SCOTLAND will receive a £1.2 billion boost as a result of the UK Budget, Chancellor Rishi Sunak has said. 

He said millions of families and businesses across Scotland will continue to be supported by the UK Government through a Budget that "meets the moment".

Mr Sunak announced the furlough and self-employment support schemes will be extended until the end of September. 

There will also be a six-month extension to the £20 Universal Credit uplift, a one-off £500 payment to eligible Working Tax Credit claimants and coronavirus-related income tax exemptions for employees.

READ MORE: SNP: Rishi Sunak's UK Budget marks 'a return to Tory austerity cuts'

The Chancellor set-out an extension to the VAT reduction for the tourism and hospitality sectors. 

And he said Scotland will receive a £1.2bn boost with additional funding for the Scottish Government through the Barnett formula.

He said: "The UK Government has protected millions of jobs and livelihoods across Scotland – and the strength and stability of our economic union will ensure we bounce back from this pandemic together.

"This Budget will ensure the people of Scotland continue to be supported through our Plan for Jobs, committing more than a billion pounds in extra investment and funding to help fuel the UK’s recovery.”

The SNP accused Mr Sunak of overseeing "a return to Tory austerity cuts".

The Budget included accelerated funding for "growth deals" in Ayrshire, Argyll and Bute, and Falkirk.

Elsewhere, Mr Sunak announced a £27 million investment in the Aberdeen Energy Transition Zone.

A further £5m will be provided for the Global Underwater Hub in Aberdeen.

The Chancellor also outlined direct local investment to towns and communities across the UK.

Meanwhile, he said fuel duty will be frozen for the eleventh consecutive year, while alcohol duties will be frozen across the board. 

This means spirits duty will be frozen for the fourth year running, the UK Government said, making a typical bottle of Scotch whisky 30p cheaper compared to the planned rises, and giving a £450m boost to distillers.

UK ministers said they continue to "work constructively" with the Scottish Government to establish at least one freeport in Scotland.

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Scottish Secretary Alister Jack said: "The UK Government's 'fiscal firepower' will continue to protect jobs and livelihoods right across the United Kingdom as we get through the pandemic.

"Today’s budget demonstrates the UK Government delivering for people in Scotland. 

"We are living through challenging times and the extension of the UK Government's support schemes - including furlough, self-employed and business support, the Universal Credit uplift, and the hospitality VAT cut - will continue to support jobs and businesses in Scotland. We are giving vital certainty through the months ahead.

"Today’s Budget sets out an additional £1.2bn for the Scottish Government, and in addition the UK Government will ramp up direct investment in Scotland, working closely with local authorities. 

"Today we have set out how the UK Government will drive Scotland’s economic recovery through our Levelling Up, Community Renewal and Community Ownership funds. 

"This is on top of the £1.5bn we are already investing in growth deals across Scotland and accelerating the green economy in the north-east.

"We will continue to provide vaccines and covid testing for people in Scotland, which we know are the key to lifting restrictions and reopening the economy.

"As we have seen over the past year, and again from the Chancellor in the Budget, the strength of the Union, and the support provided by the UK Treasury, has never been more important to Scotland.”