Ahead of the Scottish Budget, a senior MSP has called on the UK Labour government to urgently rethink the decision to impose an effective cut of hundreds of millions of pounds on Scotland’s public sector, branding the policy “austerity by the back door.”
Due to the decision made by the Labour Chancellor at the recent UK Budget, the direct cost to Scoltland’s public sector alone is over £500m.
When other costs including childcare settings and colleges and universities are included, it is around £750m.
Last week Sir Keir Starmer’s UK Government suggested they would provide just £300 million to Scotland to cover the cost of Labour’s tax hike –less than half of the total cost.
Michelle Thomson MSP said:
“As the Scottish Government prepares to publish its Budget, the Labour government must see sense and fully reimburse Scotland’s public services for the cost of their tax hike.
“Scotland currently faces a shortfall of hundreds of millions of pounds in funding as a result of Labour’s mismanagement.
“While the SNP Government is committed to invest in Scotland’s public services, Westminster’s austerity by the back door would be a disaster for our NHS, schools and other vital services.
“Last week, the SNP Scottish Government committed to reinstating the Winter Fuel Payment for almost a million Scottish pensioners – a vital protection to pensioners in Scotland following Labour’s callous cut.
“Scotland already spends more than £600m a year to mitigate the worst Westminster policies – but the Prime Minister could fix the National Insurance cash grab with the stroke of his pen.
“This is the last chance for the UK Government to do the right thing and provide certainty ahead of the Scottish Budget.
“If Starmer fails to reimburse the public sector, it is our public services who will suffer.
“I urge the UK government to fix this mess of their own making.”