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Scottish Budget: Shona Robison - "Government will not increase income tax"
The Scotsman
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04/12/2024
Scottish Budget: Shona Robison - "Government will not increase income tax"
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00:00
The new UK Government has increased employers' national insurance contributions, a policy
00:05
that the OBR has told this Parliament will fall mainly on employees' wages. It is estimated
00:13
that that will take more than £2 billion out of the Scottish economy next year. In
00:18
the light of that, I can confirm today that this Government will not introduce any new
00:24
bans or increase the rates of Scottish income tax for the remainder of this Parliament.
00:35
I want to go further, because Labour has hit the pay packets of working people in Scotland
00:40
and has decided to provide tax support for low- and medium-income earners. Although the
00:45
UK Government has frozen all income tax thresholds, in Scotland the basic and intermediate rate
00:51
thresholds will increase this year by 3.5 per cent, which is effectively twice the rate
00:57
of inflation. That means that more of people's money will be taxed at the starter and basic
01:07
tax rates. That also means that the majority of taxpayers in Scotland will continue to
01:14
pay less income tax than in the rest of the UK.
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