• Text size
  • Send this article to a friend
  • Print this article

SNP told tax plan will lead to £2.6bn black hole

SCOTLAND'S budget would develop a £2.6 billion black hole if the SNP Government cut Scottish corporation tax to the same level as Ireland's, the Scotland Office said yesterday.

Custom byline text: 
MICHAEL SETTLE UK POLITICAL EDITOR

Devolving the money raised from company profits to Holyrood is one of six items on First Minister Alex Salmond’s wish-list.

The UK rate is 26%, Ireland’s is 12.5%.

Scottish Secretary Michael Moore revealed the £2.6bn figure – calculated by the Treasury – as he addressed Scottish Financial Enterprise in Edinburgh. In a thinly veiled swipe at Mr Salmond, he said he “took issue” with the way the constitutional debate was being conducted, saying it was “too heavily founded in rhetoric and not enough in hard facts”.