Holyrood Handed £213 Million Funding Boost

The Scottish Government has been challenged to "crack on" and spend a £213 million funding boost on vital public services it has been handed by the Chancellor in his Autumn Statement. Scottish Secretary Alistair Carmichael said the Holyrood administration would get the additional cash as a result of George Osborne's spending announcements. Mr Carmichael declared: "These measures will give the Scottish Government an extra £213 million of spending, taking the total of additional spending power to over £2.3 billion since we came to office. "This means they can crack on and spend more money on funding for the NHS, more childcare places or more funding for schools or colleges." There was no mention of corporation tax being devolved to Scotland - although Mr Osborne signalled that powers over the levy would be devolved to Northern Ireland. Scottish Deputy First Minister John Swinney hit out: "While the Chancellor gives Northern Ireland the power to cut corporation tax, his government is continuing to block the job-creating powers Scotland needs." Mr Swinney said while additional funding was "always welcome", he added: "The consequentials of around £200 million we have received today cannot compensate for the £2.7 billion of real terms cuts we have faced since 2010. "And with a further £25 billion of cuts in the future, the Westminster Government is locking Scotland into austerity against our wishes." The centrepiece of the Chancellor's Autumn Statement was a root and branch reform of stamp duty, promising to save homebuyers thousands of pounds. Mr Osborne branded the existing levy a "tax on aspiration" and said he would scrap the "cliff edges" which distort the property market. While the Scottish Land and Buildings Transaction Tax (LBBT) - which is being brought in by the SNP - will replace stamp duty north of the border from next April, the UK Government pledged homebuyers in Scotland would not miss out on a potential tax cut before the new charge came into place. Scottish Conservatives claimed the introduction of LBBT would leave many homebuyers in Scotland worse off, claiming that under that system the charge on a home worth £395,000 would be £16,800 compared to £9,750 in the rest of the UK. Scottish Conservative finance spokesman Gavin Brown MSP said: "The UK Government has done the right thing by making homes more attainable for first-time buyers and hardworking families further up the ladder. "However, the fact the SNP has chosen to punish those aspiring to own a family home is now even more apparent." Mr Brown stated: "Before today, there was an extremely strong case for having a far lower rate, after today the case is truly overwhelming. "The SNP seriously needs to reconsider its assault on aspiration, and reducing the tax burden on families instead of increasing it. "We are now seeing Scotland lurch starkly to the left, where anyone who dares to work hard or aspires to do better is immediately penalised by the state." Scots will benefit from the increase in the income tax threshold, which will rise by £600 to £10,600 from 2015/16. Mr Osborne also announced that youngsters under 12 would no longer be subject to air passenger duty charges on flights from next May, with the charge abolished for all under-16s from March 2016. Scottish families will benefit from this when flying, but with the charge due to be devolved to Scotland in the wake of the Smith Commission review of devolution, it will then be up to Holyrood. Mr Carmichael said the Autumn Statement "sets out the next steps in the UK Government's long-term economic plan to secure a sustained recovery and a more resilient economy". He added: "By backing businesses, helping more people into work and supporting families in communities across the country, Scotland is benefiting from the action we are taking to help our economy grow." The Liberal Democrat Scottish Secretary said: "Scotland chose to retain a shared currency, pensions, single market and the economic stability and security that comes from being part of the UK. "With more funding provided to the Scottish Government today and more powers and great responsibility for the Scottish Parliament on the way, Scotland is strengthened by today's Autumn Statement."