The Chancellor of the Exchequer has delivered his annual budget statement which has given record money to the Scottish Government. The Scottish Government will benefit from £4.6bn of extra funding.
Rishi Sunak also cut tax by £2.2bn for the lowest paid workers on Universal Credit, worth around £1000 for low-income families.
Importantly, as wholesale fuel costs have risen, the Chancellor has announced that fuel duty will be frozen for the twelfth year in a row.
Around 100 pubs in the Scottish Borders will also benefit from a tax cut on draught beer and cider duty, whilst distillers will benefit from yet another freeze on alcohol duties on iconic products like Scotch whisky.
Scottish farmers will also benefit from £1.9bn in funding from the UK Government that will be given to the Scottish Government to distribute.
Mr Sunak also announced £150m funding for Scottish businesses to help recover from the Covid-19 pandemic
The National Living Wage will also rise to £9.50 per hour from April, an effective 6.6% pay rise for the lowest paid. The public sector pay freeze will also be removed.
John Lamont MP said:
“Once again the UK Government is supporting Scotland to recover from the COVID pandemic by providing the Scottish Government with additional funding.
“With strikes due across Scotland, the NHS struggling to cope with demand, and local councils stretched to breaking point, this is a very welcome investment. The SNP has no excuse now for failing to invest in our public services.
“The rise in the National Living Wage and the tax cuts for the lowest paid are vital for making work pay and helping people to get by.
“Pubs are vital to our local communities and they provide a safer space for drinking and socialising. The cut to draught beer and cider tax will be a boost to pubs across the Borders.
“This truly is a budget that will protect jobs and ensure that every part of the United Kingdom receives the necessary investment to support all communities to recover from the economic shock of the pandemic.”
Rachael Hamilton MSP said:
“I welcome the Chancellor’s Budget, as it offers a great deal for the Borders and Scotland as a whole.
“This Budget delivers for hardworking families across the region, with a freeze on fuel duty and an increase in the National Living Wage.
“We will receive £2.6 billion of the Shared Prosperity fund, which is focussed on helping people get into jobs.
“For young people, there is a 6.6% increase in the minimum wage for all those aged 23 and over, more than twice the current 3.1% rise in the cost of living.
“There’s also a new 50% discount in business rates for retail, hospitality and leisure, which we will be seeking clarification from the SNP Government as to whether they will match this commitment in Scotland.
“There is a significant and welcome increase of £1.9 billion for Scottish farmers and £42.2 million to support our fisheries.
“I also welcome the UK Government’s extension of the Lord Bew review recommendations, which will ensure farmers continue to receive additional funding for the next 3 years.
“For Scottish whisky, this is the lowest real terms tax rate since 1918, which is great for our national tipple and the wider supply chain.
“Once again, this shows the might of the United Kingdom delivering for the Borders and Scotland, as we emerge from the global health crisis”.
