Finance Secretary Derek Mackay announces income tax changes that will see higher earners pay more than elsewhere in the UK - and lower earners pay less
Mr Mackay announces a new tax band of 21p for those earning more than £24,000
The higher rate of tax will be increased from 40p to 41p and the top rate from 45p to 46p
A starter rate of 19p in the pound will also be introduced, Mr Mackay confirmed in his draft budget
Conservative MSP Dean Lockhard says there has been "14 years of SNP under-performance."
He asks: "Why has finance secretary ignored advice that any increase in tax will cause long-term damage to the Scottish economy."
Derek Mackay says "This is a good budget for business."
He asks: "Doesn't the UK government take any responsibility for the economy.
"The UK economic model does not work for Scotland."
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Image source, bbcChancellor Phillip Hammond
In the UK budget last month Chancellor Phillip Hammond announced:
Last year, the Scottish government did not follow suit by raising the higher-rate threshold to £45,000 – instead it remained at £43,000 for 2017-18.
Broader changes to the bands are expected this time and the Scottish government has signalled its intention to increase the tax.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
SNP MSP Kate Forbes welcomes the announcment of an "incredible" £600m for next four years to expand fast broadband.
Finance Secretary Derek Mackay says colleges and universities have had "a fair settlement", and says "it's a real terms increase."
He says Willie Rennie wants money ringfenced just for education.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Mr Rennie says: "Colleges have only got half of the money they asked for just to stand still."
The Scottish Lib Dem leader says a paltry £17m will not sort out mental health problems.
He says the budget is a harsh settelment for local government.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Scottish Lib Dems leader Willie Rennie
Scottish Lib Dems leader Willie Rennie says: "There has been a modest increase in taxation, an approach we argued for at the election and an approach he (Derek Mackay) opposed at the election".
He says: "We are far behind England on the attainment fund and this increase today will not close that gap."
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Mr Mackay says the chancellor did not give any money for lifting the public sector pay cap.
The finance secretary says necessary decisions have had to be made to fund it.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Mr Harvie says the Scottish government is passing on a real terms cut to councils which is not acceptable.
The Scottish Green Party co-convener says there will be service cuts if the finance secretary does not change.
Mr Mackay says the settlement proposed is far better than councils were proposing or expecting..
He says if local authorities use their powers to increase council tax by 3p it will push the settlement into real terms growth.
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.
Scottish Greens co-convener Patrick Harvie
Scottish Greens co-convener Patrick Harvie says: "I'm delighted that the basic argument for a more progressive tax structure appears to have won the day."
On the issue of an uplift in public sector pay, he says: "I will wait to hear the response of the unions before taking a final view."
Allow Twitter content?
This article contains content provided by Twitter. We ask for your permission before anything is loaded, as they may be using cookies and other technologies. You may want to read Twitter’s cookie policy, external and privacy policy, external before accepting. To view this content choose ‘accept and continue’.