Scotland could bring in a new generation of entrepreneurs and millions of pounds in investment if it introduced a “Beckham tax break”, according to a new report.

Research by the Scottish Scale-up Panel says Scotland should emulate Spain’s success in offering new non-residents a period of lower income tax.

Former Manchester United and England international David Beckham benefited from a lower rate when he moved to Real Madrid in 2003.

Non-residents pay just 24% rate on their Spanish income on Spanish-sourced income up to €600,000 for up to six years compared with a Spanish income tax rate of up to 47%.

When the Special Expatriate Tax Regime was formally passed in 2005 it became known as the Beckham tax break and it encouraged many entrepreneurs to move to the country, some creating substantial businesses.

The Scale-up Panel is chaired by former Skyscanner chief financial officer Shane Corstorphine, believes that Scotland needs more entrepreneurs with talent to take the tech sector to the next stage.

The report states that while widely known for its impact on football, the real significance of Spain’s tax break lay in creating a more competitive environment for companies to recruit global executives, technologists and specialists.

“The policy demonstrated how a clear, well-branded intervention can make a country a more attractive base for high-growth businesses,” says the report.

Following criticism, professional athletes were excluded from the scheme in 2010, but the regime continues today for skilled workers and business leaders.

The authors noted other initiatives overseas that may provide lessons for Scotland’s scale-up community.

France launched La French Tech in 2013, creating a unified national brand, targeted scale-up support and international diaspora hubs. This drove record venture funding, 25+ unicorns, and made Paris a top five EU start-up ecosystem.

Cyprus introduced a targeted expatriate tax regime, using generous incentives to attract highly skilled professionals and entrepreneurs, building a position as a hub for international business and technology.

Sweden embedded governance and export strategies into growth policy, helping firms scale globally while keeping HQs domestic.

Estonia built a digital-first economy and e-residency model that enabled entrepreneurs anywhere in the world to access the country’s digital services. It generates income for Estonia through company registrations, taxes, and associated services while creating new international business linkages. The scheme has been so successful that if counted as a population, e-residents would form Estonia’s second largest “city.”

Other ideas from the Scale-up panel include converting Scottish National Investment Bank (SNIB) and Scottish Enterprise funding models to private ownership to support higher risk/return, and creating a “scale-up lane” in government to fast-track visas, procurement, and planning for Scotland’s 25 highest-potential businesses.

The research was published as Professor Sir Anton Muscatelli, released his own Labour-commissioned report into Scotland’s low growth.

He said higher taxes are “disincentive” in attracting high-value jobs and called for sweeping reforms planning, business rates and skills training.