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| Version 1 | Version 2 |
|---|---|
| Darling criticises local tax plan | Darling criticises local tax plan |
| (about 4 hours later) | |
| UK Chancellor Alistair Darling believes the Scottish Government's plans for a local income tax would damage the financial services industry. | UK Chancellor Alistair Darling believes the Scottish Government's plans for a local income tax would damage the financial services industry. |
| He was making his comments ahead of an address to the Scottish Financial Services Industry Conference meeting. | He was making his comments ahead of an address to the Scottish Financial Services Industry Conference meeting. |
| Holyrood's SNP administration wants a 3p local income tax brought in to replace the council tax by 2011/12. | Holyrood's SNP administration wants a 3p local income tax brought in to replace the council tax by 2011/12. |
| A Scottish Government spokesman said it believed its proposal contained key advantages for Scottish business. | A Scottish Government spokesman said it believed its proposal contained key advantages for Scottish business. |
| He added: "We are engaging with the business community on our consultation to scrap the unfair council tax and replace it with a fair local income tax based on ability to pay - which would see four out of five households across Scotland better off or no worse off. | He added: "We are engaging with the business community on our consultation to scrap the unfair council tax and replace it with a fair local income tax based on ability to pay - which would see four out of five households across Scotland better off or no worse off. |
| "A successful Scotland will continue to attract people to Scotland for all the right reasons - particularly one that will have the lowest local tax in the UK." | "A successful Scotland will continue to attract people to Scotland for all the right reasons - particularly one that will have the lowest local tax in the UK." |
| Mr Darling insisted Scotland needed to have a "competitive tax regime - both personal and corporate". | Mr Darling insisted Scotland needed to have a "competitive tax regime - both personal and corporate". |
| The Government is going through a difficult period at the present time Alistair Darling UK Chancellor Speaking to BBC Radio Scotland's Good Morning Scotland programme, the Labour MP for Edinburgh South West said Scotland had an extremely strong financial services sector employing 200,000 directly and indirectly. | The Government is going through a difficult period at the present time Alistair Darling UK Chancellor Speaking to BBC Radio Scotland's Good Morning Scotland programme, the Labour MP for Edinburgh South West said Scotland had an extremely strong financial services sector employing 200,000 directly and indirectly. |
| Mr Darling added: "It is not only strong in Scotland but it is strong throughout the whole of the UK and increasingly it is selling its products throughout the world in banks, in asset management in pensions and insurance - it is very strong. | |
| "My message today is that we need to make sure that it remains that way. We need to have a competitive tax regime, both personal and corporate, that is why I am most concerened about this proposal the SNP have to introduce a local income tax, which I think would be very damaging to financial services." | |
| Mr Darling also told the programme the UK Government was doing all it could to help people with soaring fuel bills. | Mr Darling also told the programme the UK Government was doing all it could to help people with soaring fuel bills. |
| He said: "We are taking a range of measures to help people, recognising that the amount of money they spend on their gas and electricity bills is an increasing proportion of their income." | He said: "We are taking a range of measures to help people, recognising that the amount of money they spend on their gas and electricity bills is an increasing proportion of their income." |
| The government is due to announce plans to help elderly and vulnerable people pay their fuel bills. | The government is due to announce plans to help elderly and vulnerable people pay their fuel bills. |
| It is understood new powers to share data are being planned so energy firms and the government can advise on the best value tariffs for gas and electricity. | It is understood new powers to share data are being planned so energy firms and the government can advise on the best value tariffs for gas and electricity. |
| Global action | Global action |
| Although oil prices have recently hit record highs above $135 a barrel and have doubled in less than a year, Mr Darling said it was important not to "overreact to the problems we have". | Although oil prices have recently hit record highs above $135 a barrel and have doubled in less than a year, Mr Darling said it was important not to "overreact to the problems we have". |
| He insisted that the oil price issue was a worldwide problem which required global action to increase oil production. | He insisted that the oil price issue was a worldwide problem which required global action to increase oil production. |
| Mr Darling said: "The government is going through a difficult period at the present time. | Mr Darling said: "The government is going through a difficult period at the present time. |
| "A lot of people's views and outlook is driven by the fact that the economy has slowed down, in common with every other developed economy in the world. | "A lot of people's views and outlook is driven by the fact that the economy has slowed down, in common with every other developed economy in the world. |
| "But we have to make sure we deal with the problems that arise, that we deal with them competently, and we get through this difficulty. | "But we have to make sure we deal with the problems that arise, that we deal with them competently, and we get through this difficulty. |
| "I believe we can do that, we will do that. | "I believe we can do that, we will do that. |
| "When it comes to the next election, it will be a choice between a government prepared to help people get on and do the best they can for their families, or a Conservative party which although they may speak a different language has fundamentally not changed." | "When it comes to the next election, it will be a choice between a government prepared to help people get on and do the best they can for their families, or a Conservative party which although they may speak a different language has fundamentally not changed." |