edinburgh, the SPF said that a drop in construction orders by more than a third since 2007 had led to the economic output from commercial property across Scotland falling by more than £2bn.
Chairman David Peck said: “Commercial property is an important bellwether for the Scottish economy. The health of the industry is down by every measure – be it new orders, sales or lettings. Government support for initiatives such as tax increment financing and encouraging flexible developer contributions policies by local authorities is very welcome, but we are asking the government to go further to boost confidence in this key sector.
“The commercial property industry has been hit harder than most sectors during this recession, losing around a third of its workforce and reducing its contribution to the economy by more than £2bn. The SPF is urging the Scottish government to do what it can to help us unlock economic growth and development in order to deliver a strong private sector that will in turn support key public services.”
He said he wanted a step change in reforming the planning system, alongside no increase in the cost of empty property rates and incentives to support economic development including exemption from rates for speculative development for new commercial property.
lisa.pilkington@estatesgazette.com
