Tories will force cuts in Scotland to foot £1bn deal with DUP

been no change in UK Government departmental expenditure limits, it follows that no Barnett consequentials are generated”.

The SNP say that means the DUP £1billion will have to come from other departments’ budgets.

A Scottish Government source said: “This letter has completely given the game away – not only has David Mundell failed to gain anything for Scotland, his inaction risks seeing Scotland’s budget cut.

“The admission by Liz Truss that there has been no increase in overall UK departmental spending as a result of the DUP deal is a smoking gun.

“It reveals that other government departments face cuts to pay for the cash-for-votes deal.

“And that would see Scotland’s funding reduced too.”

Before the DUP deal was struck, Mundell briefed journalists that extra cash for Northern Ireland should lead to more money for Scotland. And the Scottish Government source said: “Mr Mundell’s conduct throughout has been deplorable.

“A week ago, he claimed he would not let any extra cash go to Northern Ireland without simi lar benefits coming to Scotland.

“But instead of doing as he promised, he failed to stand up to Theresa May and the result is Scotland’s budget faces being slashed.

“This whole grubby episode is a fiasco from which his political and personal credibility can never recover.”

The Tories have compared the DUP cash to lucrative “city deals” previously given to Scotland. The SNP point out May has promised Northern Ireland city deals on top of the £1billion.

The Treasury said they routinely make “small adjustments” to public spending throughout the year which would cover the cost of the DUP deal.

A spokesman said: “The funding for the Northern Ireland Executive will not come from existing UK government departments. Suggestions to the contrary are categorically untrue.”

A UK Government spokesman said: “The deal brings stability, which will be vitally important as we prepare to leave the EU.”