Growth in sales for small and medium-sized businesses (SMEs) in Scotland was welcomed yesterday despite a slight contraction in the retail sector as a whole.
The Retail Sales Index for Scotland reported that sales volumes for small and medium stores increased by 1.7% between the third quarters of last year and this one.
But overall retail sales in Scotland decreased by 0.3% during the third quarter of this year, although they have grown significantly over the past five years.
Scotland’s Finance Secretary John Swinney hailed the growth seen in the SME sector, which followed a Scottish Chambers of Commerce survey which revealed retailers were increasing hiring and are expecting stronger profitability over the next year.
Mr Swinney said: “We are working hard to support Scotland’s retailers including delivering the most competitive business tax environment anywhere in the UK, with more than 96,000 properties across all sectors of the Scottish economy now paying zero or reduced business rates through this scheme.”
The Town Centre Action Plan was also supporting economic growth, he said, and strengthening the Scottish Government’s commitment to regenerating high streets.
However, Scottish Retail Consortium director David Lonsdale was less positive about the situation and said he hoped Christmas would provide a much-needed tonic for the sector as a whole.
“The dip in retail sales in the third quarter, after two consecutive quarters of growth this year, and flat performance over the year as a whole is disappointing, and mirrors the findings of our own Scottish monitor,” Mr Lonsdale said.