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Chancellor defends spending share | Chancellor defends spending share |
(about 2 hours later) | |
Chancellor Alistair Darling has rejected claims that Scotland has been short-changed over its share of UK spending. | Chancellor Alistair Darling has rejected claims that Scotland has been short-changed over its share of UK spending. |
The Scottish Government claimed that the deal announced in the pre-budget report was the worst since devolution. | The Scottish Government claimed that the deal announced in the pre-budget report was the worst since devolution. |
Finance Secretary John Swinney said the SNP administration at Holyrood would now have to consider its own budget. | Finance Secretary John Swinney said the SNP administration at Holyrood would now have to consider its own budget. |
But Mr Darling said Scotland had got exactly what it was entitled to under the Barnett formula. | But Mr Darling said Scotland had got exactly what it was entitled to under the Barnett formula. |
The annual Scottish budget will rise to £30bn in 2011 - more than double the level available to Labour First Minister Donald Dewar in the very first Scottish Executive in 1999. | The annual Scottish budget will rise to £30bn in 2011 - more than double the level available to Labour First Minister Donald Dewar in the very first Scottish Executive in 1999. |
The Treasury said this equated to an increase of an average annual rate of 1.8% over the next three years. | The Treasury said this equated to an increase of an average annual rate of 1.8% over the next three years. |
But First Minister Alex Salmond said the figures were misleading and that the true increase was 1.4%. | But First Minister Alex Salmond said the figures were misleading and that the true increase was 1.4%. |
I don't think anyone can accuse anyone of short-changing Scotland Chancellor Alistair Darling Read Brian Taylor's blog | I don't think anyone can accuse anyone of short-changing Scotland Chancellor Alistair Darling Read Brian Taylor's blog |
Mr Darling told BBC Scotland's Good Morning Scotland programme: "I understand perfectly why Alex Salmond, who is now quite clearly in difficulties over the promises that he made earlier this year, will seek to blame somebody else for his failures. | Mr Darling told BBC Scotland's Good Morning Scotland programme: "I understand perfectly why Alex Salmond, who is now quite clearly in difficulties over the promises that he made earlier this year, will seek to blame somebody else for his failures. |
"The question is that surely with £30bn to spend, he could start to make improvements to health, to education and other areas that are so important for Scotland." | "The question is that surely with £30bn to spend, he could start to make improvements to health, to education and other areas that are so important for Scotland." |
He added: "I would have thought that would have been more than adequate money. | He added: "I would have thought that would have been more than adequate money. |
"It's actually more than the Nationalists said they expected when they published their manifesto this year." | "It's actually more than the Nationalists said they expected when they published their manifesto this year." |
The chancellor went on: "I don't think anyone can accuse anyone of short-changing Scotland." | The chancellor went on: "I don't think anyone can accuse anyone of short-changing Scotland." |
Mr Swinney rejected Mr Darling's claims that the settlement was "a good deal" for Scotland. | Mr Swinney rejected Mr Darling's claims that the settlement was "a good deal" for Scotland. |
Speaking on the same programme, he said: "The key thing which is unavoidable in this financial settlement is the fact that we have the worst settlement since devolution. | Speaking on the same programme, he said: "The key thing which is unavoidable in this financial settlement is the fact that we have the worst settlement since devolution. |
Above inflation | Above inflation |
"We go into the next financial year - when you strip out all the jiggery pokery the Treasury has been involved in - with an increase in our budget of 0.5%." | "We go into the next financial year - when you strip out all the jiggery pokery the Treasury has been involved in - with an increase in our budget of 0.5%." |
This compares with an 11.5% increase above inflation in 2003/04. | This compares with an 11.5% increase above inflation in 2003/04. |
The new administration had been expecting £1.8bn over the three years in total, but claimed the real terms increase over this period was just £1.1bn. | The new administration had been expecting £1.8bn over the three years in total, but claimed the real terms increase over this period was just £1.1bn. |
"What we've got to do is look at the way we take forward our commitments," Mr Swinney added. | "What we've got to do is look at the way we take forward our commitments," Mr Swinney added. |
"We will do that as responsible government, but we have to recognise and people have to recognise in Scotland, a Chancellor of the Exchequer, representing an Edinburgh constituency, has just delivered an awful financial settlement for Scotland." | "We will do that as responsible government, but we have to recognise and people have to recognise in Scotland, a Chancellor of the Exchequer, representing an Edinburgh constituency, has just delivered an awful financial settlement for Scotland." |
The Nationalists will now bring forward their own budget to Holyrood in the next few weeks, but Mr Swinney declined to speculate on the impact on services. | The Nationalists will now bring forward their own budget to Holyrood in the next few weeks, but Mr Swinney declined to speculate on the impact on services. |
On Treasury figures, Scotland's "baseline" spending this year is just more than £26bn. | On Treasury figures, Scotland's "baseline" spending this year is just more than £26bn. |
The increases will be £1.185bn in 2008/09, £2.340bn in 2009/10, and £3.725bn in 2010/11. | The increases will be £1.185bn in 2008/09, £2.340bn in 2009/10, and £3.725bn in 2010/11. |
The Liberal Democrats attacked the SNP and reiterated its call for the Scottish Parliament to be given greater powers to raise its own revenue. | |
Alistair Carmichael MP said: "The truth is they cynically promised things they knew they could never deliver, and now they?re desperately blaming everyone but themselves for the resulting mess." |