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No further tax powers for Scotland, says David Cameron

David Cameron warned Scotland that increased powers isn't an option. Picture: Getty

David Cameron warned Scotland that increased powers isn't an option. Picture: Getty

SCOTS have been warned a substantial increase in financial powers for Holyrood is not an option if Scotland wants to remain within the United Kingdom.

In a blunt message to Scottish politicians and voters, sources close to Prime Minister David Cameron say an increase in powers – such as devo-max – is “inconsistent” with staying in the UK and that they must back independence if they want full financial separation from Westminster.

The sources said a unified tax and benefits system across the UK, was at the “heart” of a single country, and could not be devolved to Scotland.

The warning – which appears to rule out both devo-max and other forms of fiscal autonomy – represents a high-stakes gamble for Cameron, with polls suggesting voters in Scotland support an option to give Holyrood more powers.

Civic groups will launch a fresh campaign tomorrow demanding a full debate on the options available to voters, arguing that the current choice between independence and the status quo is too narrow. Support is growing for the short-of-independence devo-max option, under which the Scottish Parliament would take responsibility for all taxes and pay the UK for defence and foreign affairs.

Cameron believes the SNP government should stick to its election commitment to hold a referendum on independence, and leave any debate about the future of devolution until afterwards. But in his consultation paper launched last week, First Minister Alex Salmond kept open the option of including a second question on devo-max on a preferred referendum date in 2014.

However, a senior UK government source said: “There are certain levels of autonomy that are inconsistent with the UK. A unified tax and benefit system is at the heart of a united country. If you start dismantling the tax and benefit system then that is inconsistent with a single country.

“Nobody is pretending that we can make people stay in the Union. If it is more important to people that they have a certain level of autonomy on certain issues, rather than having the economic security that the UK brings to Scotland, then there’s little you can say.”

Last week, Salmond said he wanted to ask a single question on independence but left open the prospect he might support a second question on devo-max if enough people were shown to want such an option during the consultation. Pro-Union critics, however, argue that the SNP is aiming to secure itself a safety-net that will strengthen its powers if independence is rejected at the ballot box.

Tomorrow, a new campaign led by the Scottish Council of Voluntary Organisations and the Scottish Trades’ Union Congress (STUC) will call for a wider public debate about the choice being put before voters, saying the current yes-no option is blocking discussion on further possible reform. The campaign also includes the National Union of Students, the Institute of Directors, and think-tanks Reform Scotland, and the Scottish Centre for Public Policy.

On Wednesday, the STUC is also expected to back formal plans to examine whether a “third option” can be put to voters.

On the UK warning, a spokesman for Bruce Crawford, the SNP minister for government strategy, said: “We believe independence is the best future for Scotland, but we support the right of people to advance the case for a ‘devo-max’ option in the referendum consultation.”

Meanwhile, a new poll suggests only a third of people in Scotland think independence will make them better off, but a narrow majority still want either full financial autonomy or separation from the UK.

In the YouGov survey, only 29 per cent replied that Scotland would be wealthier. The findings come with SNP strategists acknowledging the economy will be the key battleground in persuading swing voters to back independence, following polls which suggest people would support secession if it was guaranteed to make them £500 a year better off.

The current Scotland Bill will devolve £12 billion of tax and borrowing powers and allow Holyrood control of a third of its budget.


Comments

There are 829 comments to this article

829

Anagach

Monday, January 30, 2012 at 07:07 AM

825-827 The Answer The number of Disability Living Allowance... ------------------------------------------------------------------------------------------------------- Nope none of these contain a link to your arguement of a "David Cameron "#iss off" to Scotland ". All you seem to be cherry picking is that the Union has left Scotland disproportionately poorer and done less for health and wellbeing than in the rest of the UK. The Great Union Dividend, is that what you meant by a "#iss off" from David because its been going on longer than hes been around. Oh and found any English air bases yet ?.



828

RobertBurnsOB

Monday, January 30, 2012 at 05:45 AM

Wow! This is like reading archaeological artifacts of Neandertals!! So, this ideologue has made it clear that the U.K. can be politically correct only with a wholesale merger of Scotland into the U.K. at least when the difference would be via powers of taxation. What a racket! FOR THE FIRST TIME I now advocate restoration of independence for Scotland. Let the U.K. then bargain for Scotland's return on an equal footing in a "union" of kingdoms (anachronisms) and NON-kingdoms without a loss of fundamental autonomy to any.



827

The Answer

Monday, January 30, 2012 at 01:08 AM

The number of Disability Living Allowance (DLA) in payment claimants with Alcoholism and Drug Abuse as main disabling condition by Local Authority - February 2010 and May 2011. ..................... 15,270 . . . England . . . . . . . . . 4,890 . . . scotland . ................................. http://statistics.dwp.gov.uk/asd/asd1/adhoc_analysis/2012/ib_sda_esa_dla_drug_alcohol_by_la.xls



826

The Answer

Monday, January 30, 2012 at 01:00 AM

The number of Employment and Support Allowance (ESA claimants with Alcoholism or Drug Abuse as main disabling condition by Local Authority - February 2010 to May 2011 ........................ Alcoholism . . . . . 13,360 . . England . . . . 2,670 . . scotland .................. Drug Abuse . . . . . 7,770 . . England . . . . 1,700 . . scotland .................. http://statistics.dwp.gov.uk/asd/asd1/adhoc_analysis/2012/ib_sda_esa_dla_drug_alcohol_by_la.xls



