Majority of Scots ‘do not want’ increase in devolved tax powers

THE SNP has failed to convince Scots that key powers should be moved to Holyrood, according to a major study.

And just one in ten support Nationalist plans for an income tax hike.

Only housing benefit enjoys majority support for devolution, with Scots unconvinced of the case for powers over income tax, VAT, state pensions and a range of other powers moving to Holyrood.

The report, delivered at a National Institute of Economic and Social Research conference in London yesterday, is a blow to the party’s claim that its overwhelming General Election win north of the Border delivered a mandate for greater powers.

Professor David Bell and David Eiser, coauthors of The Economic Case For Further Decentralisation To Scotland, also question whether even the SNP supports its flagship policy of full control of tax and spending, as it would guarantee Scots a worse deal than they currently receive.

‘Whether it supports full fiscal autonomy (FFA) in the short term has become harder to judge (given the relatively generous grant settlement the Scottish Government receives from Westminster, it is difficult to make the case that the Scottish Government would be fiscally better off under FFA),’ the report says.

According to a survey of 1,300 Scots, carried out since the referendum by the Centre for Constitutional Change, 55 per cent back devolution of housing benefit.

Exactly half backed devolution of disability benefit and North Sea oil and gas tax revenues. But a minority were in favour of devolution of the state pension, unemployment benefits, income tax, corporation tax and VAT.

Support for devolution of some powers fell below even the percentage that voted for full independence last year.

The authors also dismissed the SNP’s claim that the Smith Commission had sold Scotland short, arguing the parliament in Holyrood was ‘in the process of becoming one of the most fiscally autonomous devolved governments in the world’.

They also rejected the SNP’s claim that Scots have a distinct political ideology from the rest of the UK, and would be willing to pay higher taxes to support a more generous welfare system.

Murdo Fraser, Scottish Tory enterprise spokesman, said: ‘Despite the SNP claiming massive public support for “devomax”, it’s clear from this research that Scottish public opinion is much more balanced, with no majority for complete devolution of taxes.’

Ian Murray, Labour’s shadow Scottish secretary, said: ‘Labour’s amendment to devolve housing benefit to the Scottish parliament would unleash billions of pounds for the Scottish Government to plough into solving Scotland’s housing crisis. This survey clearly shows that we have a majority of Scots behind us on this.’

Nationalist MP Stewart Maxwell said: ‘These findings highlight the fact the limited powers proposed in the Scotland Bill do not meet the aspirations of people in Scotland.’