The SNP’s Finance Secretary Shona Robison has just completed the latest Scottish Budget, the last one ahead of the Scottish parliament election in May.
Tax Partner in MHA’s Aberdeen office, Alan Stewart shares his immediate thoughts.
"This was certainly a Budget with one eye on May’s Scottish elections designed to help secure poll lead and head off attack lines from opposition parties. Many will see it as a step in the right direction for the NHS, families and business, with reductions in rates likely to be welcomed by the retail, leisure and hospitality sectors. Taxpayers paying tax at the lower tax rates will also benefit from the announced changes and there was also reference to support for oil and gas workers transitioning into renewables, although further detail will be needed.
"Additional funding flexibility from the UK Government, alongside £126 million previously allocated to mitigate the impact of the UK-wide two-child benefit limit and headroom arising from the Barnett formula, created the scope for the Scottish Government to direct further funding towards its priority areas."
“There was no major tax changes announced apart from the introduction of a mansion tax and private jet departure taxes, which will now lead to some interesting debates on the spending decisions made by the Scottish Government and how opposition parties would have used and prioritised the available funding.”