825

The Answer

Monday, January 30, 2012 at 12:49 AM

The number of Incapacity BenefitSevere Disablement Allowance (IBSDA) claimants with Alcoholism or Drug Abuse as main disabling condition by Local Authority - February 2010 to May 2011 ......... Alcoholism . . . . . 30,550 . . England . . . . 6,520 . . scotland ................... Drug Abuse . . . . . 27,370 . . England . . . . 5,090 . . scotland .................. http://statistics.dwp.gov.uk/asd/asd1/adhoc_analysis/2012/ib_sda_esa_dla_drug_alcohol_by_la.xls



824

Anagach

Monday, January 30, 2012 at 12:19 AM

823 The Answer about your fantazy and the English begging scotland to stay? , no links ... case closed ..... and dont forget for every £1 income tax raised in scotland England raises £12. ------------------------------------------------------------------------------------------------------ The Labour party, LibDems, and Tories are all fighting a vote NO to Independence for Scotland. from the comment above you apparently are unaware of this. Oh and for every mental health patient in Scotland, England has 9.7, dont forget now.



823

The Answer

Monday, January 30, 2012 at 12:12 AM

#822 . . . Anagach . . . "Cameron "#iss off" to Scotland its just your imagination son, unless you have a link. " ... the English are very polite, now about your fantazy and the English begging scotland to stay? , no links ... case closed ..... and dont forget for every £1 income tax raised in scotland England raises £12.



822

Anagach

Monday, January 30, 2012 at 12:03 AM

819 The Answer #819 . . . Anagach . . "What English air bases ?. There are no English air bases anywhere in the World." ..... there are two less now! .... glad to help ... which part of #iss off don't you still understand? ------------------------------------------------------------------------------------------------------- Two less than zero - thats pretty unusual, even for air bases, sure its not Zone 51 your in. And as for the David Cameron "#iss off" to Scotland its just your imagination son, unless you have a link.



821

Anagach

Monday, January 30, 2012 at 12:00 AM

818 The Answer Of course you could point out the 'begging the scotch to stay' stories cant you? ----------------------------------------------------------------------------------------------------- Aye they are desperate for the drink those Westminster politicians, if grahamski was here he would be telling you.



820

The Answer

Sunday, January 29, 2012 at 11:59 PM

#819 . . . Anagach . . "What English air bases ?. There are no English air bases anywhere in the World." ..... there are two less now! .... glad to help ... which part of #iss off don't you still understand?



819

Anagach

Sunday, January 29, 2012 at 11:56 PM

818 The Answer Closure of 2 Englsih airbases located in scotland --------------------------------------------------------------------------------------------------------- What English air bases ?. There are no English air bases anywhere in the World.



818

The Answer

Sunday, January 29, 2012 at 11:41 PM

#816 ............................................................................................................ Closure of 2 Englsih airbases located in scotland ..................................... reduction from 59 to 52 scottish Westminster MP's ................................ Carbon cabture funded with English £ pounds withdrawn ......................... HS2 to Birmingham (not a chance in hell going to scotland) ..................... No to devo max .......................................................................................... devolved property stamp duty (whch means a net loss to scotland of £300 million English taxes) ....... Of course you could point out the 'begging the scotch to stay' stories cant you?



817

aliahmed

Sunday, January 29, 2012 at 11:16 PM

Imagine you are in a club and want to leave. You leaving will have some effect on the club but at the end of the day it is your decision and your decision alone. Now if you want to remain in the club but want the rules changed, you can demand it but it is up the rest of the members to agree, if they don't you have a simple choice. 1) agree to remain in the club on existing terms or 2) leave the club altogether. The PM is only expressing what we in EnglandWalesN Ireland want. Stay or go but there is no halve way house. We don't agree with devo max for Scotland and that our prerogative. If you care to take a few minutes to think through the implications of devo max then it becomes obvious why. Lets suppose the UK grants Scotland control over everything except defense and foreign policy. How would you solve the west Lothian question. A) Stop Scottish MPs voting on non devolved issues. In this scenario what happens if we get a hung parliament with Labour as the biggest party, who govern with a pactcoalition with the Libdem, the the Conservative have an overall majority in England. the government would not be able to pass any England only legislation. B) Create an English parliament. In this case the English parliament will become more important then the non devolved uk parliament. C)reduce the number of Scottish Mps to say 30 to compensate. With so little Mps from Scotland deciding non devolved issues whats the point of having them there. Like him or loath him there is a logic to what he is saying.



816

Agent P

Sunday, January 29, 2012 at 10:58 PM

Biffo, where is the link?



815

Anagach

Sunday, January 29, 2012 at 10:42 PM

758 The Answer which part of D Cameron's p#ss off to scotland didnt you understand? ------------------------------------------------------------------------------------------------------ understand ?, I have not even heard it. Has he come out in support of a YES vote ?. That is good news but I cant seem to find it on the BBC or internet newsites - can you post a link please. Come on whats keeping you!.



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