Warning on Scots income tax rates

Scottish income tax rates must remain competitive with the rest of the UK or risk “longterm damage” to the economy, CBI Scotland has warned ahead of the Budget.

Finance secretary Derek Mackay has been urged to enhance Scotland’s competitiveness and not be tempted by a “one-off tax raid”.

With Mr Mackay to unveil the Budget next Wednesday, CBI Scotland director Tracy Black warned businesses were concerned about their ability to compete with UK rivals if Scottish tax rates were higher.