Elgin’s only shopping centre, the St Giles Centre, is at risk of closing after Moray Council announced it is taking legal action to recover hundreds of thousands of pounds in unpaid business rates. The owners of the shopping centre, located on Elgin’s High Street, reportedly owe the council around £750,000 in fees that have accumulated over several years.
A spokesperson for Moray Council said it had “exhausted all reasonable avenues of support” and that it was their duty to retrieve the “significant sum of arrears.” Local councillors have expressed concern over the potential closure, warning that it would be a “devastating blow” for Elgin’s economy.
The St Giles Centre has been a fixture in Elgin for 33 years and is currently home to several well-known retailers, including Argos, Waterstones, WH Smith, and Subway. However, the mall has faced significant challenges in recent years, with many units now empty following the departure of major retailers such as Monsoon, Mountain Warehouse, and Superdrug.
Councillor Marc Macrae, chair of the council’s economic development and infrastructure committee, said: “It must be frustrating for other businesses that are paying their non-domestic rates to know that a fairly large one is not paying theirs. This has been going on over a number of years, and the council has been working with the centre so payments were affordable to them. But this is significant arrears and the council has a duty to be equitable.”
Non-domestic rates, also known as business rates, are a property tax collected by local councils to fund essential services. The Scottish government sets the rates while councils are responsible for collecting them.
Councillors discussed the issue in a closed-door meeting in October. A motion to delay pursuing the debt until after Christmas was defeated by 15 votes to 5. SNP councillor Jérémie Fernandes expressed disappointment with the decision, stating: “A closure of St Giles Centre, with potential job losses, would be a devastating blow for Elgin, particularly at a time when investment is finally coming to the town centre.”
Moray Council reiterated its commitment to supporting local businesses but stressed that recovering unpaid rates was necessary for fairness and sustainability. The future of the St Giles Centre now hangs in the balance as legal proceedings move forward.
