I’m providing stability and stimulus...

THE Scottish Budget is a budget of stimulus and stability, writes Finance Secretary Derek Mackay:

“As a result of our income tax decisions, we have been able to invest in essential public services, particularly the NHS, while ensuring 55 per cent of income taxpayers in Scotland pay less tax than those earning the same income in the rest of the UK.

“NHS Greater Glasgow & Clyde will see its budget increase by more than £76m, to £2.231 billion in 2019-20, and we are investing in a new NHS elective care centre in Clydebank.

“It will help prepare our economy for Brexit with more than £5b of capital investment to grow and modernise Scotland’s infrastructure.

“This includes £207m in our major rail electrification programme – including the line between Glasgow and Edinburgh via Shotts – and continue the redevelopment of Queen Street Station.

“The budget provides £187m funding for City Deals, including Glasgow. Significant investment in Sighthill will see a whole new community become far better connected to jobs and opportunities across the city.

“Glasgow will continue to pilot the Tax Incremental Financing scheme, under which councils retain future tax revenue to fund current infrastructure investment and unlock private sector development.

“And we will work with local authorities to support the implementation of the Glasgow Low Emission Zones.”

While unlikely to chase people away, paying an extra £1000 a year could be a factor in deciding to re-locate here to work in higher paid jobs in say, schools or hospitals especially if house prices are high.

Mr Mackay has been neither reckless nor radical, when people on lower incomes are better off it is not by much and he has not taxed the rich, only not given them a cut. A sort of tinkering at the margins.

An interesting contrast is in the reactions of campaign groups.

The Federation of Small Businesses was pleased, citing lower business rates.

Meanwhile, Poverty Alliance and Child Poverty Action Group, described it as a missed opportunity to take people out of poverty.

You can’t please all the people all the time, but you can choose who you try to please.

STEWART PATERSON