The parliament has resumed after its suspension.

Presiding Officer Alison Johnstone says she has expressed her concerns to the first minister and deputy first minister in the strongest possible terms.

She says Sturgeon and Swinney assured her the leak did not come from within the Scottish government.

Presiding Officer Alison Johnstone suspends the Holyrood budget session to investigate the BBC breaking the news of tax changes in the financial statement.

The division bell has just rung in the Scottish Parliament and Nicola Sturgeon and John Swinney are in the chamber.

That means we are expecting the chamber to sit again inside the next five minutes.

While we're waiting for parliament to resume, and for John Swinney's budget statement, here's a reminder of the headlines so far:

• The Scottish government's budget statement has been delayed following a leak of information contained in it
• The BBC has reported that the acting finance secretary, John Swinney, intends to raise taxes on higher and top rate taxpayers
• It's expected that the higher rate of tax will increase from 41 to 42 pence in the pound and the top rate will move from 46 to 47 pence.
• In a short statement to the chamber, Presiding Officer Alison Johnstone announced that the budget had been pushed back by half an hour

• Swinney earlier said his budget would include "decisive action" to tackle the cost of living crisis

• Meanwhile, the GMB union has voted to reject an improved NHS pay deal from the Scottish government. The union represents NHS ambulance staff, nurses, porters and radiographers
• The Bank of England has raised UK interest rates to their highest level for 14 years as it battles to stem soaring prices

Philip Sim
BBC Scotland political correspondent

Even as the budget is delayed for a leak investigation, more details are trickling out.

Secondary legislation has been drawn up, external to increase the second homes element of land and buildings transaction tax, from 4% to 6%.

This was timed so that it would be laid before parliament during Mr Swinney’s speech.

But because it has been delayed, the paperwork has popped up before it has been announced.

Glenn Campbell
BBC Scotland Political Editor

When this Budget is eventually announced, I hear there could be around £500m extra for local government.

It had been campaigning for a lot more.

I am not expecting a new public sector pay policy today, with the Scottish government apparently wanting to continue discussions with unions and others.

After the BBC broke the news that higher rate taxpayers were likely to be asked to pay more after the budget, there were points of order made in the debating chamber of the Scottish Parliament.

Opposition politicians objected, saying that major government announcements should be made first to the chamber and not to the media. They expressed dismay that details about the tax changes were on the BBC website and demanded an investigation into the leak.

Hitting the pause button is making a big statementpublished at 14:46 Greenwich Mean Time 15 December 2022

14:46 GMT 15 December 2022

Philip Sim
BBC Scotland political correspondent

This is a pretty major move from the presiding officer, and underlines how annoyed she is about the leak of information.

There have been a series of complaints from opposition parties during this session about stories being “briefed” to the media in advance.

On occasion, Alison Johnstone has even prevented ministers from making statements – instead moving straight to questions.

But we should remember that the budget is a really big deal – and involves far more details than those which have appeared in the BBC’s reporting.

Ultimately, Ms Johnstone is going to have to let the statement go ahead. But she’s making a big statement by putting it on pause like this.

In an almost unprecedented step, the presiding officer has suspended the Scottish Parliament for half an hour.

Alison Johnstone said she was still investigating the matter of the leak to the BBC.

She told the chamber: "I've been unable to conclude my deliberations in the time available.

"I'm therefore suspending this meeting for 30 minutes."

During FMQs earlier, the BBC broke the news that higher rate taxpayers were likely to be asked to pay more after the budget, which led to points of order being made in the debating chamber of the parliament.

Opposition politicians objected, saying that major government announcements should be made first to the chamber and not to the media.

They expressed dismay that details about the tax changes were on the BBC website and demanded an investigation into the leak.

Alison Johnstone earlier made it clear that significant announcements should be made to the parliament in the first instance.

Presiding Officer Alison Johnstone suspends the session for 30 minutes.

It follows the BBC breaking the news, during FMQs, that higher rate taxpayers were likely to be asked to pay more after the budget.

Ms Johnstone says she is still investigating the leak.

Image source, PA Media

The budget is about to start, but what can we expect?

Income tax rates for higher earners are expected to be increased in Scotland for the next financial year.

The BBC understands Deputy First Minister John Swinney will announce the changes in his budget statement.

He is expected to put up the higher rate of tax from 41p to 42p in the pound and to increase the top rate from 46p to 47p.

The tax threshold for the top rate is also expected to be lowered from £150,000 to closer to £125,000.

Swinney is expected on his feet at around 14:25.

His statement will be followed by questions from MSPs until around 16:00.

You can watch it all with us and we'll bring you extensive coverage, analysis and reaction all afternoon.

• What might the Scottish budget mean for you?
• Which taxes can the Scottish government change?
• What to look out for in the Scottish Budget

Image source, PA MEDIA

There's less than 10 minutes to go before the budget statement starts. Here's a reminder of the headlines so far:

• Income tax rates for higher earners are expected to be increased in Scotland for the next financial year
• The BBC understands Deputy First Minister John Swinney will announce the changes in his budget statement at Holyrood this afternoon, from 14:25
• Swinney is expected to put up the higher rate of tax from 41p to 42p in the pound and to increase the top rate from 46p to 47p
• The tax threshold for the top rate is also expected to be lowered from £150,000 to closer to £125,000

• Swinney has said his budget would include "decisive action" to tackle the cost of living crisis

• Meanwhile,the GMB union has voted to reject an improved NHS pay deal from the Scottish government. The union represents NHS ambulance staff, nurses, porters and radiographers
• The Bank of England has raised UK interest rates to their highest level for 14 years as it battles to stem soaring prices

Image source, bbc

After the BBC broke the news that higher rate taxpayers were likely to be asked to pay more after the budget, there were points of order made in the debating chamber of the Scottish Parliament.

