BORDERS business are set to get a boost thanks to a new economic development body for the South of Scotland.

The South of Scotland Enterprise Agency has been set up by the Scottish Government to help recognise the unique challenges companies face in the region.

The plans were announced in a report today (Tuesday) and have been welcomed across the Borders.

Councillor Stuart Bell, SBC's Executive Member for Economic Development, told us: "The Scottish Government’s proposal to create a new, dedicated south of Scotland vehicle to meet the needs of the region is a very welcome recognition of the issues that we face here, and the enhanced support that rural areas need.

"The equivalent body in the north of Scotland – Highlands and Islands Enterprise – has contributed greatly to economic and skills successes in that region, and I hope that the new body in the south of Scotland will also have an equally significant impact.

"As a Council we are fully committed to supporting and developing our local economy and developing the skills of our local people, and through the South of Scotland Alliance have sought with our partners to push for as much national support as possible," he added.

The body will offer support local businesses to help them make the most of what they have available.

Gordon Henderson, Senior Development Manager at business experts FSB said: "The establishment of a new body to focus on the economic development of the South of Scotland will be welcomed by small business owners.

"This new body will be able to build on the work already undertaken by the South of Scotland Alliance to address the challenges facing businesses and communities in the Borders and Dumfries and Galloway.

"Helping businesses and communities to maximise the benefits of the Borders Railway and exploring the case for extending it towards Hawick and Carlisle will no doubt be high on the new enterprise body’s agenda," he added.

"Having an enterprise body based in the South of Scotland, that is knowledgeable about issues faced by businesses located there, makes a lot of sense."

The formation of the new agency has also drawn support from Borders MSP John Lamont.

The Conservative member for Ettrick, Roxburgh and Berwickshire said: "I’m pleased that the Scottish Government has listened to the concerns of businesses in the South of Scotland. "There has been a feeling for some time that because of the unique challenges the Borders face, we need our own dedicated support agency for local jobs and local businesses.

"In April, my party called for a South of Scotland enterprise agency, with a budget of £25million and I’m pleased the Scottish Government have now adopted this policy.

"A dedicated support agency has the potential to stimulate growth in the local economy, but more needs to be done to help struggling high streets in the Borders."