The Scottish Government will take on their first major new tax power from the Scotland Act 2016 in April, enabling them to set rates and thresholds of income tax. The Chief Secretary to the Treasury attended a Joint Exchequer Committee with the Scottish Government’s Cabinet Secretary for Finance in November. They discussed ongoing work, and there are regular ongoing discussions.
The Prime Minister says that she wants income tax rates on hard-working British people to be as low as possible. Should Nicola Sturgeon be sufficiently brave or bonkers to increase the rate of taxation on hard-working Scottish people, what economic impact would that have on Scotland?
Again we have heard erroneous claims that Scotland is somehow the highest-taxed part of the United Kingdom. In actual fact, the average cost of a band D council tax property in Scotland is lower than in England. Will the Minister now welcome the Scottish Government’s approach to council tax policy in Scotland?
I may not like the Scottish Government’s plans to make Scotland a higher-tax nation, but that is up to them. What they will have to do is explain to the people of Scotland why they are having to pay more tax than their friends and families who have the same jobs south of the border.
In a week when the chairman of the British Medical Association in Scotland has warned that the NHS in Scotland is “at breaking point”, is the Minister as surprised as I am that the so-called progressive SNP Government in Holyrood consistently refuse to use the powers afforded them to protect the NHS in Scotland?