Opposition politicians objected, saying that major government announcements should be made first to the chamber and not to the media. They expressed dismay that details about the tax changes were on the BBC website and demanded an investigation into the leak.

Presiding Officer Alison Johnstone said she had made it clear that significant announcements should be made to the parliament in the first instance. She promised to examine the circumstances and report back to the chamber.

In the past, statements have been taken as read if they have been leaked and ministers have been forced to forego their speech and simply answer questions.

The budget statement is so important, that that is unlikely to be the punishment in this case.

But some form of public ticking-off is highly likely.

Where's the justice in all of this?published at 14:06 Greenwich Mean Time 15 December 2022

14:06 GMT 15 December 2022

Andrew Kerr
Scottish political correspondent

A budget is said to be all about be “hard choices”.

The acting Finance Secretary John Swinney has been lobbied by interested groups and MSPs.

Last Friday, MSPs on Holyrood’s Criminal Justice Committee said Mr Swinney must find more money for the justice sector.

A flat-cash settlement had been proposed. That fixed sum for four years will be eroded by inflation – and lead to cuts.

The police warned 999 response times would be slowed and the fire service claimed fire engines might have to be pulled from duty.

Government insiders say John Swinney is a man with his “ear to the ground” and this issue has been “well ventilated”.

So, I would expect justice spending will get a bit more cash.

That’s a choice though – and the hard choice is that some other department may have to lose out.

Now, as we've been reporting, income tax rates for higher earners are expected to be increased in Scotland for the next financial year.

The BBC understands the deputy first minister, John Swinney, will announce the changes in his budget statement.

He is expected to put up the higher rate of tax from 41p to 42p in the pound and to increase the top rate from 46p to 47p.

The Scottish government has frozen the threshold for the current 41p higher rate in recent years - it currently begins at £43,663 in Scotland, compared with £50,271 elsewhere in the UK.

The tax threshold for the top rate is expected to be lowered from £150,000 to closer to £125,000.

This change has already been announced for other parts of the UK by the chancellor.

• Read more here
• Which taxes can the Scottish government change?
• What to look out for in the Scottish Budget

Gordon Barclay, who is 46-years-old and 54-year-old Seonaide Barclay live in Saltcoats, North Ayrshire, with their 11-year-old son.

Gordon works for the NHS and Seonaide works in a care home.

They are concerned about rising costs and suggestions that income tax rates may rise in Scotland as part of today’s budget announcement.

Seonaide says she is feeling the pinch when it comes to her weekly shop.

She says: “The stuff that's going up, it's not even like 10p or 20 pence. It's like 50p, 60p on some things. So you've obviously got to go to all the different shops to see where you can get the cheapest stuff now.

“The wee man, he likes the hula hoop crisps. I went in and it was £2.25 for a bag of six and it used to be like £1.25, £1.30. So I'm like ‘no, try the cheaper brand’.”

On talk of tax rises in John Swinney’s budget, Gordon says: “I've got no more money to give, but they're raising my taxes. But when I ask for a wee bit of a pay rise they say there's no more money there. It works both ways. Got to give a little to take a little.”

He also thinks the UK government could do more to help the economy.

“You need to do something. And they keep blaming the price of fuel and all that for inflation. Well, that's what you need to act on straight away. I believe they should be bringing the VAT down. But even if it's just petrol and diesel and electricity and gas, bring the VAT down. Or take the VAT off it for six months."

Philip Sim
BBC Scotland political correspondent

Asked about the breaking news on tax rates after first minister’s questions, Nicola Sturgeon said John Swinney would set out the budget later this afternoon.

However when asked if raising rates would break an SNP manifesto commitment, she added: “In general, we are in times right now that are very different even to the Scottish Parliament election last year and we need to take actions that protect public services, protect the most vulnerable and protect the transition to net zero which is so important to the economy as well as the environment.”

The full wording is on page 47, external:

As we have been reporting, income tax rates for higher earners are expected to be increased in Scotland.

The changes are designed to increase the revenue the Scottish government generates so it can spend more on key public services.

Unions and anti-poverty campaigners had been demanding tax increases for higher earners, while the Conservatives and some business voices have warned that tax rises could be a drag on economic recovery.

FMQs is over and on a hectic day we're returning our focus to the budget build-up. Here's a reminder of the headlines so far:

• Income tax rates for higher earners are expected to be increased in Scotland for the next financial year
• The BBC understands Deputy First Minister John Swinney will announce the changes in his budget statement at Holyrood this afternoon, from 14:25
• Swinney is expected to put up the higher rate of tax from 41p to 42p in the pound and to increase the top rate from 46p to 47p
• The tax threshold for the top rate is also expected to be lowered from £150,000 to closer to £125,000

• Swinney has said his budget would include "decisive action" to tackle the cost of living crisis

• Meanwhile,the GMB union has voted to reject an improved NHS pay deal from the Scottish government. The union represents NHS ambulance staff, nurses, porters and radiographers
• The Bank of England has raised UK interest rates to their highest level for 14 years as it battles to stem soaring prices

The breaking news about income tax rates for higher earners increasing in Scotland came right in the middle of FMQs.

Here's a chance to catch up on the highlights as we return our focus to the budget.