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CBI 'disappointed' by ministers CBI 'disappointed' by ministers
(about 1 hour later)
Scottish government ministers have been accused of "disappointing behaviours" by the director of CBI Scotland.Scottish government ministers have been accused of "disappointing behaviours" by the director of CBI Scotland.
Iain McMillan claimed the actions of some Holyrood ministers "call into question the sincerity of their support for the economy and business".Iain McMillan claimed the actions of some Holyrood ministers "call into question the sincerity of their support for the economy and business".
Mr McMillan gave the government credit for some "policy successes" in 2009, like changes to the planning system.Mr McMillan gave the government credit for some "policy successes" in 2009, like changes to the planning system.
A Scottish government spokesman said ministers were "absolutely clear on the scale of the economic challenge". Finance Secretary John Swinney claimed Westminster had cut his budget, leaving him with "very tough decisions".
In a new year message, Mr McMillan said the "disappointing behaviours" needed to be "a thing of the past" in 2010.In a new year message, Mr McMillan said the "disappointing behaviours" needed to be "a thing of the past" in 2010.
He reiterated his views during an interview on BBC Scotland's Good Morning Scotland programme.He reiterated his views during an interview on BBC Scotland's Good Morning Scotland programme.
Rail link We have focused the priorities of the public sector and the priorities of government on improving the Scottish economy and we do that in very challenging times John SwinneyFinance secretary
Mr McMillan said: "I have given them [the Scottish government] praise for levelling the business rate with England, for the development of the M74, the M80 and quite a few policies that they have got right."Mr McMillan said: "I have given them [the Scottish government] praise for levelling the business rate with England, for the development of the M74, the M80 and quite a few policies that they have got right."
But he added: "I think there have been a lot of negatives as well, for example the cancellation of the Glasgow Airport rail link and the Scottish government's refusal to countenance nuclear energy in Scotland.But he added: "I think there have been a lot of negatives as well, for example the cancellation of the Glasgow Airport rail link and the Scottish government's refusal to countenance nuclear energy in Scotland.
"There's been the minister's criticism of Diageo - an international company that needs to remain competitive, that needed to take steps to do that whilst at the same time investing £100m in the future of the whisky industry in Scotland.""There's been the minister's criticism of Diageo - an international company that needs to remain competitive, that needed to take steps to do that whilst at the same time investing £100m in the future of the whisky industry in Scotland."
Mr McMillan praised the government for speeded-up payments
Mr McMillan argued that the government "must do more for business and the economy if it is to have any real chance of achieving its primary goal of raising Scotland's growth rate to the UK level by 2011".Mr McMillan argued that the government "must do more for business and the economy if it is to have any real chance of achieving its primary goal of raising Scotland's growth rate to the UK level by 2011".
The CBI Scotland chief called on ministers to "put in place policies that promote, rather than hinder, economic growth".The CBI Scotland chief called on ministers to "put in place policies that promote, rather than hinder, economic growth".
A Scottish government spokesman pointed to the economic recovery plan which had been put into place by ministers. 'Damning critique'
"Key elements, as the CBI rightly acknowledge, are our ongoing measures to improve the planning and regulatory systems, ensuring they are an aid and not a barrier to economic growth," he said. Speaking on BBC Radio Scotland's Good Morning Scotland programme, Mr Swinney said: "I have to live within my means and the Westminster government has cut my budget for the first time in real terms since devolution.
"Our procurement reforms - the way we buy goods and services across the public sector - have saved over £300m since 2006." "As a consequence I have to take supplementary decisions, and as a consequence reluctantly I had to cancel the Glasgow Airport Rail Link.
'Reckless decision' "I had to do that because I have to live within a fixed financial budget, I cannot break that budget. Everybody else can go around arguing for a limitless number of projects to be undertaken, I have to put the money on the table for those projects."
The spokesman said accelerated spending had helped to support more than 5,000 jobs in Scotland. He also hit back at Mr McMillan's claims that ministers had been "shouting and bawling at Diageo".
But he hit out at Chancellor Alistair Darling, claiming his "refusal" to allow Scotland to bring forward further accelerated funding next year was "a reckless decision that threatens our economic recovery". Mr Swinney said: "On no occasion did we shout down the company. We engaged in dialogue with the company about how they were going to structure their future within Scotland."
The spokesman went on: "In addition, the Treasury's unprecedented £500m reduction in our capital budget has seen the reluctant cancellation of the Garl branch line as a direct result." Mr McMillan praised the government for speeded-up payments
He also insisted the government was determined to get value for money on public infrastructure projects, which was why ministers had set up the Scottish Futures Trust. And he stated: "We have focused the priorities of the public sector and the priorities of government on improving the Scottish economy and we do that in very challenging times.
"In 2009 there were a whole range of policy successes that were welcomed by the business community and delivered by the SNP government."
Labour described the CBI's message as a "damning critique".Labour described the CBI's message as a "damning critique".
Economy spokesman David Whitton said: "It is clear that businesses are delivering a vote of no confidence in the SNP.Economy spokesman David Whitton said: "It is clear that businesses are delivering a vote of no confidence in the SNP.
"The SNP government is just not doing enough to support business and create jobs.""The SNP government is just not doing enough to support business and create jobs."
For the Scottish Conservatives, Derek Brownlee said: "As Scotland struggles with Labour's recession the SNP Scottish government has to work with the UK government to help the economy recover.For the Scottish Conservatives, Derek Brownlee said: "As Scotland struggles with Labour's recession the SNP Scottish government has to work with the UK government to help the economy recover.
"In government, Alex Salmond and the SNP have shown little sign of being business friendly - they are a party which, as their recent conference showed, is openly hostile to the private sector.""In government, Alex Salmond and the SNP have shown little sign of being business friendly - they are a party which, as their recent conference showed, is openly hostile to the private sector."