My heart and passion lie in the Highlands. I live and work here, and I want nothing more than to see this region thrive. I see opportunities everywhere – across tourism, hospitality, renewables, space, construction, and more.

Yet, despite the potential, we need to do far better in making the Highlands as business friendly as possible.

Encouragingly, recent research by Highlands and Islands Enterprise shows business confidence is on the rise. More than half of businesses surveyed expressed optimism, up from 44% at the end of last year, and nearly half are actively pursuing growth. That’s a positive sign that ambition is alive and well.

But optimism alone isn’t enough. The same survey also found that 80% of businesses are being held back by economic conditions, and 78% are struggling with the rising cost of doing business. These are not small challenges, and they are magnified in rural and island areas.

I know this firsthand. I run two businesses here: Melvich Bay Caravan Park, 17 miles west of Thurso, and GMG Energy, a sawmill in Caithness. Setting up and running both ventures has brought rewards, but also plenty of hurdles.

Bureaucracy and red tape are part and parcel of the journey. My team and I have succeeded because we’ve been tenacious and hard-working. But if experienced operators like us find it difficult, how can we expect first-time entrepreneurs to navigate the same obstacles?

One of the biggest issues I believe is mindset. Too often, commercial thinking is lacking, and that makes it harder to move projects forward. This is not about cutting corners, but about creating a culture where business growth is encouraged.

Connectivity remains another major barrier. In today’s world, customers expect 24/7 access to services and communication. Yet broadband and mobile coverage across the Highlands still fall short.

At our sawmill, we’ve invested in Starlink to make sure we can compete, and while it’s excellent, it’s expensive and has capacity limits. With advances in technology, there’s no reason rural businesses should be left behind but we need investment now, not in five or ten years.

The HIE survey also highlights the importance of workforce, wellbeing, and premises as development priorities, alongside new domestic market opportunities. That matches my experience. Recruiting skilled people remains a real challenge, and when labour costs are rising and housing is scarce, it becomes even harder. If we don’t address this, we risk losing out on the very growth that is within reach.

And yet, there is so much potential here. Tourism continues to show promise, renewables are booming, and industries like construction and space are emerging as major opportunities. We shouldn’t ignore the fact that 65% of businesses see opportunities in tourism and 53% in renewables. That aligns with what I see every day: people want to invest here, they want to build here, they want to live here.

Access to funding is critical. If a business can demonstrate long-term benefits to the community and economy, then support should follow.

At Melvich Bay Caravan Park, for instance, we want to install a blue-water disposal site for motorhomes. It’s the right thing to do – environmentally, socially, and economically. It would help keep the North Coast 500 clean, and while it may boost our bookings, the wider gain is far greater.

Without it, there’s little chance of such a facility being installed in the area any time soon. This is where Scottish Water, local authorities, and politicians must step up. Projects like these should not fall between the cracks.

The Highlands is not short of ambition, ideas, or opportunities. But if we want confidence to translate into growth, we must make it easier to do business here. That means cutting unnecessary bureaucracy, investing in infrastructure, supporting innovation, and working together, public sector, private sector, and communities.

The latest survey shows we are moving in the right direction, but optimism must be matched with action. If we can achieve that, then the Highlands won’t just be a beautiful place to live; it will be one of the most dynamic and business-friendly regions in Scotland.

Malcolm Morrison is director of GMG Energy and joint owner of Melvich Bay Caravan Park