The SNP Government has been slammed after unveiling a new tax band that will hammer hard-working Scots.
Finance Secretary Shona Robinson delivered her ‘budget’ in Holyrood this afternoon, with the government in a desperate bid to plug a £1.5 billion black hole.
Ms Robinson confirmed that she is introducing a new tax band for those earning £75,000 to £125,140.
The so-called “advanced” rate will see those unlucky enough to fall within the band taxed at 45 percent.
Those earning over £125,140 will also see their taxes raised from 47p to 48p.
While the tax hikes will hurt working Scots during a cost-of-living crisis, in total they raise just £307 million for Ms Robinson’s coffers – well below the £1.5 billion black hole.
Following the PM calling rumoured tax rises “disappointing”, the SNP have been blasted for their economic management and today’s fiscal choices.
The Scottish Tory leader Douglas Ross pointed out that he had “never sat through a budget speech that didn’t have a single pause for applause or support from the backbenchers”.
“Even the SNP backbenchers couldn’t muster any enthusiasm for the budget from Shona Robison and Humza Yousaf that fails to support businesses and puts up taxes.”
Scottish Conservative MP and minister Andrew Bowie blasted the tax rise, calling it “Anti aspiration. Anti business. Anti growth. Anti success”.
“Welcome to SNP Scotland.”
Murdo Fraser, a senior MSP, said the party’s “much-vaunted ‘New Deal for Business’ now lies in tatters” after the country’s tax gap with England was further widened.
He added that the SNP-Green coalition government is “determined to destroy what is left of the Scottish economy”.
Spectator editor Andrew Neil also pointed out that half of every pay rise someone over £75,000 gets will now go to the SNP administration.
He also said Scotland has so few high earners that the total revenue from the two higher-rate tax bands will bring in just £60 million – possibly less as taxpayers change their behaviour and pension planning to avoid the 47p rate.
While the SNP pride themselves on being more generous than the UK Conservative government, Scotland has one of the largest deficits as a percentage of GDP than most of the developed world.
Scotland stands at 9 percent compared to the UK’s 5.2 percent.
Despite the fiscal black hole and huge deficit facing Scotland, Ms Robinson announced a £1.5 million giveaway to cancel school meal debt in schools; £43 million to expand free school meals; £50 million for children in care; £550 million for affordable housing; and £550 million for frontline NHS boards.
