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Budget: Impact on Scotland

Mackay urged to reverse cuts after Budget windfall

Money - own picScottish Finance Secretary Derek Mackay is under pressure to reverse his cuts to public services after receiving a £350 million windfall from the Budget.

Chancellor Philip Hammond unveiled the extra funding through the Barnett Formula.

He said: “The Scottish government can take further steps to strengthen Scotland’s economy and make sure that Scottish people, of all background and no matter where they live, feel the benefits of economic growth.”

Shadow finance secretary Murdo Fraser said that the new money means there’s now no need for the SNP to make Scotland the highest-taxed part of the UK, and should relieve some of its cuts to public services too.

The SNP’s double dose of local government cuts and income tax changes to penalise middle-earners is now utterly without justification,” he said.

Scottish Conservative leader Ruth Davidson, who was speaking at a Scottish Property Federation conference today, said: “My message to the Scottish Government is this.

“Despite the Chancellor’s cautious approach on spending, his budget this afternoon means that the Scottish Government now has £350 million extra to spend over the coming years.

“That includes £100 million to spend in the next financial year alone. This is extra cash that the SNP had not planned for in its budget.

“With this extra money, the finance secretary’s claim that council cuts and tax rises are necessary has therefore been substantially eroded.

“So I hope that the SNP will use this extra resource to support councils which require it, and give taxpayers and businesses a break.

“We simply do not need to send out the message that higher taxes are necessary in Scotland. I urge the SNP to think again.”

Labour leader Kezia Dugdale said: “Despite the £350million extra for the Scottish Government announced today, the reality is that by the end of this decade up to £1billion will have been cut from Holyrood’s budget – cuts the SNP chooses to meekly pass on to families here in Scotland. “

Full Budget round-up here

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