New powers 'could fund' Forth bridge

NEW borrowing powers to be given to the Scottish Parliament could be used to finance the new Forth road bridge.

Scottish Secretary Michael Moore highlighted the 2 billion crossing as one of the projects which could benefit from the new power as he unveiled the UK Government's Scotland Bill, setting out a major extension of devolution including increased tax powers and control of firearms.

Under the proposals, Holyrood will be able to borrow up to 500 million for revenue spending to make up for shortfalls in tax income and up to 2.2bn for capital projects.

Mr Moore said: "This goes beyond what Calman envisaged, but it's the right thing to do. It will be for the Scottish Parliament and Scottish Government to decide whether to borrow and on what to spend - on the Forth crossing, on hospitals or on new school facilities."