Greens demand higher tax for middle classes

SCOTLAND’S hard-pressed middle classes face a growing threat of punishing tax rises – thanks to Green MSPs.

Nicola Sturgeon’s minority Government is likely to require their backing to pass the Budget this year – and Greens co-convener Patrick Harvie yesterday outlined the cost of the support.

At his party’s conference, he demanded income tax hikes to fund an inflation-busting pay rise for public sector workers.

Mr Harvie said: ‘We need fairer, genuinely more progressive taxation and if I’m not paying more tax, if MSPs aren’t paying more tax by the end of it, I think that will be an inadequate settlement.

‘We need to ensure that we protect low earners and ensure that those who genuinely can afford to pay more do so. So the message to [Finance Secretary] Derek Mackay as he prepares his Budget is very clear – if you want Green support, these are the areas where you are going to have to listen and you are going to have to act.

‘Public sector pay is going to be one of the most important issues in the Budget discussions. And there is now an unanswerable case for an above-inflation pay settlement for people delivering public services. I think we can win that, we can achieve that.’

With inflation now 3 per cent, the cost of a public sector pay rise is likely to be eye-watering.

The Greens say forcing middle and high earners to pay more tax will deliver an additional £331 million a year. Their 2016 manifesto called for a 43 per cent tax rate for people earning £43,000 – and 60 per cent for those on £150,000 or more.

Miss Sturgeon hinted at a tax rise at this month’s SNP conference, saying: ‘A fair society must be paid for. It is right to consider how our limited tax powers might help us protect what we value most.’

The SNP has committed to publishing analysis of tax plans, including by other parties, ahead of the Budget.

Labour and the Lib Dems have backed income tax hikes. But Scottish Tory economy spokesman Dean Lockhart said: ‘If the SNP wanted to show it is serious about growing the economy, it would stop lurching to the Left and avoid making Scotland the highest taxed part of the UK.’

The SNP said: ‘The time is right to open a discussion about how responsible and progressive use of our tax powers could help build the kind of country we want to be – one with the highest quality public services, good support for business and effective policies to tackle poverty.’