Welcome but inadequate

THE announcement of a £1.5 million injection into the Sustainable Action Fund for local environmental improvements in Scotland has been welcomed by the Quarry Products Association, which has pledged to work with the Scottish Executive in the delivery of the fund.

However, despite this, the Association says it still has major concerns about the overall impact of the aggregates levy, from which the £1.5 million has been drawn.

QPA Scotland chairman Willie Paterson said: ‘We have been pressing for the introduction of a fund to benefit local communities in Scotland for many months and we are pleased that the Executive has responded positively to our campaign, which has been strongly supported by MSPs.

‘However, we need to acknowledge that the sustainability fund makes the effect of the aggregates levy only marginally less damaging in Scotland. The £1.5 million fund represents only 3% of the total aggregates levy revenue to be collected this year in Scotland.

‘Nevertheless, we welcome the opportunity to participate in using this money for the further benefit of the rural economy in which essentially our industry is based.’

Scotland’s total aggregate levy revenue amounts to £45 million, but after the gains made through the sustainability fund (£3 million over the next two years) and reductions in employers’ National Insurance contributions, the country is still expected to lose out by some £12–14 million per annum. In contrast, South-East England is expected to gain around £70 million a year from the levy.