David Cameron says Scotland '˜needs to move' on powers deal

The Prime Minister has written to Nicola Sturgeon to express his frustration at the Scottish Government's unwillingness to compromise during talks on more Holyrood powers.

David Cameron speaking during Prime Minister's questions. Picture: PA

In his letter, David Cameron urged Ms Sturgeon to “move towards” his position on the fiscal framework for new devolved powers.

The talks have stalled as a result of the Scottish Government’s refusal to accept a Treasury package, which Finance Secretary John Swinney claims will cost Scotland £3 billion over the next decade.

Mr Cameron said: “We have consistently listened to your concerns, put a number of alternatives on the table and moved substantially towards you; you will need also to be prepared to move towards us...It would be very difficult for me to explain to taxpayers in the rest of the UK that Scotland will stop paying income tax into the central pot yet somehow still receive a share of it.”

In the Commons earlier, Mr Cameron expressed hope that a more powers deal would end the SNP’s “grievance agenda”.

The SNP Westminister leader Angus Robertson said: “Why is the UK Treasury proposing plans that may be detrimental towards Scotland to the tune of £3 billion?”