UK NEWS

WESTMINSTER BLOW OVER NEW TAX PLAN

BACKING: James Purnell

Monday March 3,2008

By Ben Smith

Comment Speech Bubble Have your say(12)

THE UK Government has torpedoed the SNP’s pledge to scrap council tax by ruling out paying millions in vital financial support.

Alex Salmond’s flagship plan to introduce a “fairer” local income tax depends on retaining the current £400million tax rebate from Westminster.

But Work and Pensions Secretary James Purnell said it would be “pretty hard to justify” taxpayers in the rest of the UK “subsidising” a different tax system in Scotland.

His comments, backed by Scottish Secretary Des Browne, sparked Holyrood fury, with finance secretary John Swinney insisting the rebate is “Scotland’s money – plain and simple.” And Liberal Democrat leader Nicol Stephen urged First Minister Mr Salmond to call Gordon Brown’s bluff and introduce the legislation as quickly as possible.

However, in a further blow, senior Government sources said the new system could not be introduced until 2011.

A local income tax of 3p in the pound would leave councils nearly £1billion down on their current tax income, with the SNP planning to make up the shortfall with £450million efficiency savings and the £400million rebate. However, Mr Purnell has now ruled that out.

He said: “They’re basically asking us to subsidise them for having a different system. That would seem to me to be pretty hard to justify.”

He said there would be no need for UK Government benefits for people who can’t afford to pay council tax as they would pay less under an income-based system. “If there is no council tax then there is no council tax benefit,” he added.

A spokesman for Mr Swinney accused Mr Purnell of failing to understand the issue. “The council tax benefit is Scotland’s money, plain and simple,” he said. “It is part and parcel of the system of locally raised tax to help fund local government services.”

He said a consultation paper will be published soon, although sources have said the new system won’t be ready until just before the next Scottish elections in three years.

LOTHIAN_SKY

05.03.08, 7:14pm

You have my full permission to leave this (so called) Union.
Contrary to what you believe,your country is drawing disproportionate funds,due to the completely outdated Barnet formula.
Barnet himself said that it should be scrapped.
Furthermore,most revenue is generated in England,you Scots being engrossed in following your "hobbies",of which we shall say no more.
Your heroes derring-do is mostly mythical,you are free to worship them as you wish and that includes the very absent Connery.
Your country was not so much "taken over" as taken under the wing of the English,we have been feeding and watering you for three hundred years,by all means,take your freedom and free us English from the never ending maintenance payments.
Yes,we English cheered on your "also ran" Murray,just as much as he supported England in the world cup.
Stop whinging and whining and start shifting for yourselves for a change,you never know,you might even like it.
But remember this,it will be cold when you creep out from under the English wing and there will be no going back.
Good luck and goodbye.

• Posted by: thewarlord • Report Comment

HMM

05.03.08, 2:16pm

All you do is cut and paste tabloid lies.
Make your mind up.
You hate us for wanting independence from Britain, and slag off our heroes. Scots rioted in the streets to prevent the union. We are tied to England because of your greed, and your lies.
How do you think the UK came about? It wasn't our idea.

Yet you love nothing than more than moaning about the money we get back from the UK tax pot. (Yes, UK tax pot, not England's.) We get back less than we put in. Less than London. Less than Northern Ireland. Less than many English regions. None of these places are pumping billions of oil revenue into the UK treasury for the English to piss away on stupid wars. We are! That's why we want independence. If anyone is being ripped off, it's us. Again and again. We're not moaning, we're doing something about it.

You harp on about Scotland having this/that/the other. You've clearly never been to Scotland in your life. Your arguments are hollow.

Stop moaning and do something about it if you're not happy. We are not preventing you voting out Labour. We are not preventing you having an English Parliament. Who keeps Scotland in the union? The Labour Party, funded by England. Based in England. Please let us go. Please, please, please please please. We are sooo tired of listening to your crap.

I cant take any of your posts seriously because you are totally thick and blinkered. You only see what you want to see. So there's no point engaging in conversation with you.

• Posted by: Lothian_Sky • Report Comment

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05.03.08, 11:35am

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• Posted by: Lucabrasi • Report Comment

BAAA

05.03.08, 10:51am

You don't need all that money in England. You are too rich. Share and share alike! We have healthy crack addictions which require YOUR money. So stop whingeing and just cough up!
That's what Britain is for, after all. We get your cash, you get to watch Andy Murray being shite at tennis. Can't say fairer than that.
p.s.
It's great being Scottish. Scotland For£v£r!

• Posted by: Lothian_Sky • Report Comment

IN THEIR DREAMS LUCABRASI

04.03.08, 8:33pm

And when they fail,as they surely will,they will come snivelling back to us hated English to pick up the pieces.
If the Scots were ever able to paddle their own canoe,they would have set sail two centuries ago.
No,much easier to take our English largesse and then blame us for giving it to them.
But Luca,their days are numbered,even us (very)tolerant English have a breaking point and we are now very close to that.

• Posted by: thewarlord • Report Comment

WARLORD

04.03.08, 4:04pm

Well said. I can see I'm not the only one who begrudges every penny that goes to scitland and probably just gets spent on fags & booze, while they laugh at how soft we are. The laughable thing, is that they actually believe they can do without the ENGLISH pound. They would end up like a desolate wasteland without our cash. The scuttish parliament know this, which is why they are squeeling like stuck pigs over this money.

• Posted by: Lucabrasi • Report Comment