EDUCATION Secretary Michael Russell said he was wrong to oppose universal benefits in a 2006 book on the future of Scotland.
In a surprise climbdown, he repudiated conclusions in his study Grasping the Thistle that universal benefits drag down public services.
Speaking as fellow SNP ministers attacked Labour proposals to review a string of popular entitlements, he said: "I am more than prepared to say today that my experience of the recession and the loss of 25,000 university places south of the border makes me believe I was wrong."
Mr Russell wrote in the book: "Put bluntly, universality now drags down both both the quality of service to those most in need and the ability of government to provide such services.
"However,our political parties do not have the courage to address the issue for fear of losing votes."
His words were thrown back at him by Scottish Labour leader Johann Lamont in her speech to the Labour conference in Manchester this week.
Facing growing embarrassment over his book – which is at odds with SNP support for a range of handouts – Mr Russell also tweeted his change of heart and challenged Ms Lamont: "Will she now admit she is wrong?"
Mr Russell's retraction was derided by Labour.
Speaking after the debate MSP Paul Martin said: "Mike Russell believed in cutting public spending when the economy is booming. Now he seems to believe in spending public cash on the rich when we are in recession. When did this change of heart happen?
"If Mike Russell can change his views on matters as fundamental as these he might well end up supporting the union by the time of the referendum.
"My view of Mike Russell is consistent – he's a right- wing buffoon."
Mr Russell's comments came as MSPs again clashed over Labour's plan to analyse Government spending with a view to ending the council tax freeze and ditching free prescriptions for all and free university tuition for Scottish and EU students.
Other entitlements, including free bus travel for all over 60s and free personal care for the elderly, will also be studied to determine whether they remain fair and affordable.
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