HOLYROOD passed the Scottish Government’s budget last night, with Finance Secretary Derek Mackay insisting it was the best deal for taxpayers anywhere in the UK.
It’s been a tricky process for the SNP numbers chief, with the stalemate between parties on the spending plans threatening to bring down the government at the start of the year.
Eventually, the Greens backed the budget, saying after winning commitments over public spending.
That support saw the government pass their budget with 68 votes to 57.
For the first time in the parliament’s history, MSPs voted to use powers to set income tax rates and bands, with the SNP maintaining the basic rate of the tax at 20p.
The point at which taxpayers start paying the 40p rate will be frozen at £43,000 in Scotland, and unlike the rest of the UK won’t rise to £45,000 in April.
The Tories say this has led to Scotland becoming the highest taxed part of the country, with high earners forking out £400 a year more than those elsewhere.
The budget also included a 12.5 per cent cap on rates hikes for restaurants, pubs, hotels and cafes across Scotland and office premises in Aberdeen and Aberdeenshire to reflect the impact of downturn in the North Sea economy.
Mackay announced those measures on Tuesday after furious campaigning from businesses affected by the huge jump after a revaluation.
Mackay told MSPs at Holyrood the budget would see “£900 million of additional investment in our public services, our people and our communities”.
“This is a bill of huge importance to Scotland,” he said. “The decisions we make today underpin the work of our vital public services, our commitment to sustainable economic growth and the support we provide to communities and individuals across the country.”
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