
Modestly presented away from the main website page and, as far as I can see getting little coverage elsewhere, the above report is a classic piece of grudging, ‘aye but’, Scottish cringe, in response to another fine piece of SNP legislation aimed at protecting the vulnerable here from the harshest winds of Tory austerity.
We get, straight-off:
A diverging income tax system means higher earners in Scotland will pay a lot more than they would in England, while Scottish welfare benefits get more generous.
The Institute of Fiscal Studies says the poorest households will be £580 better off than they would be in England, and the highest earners, on average, £2590 worse off.
However, such changes come at a cost – to other public services, and in Scotland’s attractiveness to high earners.
The average Scottish household will be £210 worse off next year than it would be on similar income in England.
https://www.bbc.co.uk/news/uk-scotland-64587011
See that sneaky ‘a lot more’ for ‘higher earners’ when, in truth, it’s only the richest 10% and not all ‘higher’ earners?
See that ‘Scotland’s attractiveness to high earners?’ What does that mean? Does he think a paltry for them, £2590, will drive them away? There is no evidence for that beyond a few petulant self-centred individuals.
And, £210 worse off next year? That’s £4 a week for those earning around £26 000 per year. Context? Perspective?
Completely missing from this:
Families with children in bottom 30% of income distribution gain over £2000 a year on average.
https://twitter.com/fiscalphillips/status/1623591555457073152
So much bullshit and no proper comparison- are we really worse off? I’m sure by the time English tax payers have shelled out for prescriptions, dental and optician charges as well as the higher mortgages and rental costs in comparison to Scotland they will be worse off overall
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£4.00 per week? A latte a day from Costa is c. £3.40. As you say -perspective!
And then what is the end purpose of the additional tax revenue? What would have to be cut, what would not happen without it? As you say – context!
I see the SG is being berated for NOT accepting a tender for a road project because the single bid received failed ‘value for money’ test when evaluated. Being re-tendered.
So sometimes accused of spending too much, sometimes should spend more regardless of ‘value’- this being in government is not easy!
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It is by Douglas Fraser. Did you expect anything else? He seemed pretty positive about the obscene profits of Shell and BP.
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BBC would not exist if they were not able to issue their propaganda about Scotland , it is their purpose.
Many of the people who complain about paying more tax in Scotland are English people who have retired then moved from England to Scotland because they can buy a house twice the size in Scotland for half the cost it would be in England which leaves them with added capital savings which in turn allows them to retire earlier than us Scots in Scotland.
I hear some of them say yes but we had to pay higher mortgages to get the house in England.
My reply is yes but you get paid more in England for doing the same job we do in Scotland.
It’s a scam
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The article by the BBC’s Douglas Fraser is peppered with references to the Institute for Fiscal Studies (IFS). They include: ‘.. the Institute for Fiscal Studies, that London-based hotbed of tax and benefit analytics. It has recently been taking a close interest in Holyrood’s divergence on income tax and welfare. You may have seen its warnings about the pressures on council budgets.’
With Holyrood opposition parties ‘outraged’ at the proposed SG settlement for Local Authorities, it’s (perhaps!) surprising that the BBC failed to highlight this from a very recent report on public finances in Scotland from the ‘favoured’ IFS :
‘Scottish councils received approximately £1.8 billion in COVID-19 grants during 2020– 21 and 2021–22 to address pandemic-related pressures. Net expenditure did increase for a range of services, often reflecting the fact that additional grant funding had to make up for the loss of income from sales, fees and charges (such as parking charges).
‘But COUNCILS ALSO INCREASED THEIR GENERAL FUND RESERVES BY AROUND £1.3 BILLION OVER THE SAME TWO YEARS, WHICH SUGGESTS THAT THE ADDITIONAL FUNDING THEY RECEIVED EXCEEDED THE SHORT-TERM FINANCIAL PRESSURES THEY FACED, OR THAT THEY STRUGGLED TO SPEND FUNDS WELL.’
And £1.3 billion is a substantial sum relative to the total settlement as the IFS report notes: ‘In the original 2022–23 budget as passed by the Scottish Parliament, THE SCOTTISH GOVERNMENT ALLOCATED £10.6 BILLION to councils as part of the main local government portfolio, with further funding from other portfolios increasing the amount initially provided in the ANNUAL LOCAL GOVERNMENT FINANCE SETTLEMENT FOR RESOURCE (I.E. NON-CAPITAL) SPENDING TO £12.0 BILLION.’
Interestingly, the IFS report also tells us:
‘Within the overall cuts to councils’ funding, some services have seen spending increase. For example, after initially falling, REAL-TERMS SPENDING ON EARLY-YEARS CHILDCARE AND SCHOOLS IS LIKELY TO BE AROUND 19% ABOVE 2009–10 LEVELS BY 2021–22. This partly reflects a big boost to teachers’ pay in Scotland in 2019–20, as well as the aforementioned expansion of free early-years childcare.’
And for comparison: ‘As a result of these spending increases, SCHOOL SPENDING PER PUPIL AGED 3–18 IS ESTIMATED TO HAVE BEEN 17% HIGHER IN SCOTLAND IN 2021–22 THAN IN 2009–10. THIS IS IN STARK CONTRAST TO ENGLAND WHERE IT IS ESTIMATED TO HAVE BEEN 2.5% LOWER THAN IN 2009– 10.
Adding: ‘Spending per pupil in 2021–22 is estimated to be 25% higher in Scotland (£8,800) than in England (£7,100), up from 4% higher in 2009–10.’
Source: IFS (3 February, 2023) Council and school funding (Scotland), Report R241
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Tax evasion UK Laws not enforced by Westminster. £3Billion. Paying off debt not borrowed or spent in Scotland. HS2 Hinkley Point etc. £Billions. Scotland not able to borrow. Westmibster borrows and spends what it likes. On any obscene no value project. £15Billion wasted on PPE. Non scruntinused illegal contract for Tory donors and their associates. Fraud. Trident & Defence costs Scotland more than necessary. Overcharged for little benefit back. Scotland overcharged for fuel and energy. 25% in surplus and nearer the source but Scotland pays more. Daylight robbery. People scared to put on heating etc. Making people ill, suck and depressed.
Brexit has cost Scotland £Billions but Scotland did not vote for Brexit. No taxation without representation. Westminster funded Covid £270Billion over two years. UK whole Accounts 2019/20. £370Billion over a lifetime. £13Billion a year Nuclear decommissioning. Over ten years. Then more? Flying waste around the world. Shipping it to other poorer countries. More waste. Westminster spent £918Billion, 2019/20 but claim to not manage to pay essential workers. Wages going down with Austerity.Essential workers have left because of Brexit. UK taxes and revenues raised 2019/20. £815Billion. Borrowed the rest. UK Gov whole Accounts 2019/20. Published June 2022.
Scottish Gov has to mitigate the cuts. Austerity.. Another war brewing to sell off redundant weaponry killing millions. Making Politicans and their associates rich. Richi is on the slide down. Time is running out. Tories slowing the economy. To short sell and make monies out of it. Starving people. Illegal insider trading. Lowest f the low. The Westminster Tory Gov. Just go and do not prolong the misery.
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Just saw this, it’s full of holes and of course the ‘Scottish government’ is to blame. And, Bristol university? Check out the financial organisation behind it.
Published via a fairly respected website, disgraceful.
https://phys.org/news/2023-02-scottish-households-financial-well-being-rest.html
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It’s also misleading in implying that there is a benefits system in the UK called ‘social security’. Scotland has a social security system, England does not.
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Thanks
Will use
John
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