Plans to allow large chain stores to join a local shopping loyalty scheme have been attacked for ‘putting money into the pockets of giant businesses’.
Argyll and Bute Council joined the Scotland Loves Local programme, aimed to keep people shopping in their local area, and recently announced that thousands of people would have £120 loaded onto their cards, costing a total of almost £800,000.
But Helensburgh Cllr Fiona Howard said allowing larger stores to take part would be to the detriment of smaller, independent retailers.
A council official said supermarket Morrisons and pharmacist Boots have signed up to the initiative.
Earlier this year small businesses in the Helensburgh area were encouraged to make videos as ‘business ambassadors’ to promote the scheme, saying afterwards they thought it as to support small shops recovering after the Covid-19 pandemic.
Cllr Howard told council’s policy and resources committee yesterday: “I have been inundated by local businesses about the issuing of this card.
“These are local businesses who have signed up and been promised money will be spent in local businesses.
“It now seems that Farmfoods, Morrisons, Tesco, Aldi and Marks and Spencer have been allowed to sign up.
“There is a great deal of anger that money spent on these cards is most likely to be spent there, and will go into the pockets of giant businesses.
“According to the council website, the Argyll and Bute gift card works in the same way as a gift voucher. Allowing big businesses to sign up for it seems completely contrary to what has been said before. It seems unfair and illogical.”
Fergus Murray, the council’s head of economic growth, responded: “If you go back to the original discussions and reports, it was always pointed out the scheme was for any business in Argyll and Bute.
“It was specified in the report approved by members – larger chains in the area and independent shops.
“What we are rolling out is a national scheme backed by the Scottish Government. It is directed at bricks and mortar properties within a particular area.
“That is how it was spelled out to members. We have nearly 200 businesses signed up to them. In terms of corporate businesses, we have Morrisons and Boots signed up and I think we have Aldi as well.
“The card can only be used in these properties within Argyll and Bute, so you cannot take it and use it in Morrisons in Falkirk or Edinburgh. Morrisons employs 120 people in the Helensburgh area.
“This has been raised with businesses. We are continuing to speak with them but it has been made clear that any business in Scotland can register.
“They have to be within Argyll and Bute to use the Argyll and Bute shop local card.”
Cllr Howard then said: “It is of absolutely no benefit to smaller businesses, who were looking forward to the boost. This is a Covid recovery fund.”
Conservative Cllr Yvonne McNeilly said: “I understand what Councillor Howard is saying, but Fergus has pointed out that Morrisons is in Helensburgh, and there is one in Dunoon as well, which employs a large number of people.”
And independent Cllr Alastair Redman added: “Before I entered local politics, I was a smaller business proprietor and I agree efforts should be targeted at smaller businesses and encourage people to spend there.
“That said, it is always worth pointing out that in my council ward, a great number of international companies invest. It is up to the consumer to decide where they spend their money.”
Morrisons has been approached for comment.
Poor people can pay for their once a year big Christmas Dinner in the supermarkets which are cheaper for them . It’s giving THEM the choice and an extra saving to spend in smaller shops NOT signed up to the scheme. It’s fair enough and the peoples own money, not the protesters. The freedom of the individual!