TORY proposals for a tax cut on property purchases would leave the more wealthy £12,600 better off while saving the majority of homeowners only £100, the First Minister has warned.

The Scottish Conservatives have called on the Government to overhaul its proposals for a new Land and Buildings Transaction Tax, which will replace stamp duty from April.

Under the party's plans, tax would be paid on homes costing from £140,000, rather than the £135,000 proposed by the SNP. Homes costing between £250,000 and £500,000 would also see the rate of tax halved to five per cent, under the proposals set out yesterday.

Nicola Sturgeon said that the ideas would be considered carefully, but questioned whether they were fair.

When Mr Swinney announced his reforms, he said they would raise the same amount as the stamp duty had done. However, after George Osborne announced a large stamp duty cut earlier this month, the Scottish Government faced calls to come up with more generous proposals.

Speaking at First Ministers Questions, Ms Sturgeon said: "It's worth reminding the chamber that under our proposals, compared to the UK Government proposals, 80 per cent of transactions would leave people better off or no worse off.

"Under the [Scottish Conservative] proposals put forward today, the 80 per cent of people who buy houses under £250,000 would be £100 better off than they would be under our proposals. But the two per cent of people, who buy houses over £500,000, would be £12,600 better off.

"One of the things I want to consider is, simply, is that fair?"

The Conservatives have said that their plan could be paid for by increases to the Scottish Parliament budget, as a result of adjustments through the Barnett Formula.

Speaking after First Ministers Questions, Tory leader Ruth Davidson said there was "no excuse" not to implement her plan.

She added: "The money is there and housebuyers across Scotland are waiting.

"Our plans cut tax across the board, from first-time buyers to those seeking to move to a larger family home in their area.

"The First Minister has to act to end this confusion; the SNP's stamp duty replacement plans are in tatters, and people wanting to get on the ladder and move up it are mired in confusion."