Scotland 'could be hit with more tax hikes' after sudden £389 million budget fall

Derek Mackay, the SNP's Finance Minister, with Nicola Sturgeon
Derek Mackay, the SNP's Finance Minister, with Nicola Sturgeon Credit: Stuart Nicol

The SNP’s Finance Minister may be forced to increase taxes again in Scotland to deal with a sudden £389 million decline in his Budget, according to a damning official analysis of his new economic strategy.

The Scottish Parliament Information Centre (SPICe) said Derek Mackay’s five-year blueprint was “noticeable” for having no plans to deal with “the potential economic and budget challenges” raised by weaker-than-expected economic growth and tax revenue forecasts.

It quoted the Finance Minister’s document, which was published on Thursday, as stating that it “does not set out any new decisions or policy commitments” despite a dramatic £389 million downgrade in projected tax revenues this year....

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