THE university whose researchers revealed £1.6 billion would be sucked out of the Scottish economy by Westminster benefit changes has slapped down a Tory MSP who accused it of "socialist bias."

Alex Johnstone, Tory member of Holyrood's Welfare Reform Committee, which commissioned the research, accused Professor Christina Beatty and Professor Steve Fothergill of Sheffield Hallam University of being socialists rather than independent academics.

He said: "There are phrases used in this report such as 'bedroom tax', and whenever that phrase is used it tells you the person has a political agenda."

Mr Johnstone added: "The report states this money will be taken out of the economy, and that simply is not true. Welfare payments are not a way of contributing to the economy – it is not new money, it is redistributed from the pockets of taxpayers."

Professor Peter Wells, director of the unit at Sheffield Hallam University which carried out the research, said: "The Centre for Regional Economic and Social Research is a leading policy research centre of international significance and is independent of all political parties."

Citizens Advice Scotland's chief executive Margaret Lynch said: "This research presents an even worse picture for the people of Scotland than we thought. The damaging impact of the welfare cuts will fall mainly on the poor and vulnerable of Scotland but will also hit the wider Scottish economy."

"Taking £1.6bn a year out of our economy can only contribute to a downward spiral effect."

Jamie Hepburn, SNP deputy convener of the Scottish Parliament's Welfare Reform Committee, said: "These new figures have once again laid bare the scale of the human and economic damage of Westminster's brutal welfare cuts. It is absolutely perverse that councils in Scotland covering the poorest areas are hit hardest."