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Salmond draws up economy aid plan | Salmond draws up economy aid plan |
(10 minutes later) | |
The Scottish Government has drawn up a six point action plan to try to save the Scottish economy from recession. | |
The plan, agreed by a meeting of a special economic cabinet, is designed to boost development and help the poorest households. | The plan, agreed by a meeting of a special economic cabinet, is designed to boost development and help the poorest households. |
First Minister Alex Salmond told cabinet colleagues there was no doubt the financial crisis would have a serious impact on the wider economy. | First Minister Alex Salmond told cabinet colleagues there was no doubt the financial crisis would have a serious impact on the wider economy. |
The action plan includes bringing forward investment programmes. | The action plan includes bringing forward investment programmes. |
The SNP administration has already said that up to £100m of spending on affordable housing was being brought forward. | |
Public projects | |
Ministers will also looking at how the crucial tourism industry can be boosted with the year of Homecoming next year. | |
Boosting business advice and simplifying the planning system is another key strand of the plan. | |
In terms of households, the Government will be looking to improve energy efficiency in homes and seeing how they can improve financial advice to vulnerable households. | |
It will also look to see how it can help improve uptake of health benefit entitlements, which can be worth up to £1,500 a year in some cases. | |
There will also be additional measures to tackle fuel poverty, augmenting the existing programmes. | |
Specific details have yet to be fixed but ministers hope to make announcements on each point of the plan within the next few weeks. | Specific details have yet to be fixed but ministers hope to make announcements on each point of the plan within the next few weeks. |
The special meeting came in the wake of calls at the weekend for the UK Government to provide Scotland with a £1bn funding package to help save the Scottish economy from recession. | |
It also came the day after the UK Government threw a £30bn lifeline to two leading Scottish banks - HBOS and the Royal Bank of Scotland. | |
Labour's leader in the Scottish Parliament, Iain Gray, said the first minister needed to ensure the plan was "not all spin and no action". | Labour's leader in the Scottish Parliament, Iain Gray, said the first minister needed to ensure the plan was "not all spin and no action". |
He said: "Labour welcomed the announcement of £100m allocated to the affordable housing investment programme back in August. | He said: "Labour welcomed the announcement of £100m allocated to the affordable housing investment programme back in August. |
"However so far we are very disappointed that only £9m has actually been brought forward. That leaves a shortfall of £91m and of that £40m has still to be agreed with councils. " | "However so far we are very disappointed that only £9m has actually been brought forward. That leaves a shortfall of £91m and of that £40m has still to be agreed with councils. " |
He added that Labour would continue to urge the Scottish Government to bring forward capital building programmes and warned that delays to the new Scottish Futures Trust were leading to a "black hole" in funding for public projects. | He added that Labour would continue to urge the Scottish Government to bring forward capital building programmes and warned that delays to the new Scottish Futures Trust were leading to a "black hole" in funding for public projects. |