The Scottish Government revealed their Budget today after a controversial agreement was struck with the Green Party which saw the dropping of a triple tax bombshell.
As part of today’s statement, Finance Secretary, Derek Mackay, confirmed the further widening of income tax rates between Scotland and the UK, and raised the cap at which local authorities can increase council tax.
Mackay also stated that he wants councils to charge those who take their car to work.
As part of the agreement with the Greens, councils will be given the ability to implement a tourist tax.
Scottish Borders Council saw a slight increase in their funding settlement from central government of less than 1 per cent in real terms. SBC councillors have been unequivocal in opposing the tourism tax due to the potential damage it could do to tourism in the area.
Rachael Hamilton MSP was angered by the ‘lurch to the left’ approach by the SNP Government who now want to take more money from the pay packets of hardworking Borderers.
Ettrick, Roxburgh and Berwickshire MSP, Rachael Hamilton said:
“Thanks to the SNP, Scots across the country are about to be hit by a triple tax bombshell.
“This Budget not only taxes aspiration, but taxes people for driving to work, which is quite frankly ridiculous in a constituency like mine, which travelling by car is essential.
“We will pay the highest income taxes in the UK, council tax could go up, and now you might even be taxed hundreds of pounds a year for taking your car to work.
“The SNP have run out of ideas on how to grow and expand the economy, instead they have decided to raid the pockets of hardworking families.
Councillor Shona Haslam, Leader of Scottish Borders Council said:
“This settlement does go some way to mitigating the cuts that we were expecting; however it has a narrow focus in terms of local taxation.
“Given the consultation only concluded last Friday it is surprising that the Scottish Government were able to announce the tourist tax today.”