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Government to scrap council tax | Government to scrap council tax |
(about 1 hour later) | |
The Scottish government is to press ahead with its plans to replace council tax with an income-based alternative. | The Scottish government is to press ahead with its plans to replace council tax with an income-based alternative. |
However, the plan as it stands could run into trouble with likely opposition from the Scottish Liberal Democrats. | However, the plan as it stands could run into trouble with likely opposition from the Scottish Liberal Democrats. |
Finance Secretary John Swinney said legislation would be brought forward to scrap the "unfair" tax. | Finance Secretary John Swinney said legislation would be brought forward to scrap the "unfair" tax. |
The Lib Dems want individual councils to be able to vary local income tax - while the SNP want a fixed 3p levy across Scotland. | |
Scottish Labour has remained opposed to scrapping the council tax - a key SNP election pledge - and the Greens are also opposed to the Nationalists' plan. | |
We stood for election on a platform to abolish the unfair council tax John Swinney MSPFinance secretary | |
Mr Swinney told parliament that, as a first step, he was aiming for a freeze in council tax rates from April 2008. | |
It was set out as part of a drive to raise Scotland's growth rate to UK levels by 2011. | |
"The government will bring forward legislation to abolish the unfair council tax," said Mr Swinney. | |
"Our proposal is for a local income tax based on the ability to pay which will reduce the overall burden of local tax with the benefit felt by pensioners, families and the majority of Scots. | |
"We stood for election on a platform to abolish the unfair council tax and we are determined to deliver this as part of our agenda to create a wealthier and a fairer Scotland." |