Hunt’s autumn statement devastates Scottish finances as tax hikes loom

Rishi Sunak Warns Scotland About Raising Higher‑Income Taxes

The UK’s Chancellor has made it crystal clear: if Scotland’s Deputy First Minister Shona Robison pushes through steep tax hikes for the top earners, it would be “very disappointing.”

What’s at stake?

£1.5 billion “black hole” looming in Scotland’s 2024 budget.
Potential new tax bracket for high earners, spearheaded by First Minister Humza Yousaf.
Sunak and business groups have uttered a clear warning: “No more tax bumps for Scots!”

Sunak’s Take‑away from RAF Lossiemouth

During a briefing at the RAF base, the Chancellor drew a stark line between UK‑wide fiscal policy and Scotland’s autonomous finances.

He praised the Barnett formula funds, saying Scotland receives a record‑setting financial package.
UK‑wide spending will be tightened, and people will see a National Insurance cut from 12% to 10% starting January.
That change could save an average worker about £450 per year—no small amount in today’s cost‑of‑living crunch.
“We’ll help families in Scotland, but it’s none of our business to bump taxes,” he added, keeping the tone frank.

Robison’s Response

She fired back at the Autumn Statement, calling it “devastating for Scottish finances.” She also declared:

Scotland will refuse to follow UK spending decisions that undermine the nation’s social contract.
They plan to protect public services with targeted funding, ensuring those in hard times remain shielded.
Enforcement of the social safety net will be a key pillar of the new budget.

Takeaway for Everyone

If you’re a Scottish taxpayer, get ready for a bipartisan debate on how to balance fiscal responsibility with social welfare. And if you’re living or working in the UK, keep an eye on the national decline in National Insurance contributions – that could be the windfall you’re looking for.