Controversial Scottish freeport opens for business

The Forth Green Freeport, including sites in Fife, the Lothians, and Falkirk, opened on Wednesday after receiving approval from both the UK and Scottish governments. The scheme will provide firms conducting business in the sites with tax exemptions, as well as certain exemptions from tax duty. Long-time opponent of the scheme Green MSP Ross Greer told The National: “There’s nothing green about these freeports, no matter how strongly the other parties try to claim otherwise.

“The reality is that these mini-tax havens were imposed from Westminster[2] by the Tories[3] and, instead of opposing them, the SNP[4] rolled over and allowed them to go ahead. “The Scottish Greens[5] were the only party to oppose the resurrection of the Thatcherite freeport gimmick and we will continue to do so. “They consistently attract serious organised crime, particularly money laundering and smuggling.”

Freeports have been brought in across the UK, however Scotland’s freeports have been developed as “green” ones. The aims of the green freeports are, according to the Scottish Government: regeneration and job creation, decarbonisation and supporting the just transition, establishing global trade and investment hubs, and fostering an innovative environment. Proponents, including the Scottish Government, say that the freeport will bring billions of pounds of investment and tens of thousands of jobs to the Forth Valley.

Several firms have already expressed interest in setting up shop in the tax-free zone, including wind turbine manufacturer Vestas. Dame Susan Rice, the chair of Forth Green Freeport, said: “This is it, Forth Green Freeport is officially open for business.

“It is an important time for the Green Freeport as we move through the business case development phase to delivery for Scotland. “Through innovations in offshore wind manufacturing, assembly and commissioning, alongside innovative shipbuilding, modular assembly and hydrogen manufacture, the country’s net zero targets can be boosted by Forth Green Freeport. “This is a long-term project and one which we know will deliver real benefits to the local communities through economic growth, skills re-training and training and access to high quality, green jobs.”

However, doubt about the benefits of freeports have been expressed across Scottish society, with concerns being illustrated by a five-day series in The National in April[8]. Trade unions have expressed concerns that workers rights could become degraded in the freeport areas. STUC chair Roz Foyer told The National in April[9]: “More than a year on from the announcement, we are still no clearer on what these freeports will mean for workers on the ground.

“Unions have consistently pressed the government on how they will enforce fair work standards across the sites, in addition to ensuring all workers across the ports will receive at least the Real Living Wage.” Gillian Martin MSP, then energy and environment minister, pushed back against these concerns, saying that fair work assurances were “baked into the contracts” for the schemes. For its part, the public-private partnership behind the Forth freeport said the plan could create “up to 38,350 well paid jobs”, but did not illustrate what qualified “well paid”.

The freeport is one of two introduced in Scotland, with the other being located in Inverness and Cromarty.

References

1. ^ Rishi Sunak lists ‘forces of separatism in retreat’ as a Tory ‘achievement’ (www.thenational.scot)
2. ^ Westminster (www.thenational.scot)
3. ^ Tories (www.thenational.scot)
4. ^ SNP (www.thenational.scot)
5. ^ Greens (www.thenational.scot)
6. ^ Met Police cite human rights law in bid to stop anti-monarchy protest (www.thenational.scot)
7. ^ Five key points from The National green freeports series (www.thenational.scot)
8. ^ five-day series in The National in April (www.thenational.scot)
9. ^ Roz Foyer told The National in April (www.thenational.scot)