Scottish Building Federation chief executive Michael Levack has called for a reduction in the rate of VAT levied on building works to help recession-hit firms.
His call comes in the wake of a survey which found half of Scottish homeowners would spend more on building works if VAT were cut from the current rate of 15% (17.5% next year) to 5%.
Levack said: “Encouraging homeowners to spend more money on building works to improve their home would make a huge contribution towards sustaining the jobs of thousands of apprentices and tens of thousands of other construction workers in Scotland.
“Cutting VAT on the services provided by legitimate building firms would eliminate the competitive advantage of cash-in-hand cowboy builders, helping to drive them out of the industry for good”