UK NEWS

LABOUR WARNED TO KEEP HANDS OFF SCOTLAND'S CASH

Mr Swinney will argue Scotland is being short-changed

Tuesday April 1,2008

By Paul Gilbride, Scottish Political Reporter

Comment Speech Bubble Have your say(4)

WESTMINSTER was warned not to try to swindle Scotland out of cash as a cross-Border funding row reignited yesterday.

The warning came as chief secretary to the Treasury Yvette Cooper claimed the SNP Government faces a £750million black hole in its plans for a 3p local income tax.

In the latest round of hostilities, Miss Cooper warned the Finance Secretary in a letter that the new levy would generate less than what is currently raised by the council tax.

The disclosure of the letter’s contents came ahead of a meeting in London today at which Mr Swinney will argue Scotland is being short-changed because the prison service in England is to receive £1.2billion.

Miss Cooper suggests that a local income tax would raise £1.35 billion compared to £2.1billion raised by council tax, a shortfall of £750million every year.

She said: “This loss would have a serious impact on local council services.”

But Alex Salmond’s administration argues that Scotland is missing out on £120million, which it would expect if the money was allocated in a different way.

And it is also angry about Treasury claims that the annual £400million council tax benefit (CTB) money given to Scotland would be withheld if council tax was scrapped in favour of local income tax.

A senior Scottish Government spokesman yesterday accused Treasury officials of trying to “pauchle” or swindle Scotland’s money.

He said: “The Treasury’s sabre-rattling behaviour in trying to lay down the law to Scotland is extraordinary. Their job is not to pauchle Scotland’s money.”

But a Treasury spokesman said: “It is incorrect to state that council tax benefit is part of the Scottish block grant. Both the Scotland Act and the statement of funding policy make clear that it is reserved – and a council tax benefit cannot be paid if there is no council tax charged.”

HYPOCRITES!!

02.04.08, 10:59am

I notice the English version of this paper today blasts the scots for reducing prescription charges while the English will have to pay more from today.
You should be aware that the English version of the express is very different than the scots.

• Posted by: Bonehead • Report Comment

GOOD STUFF!

02.04.08, 1:55am

Scots pay into the same pot that council tax benifits come from that the English do. Therefore a share of that money is Scotlands pure and simple.

It's great to finally have a government that stands up for Scotland. We are not the juniour partner of the UK any longer and Westminster better recognise that or the UK will lose Scotland for good.

• Posted by: scots_lad • Report Comment

FREEDOM!

01.04.08, 7:34pm

I am an Englishman of Welsh descent, who has been during told his entire life(61) that he is British. I never minded this as we were all, Scottish,Welsh & N.Irish part of the union that made up Britian. Now, Scotland has almost gained its separation from from England, a monarchial arrangement made union. I lived and worked in Scotland for many years and love the people and their culture, my brother is married to a scottish lass. I believe Scotland is showing England the way. Labour is putting the squeeze on Scotland to make it conform to labours wishes. Labour sees scotland as "traitorous" for choosing the SNP over labour. Good for Scotland! I personally would like to see a new union of equal partners, a united Britian of four different free nations with a common defence and foreign policy and all else up to the individual states. But before any of us can get anywhere near this position we must first throw out labour and its communistic policies of control . We in the south need and English national party like the SNP that can work in collusion with the SNP for a common goal. Labour fragmented the union for its own selfish ends, divide and conquerer. I am sick of seeing ant-scottish, anti-welsh, anti-Irish and anti-English comments. We are all in the same boat and we get on very well except for the politicians who would divide us. So Scotland, show us the way, put the boot into labour and we in the south, will follow your lead. William Wallace may not have actually cried " Freedom", but his spirit certainly did, and the same sort of tyrant (new labour), has his foot on all our throats.

• Posted by: montecristo • Report Comment