Rural Scotland People, Prosperity and Partnership
Prospects for Prosperity
The economy of many parts of rural Scotland is thriving, its population continues to grow and there are good prospects for continued prosperity. The task of Government is to provide the framework within which we live, to open the path to opportunity and to safeguard those interests which cannot defend themselves. In all parts of Scotland this involves balancing the needs of the economy, the social and cultural structure of our communities and the needs of our environment. The characteristic of rural life which separates it from that of the town is the balance between these. In the rural community, the land is the dominant influence. It is not surprising therefore if the economic activities of rural communities have often been linked to traditional ways of life in agriculture, crofting, fishing and forestry. But now these activities provide the stage on which newer businesses are growing, like tourism, small scale manufacturing and fish farming. In this chapter we review the way in which rural Scotland is growing and the new markets and opportunities to which it has access and its increasing contribution to competitiveness in Scotland and the UK. Major support is given by Government to enabling rural communities to enjoy prosperous lives, through encouraging competition and enterprise, through providing the transport infrastructure and in working to enable the basic systems of rural Scotland, like agriculture, to flourish. Rural areas are an integral part of the Scottish and wider economy. We cannot separate town and country, farmer and retiring incomer. The landscape of Scotland is the living reflection of many generations building successful communities on the natural resources which it provides, land and water, wind and rain, sea and sun; but above all people. These rural communities are the shapers and custodians of the land and they hold it for all of us, whether we go there as tourist, trader or to work.
LIVING OFF THE LANDRural Scotland is built on its traditional industries: agriculture and crofting, fishing and forestry. These shape the land and provide the foundation for other businesses like tourism and fish-farming which are of vital economic importance. But while the new industries excite attention we cannot neglect the role of the features of rural life which have shaped our countryside, and without which we will not be able to attract new investment.
EUROPEAN INFLUENCES
Over the next few years, Scotland's rural areas will be receiving more support from the European Structural Funds than ever before. During the 1993 review of areas eligible to receive Structural Funds across the European Community, we were successful in arguing the case for greatly extending Scottish Objective 5b coverage (to promote rural economic development) to include the whole of the Dumfries & Galloway and Borders Regions and large areas within Grampian, Tayside and Central Regions. In addition the Highlands & Islands were upgraded to Objective 1. Taken with an additional £16.5 million secured through the LEADER II Initiative (focused directly on rural development and, in particular, encouraging innovative approaches at local level), some £390 million of European Community support will be made available for boosting rural economic development in Scotland over the period until 1999. This contribution from the European Community will only part fund projects. It must be, at least, matched by project sponsors in the eligible areas, bringing the total value of the programme to around £800 million. These sponsors will normally include local authorities, local enterprise companies, Scottish Natural Heritage, further education colleges and voluntary sector organisations. The initiative for proposing and developing potential European funded projects lies with the local community and these potential funders. European aid will be targetted at the specific economic development needs of each eligible area but, in general, will focus on supporting small and medium-sized businesses and business infrastructure, tourism, training, communications, environmental action and agricultural diversification.
The ProspectsThe evidence is strong for a continuing lively economy in rural Scotland. Its pattern will change, still firmly rooted in the land, but becoming an economy more based on the delivery of services than on producing basic materials. It will succeed by continuing to exploit its natural assets, by exploring its diversity and by seizing the opportunities which are so clearly within its grasp.
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