SNP clears first hurdle as budget principles are agreed

THE Scottish Government looks set to get parliament to agree to the general principles of its budget today after weeks of brinkmanship.

But SNP ministers have been warned that they face two weeks of hard negotiations if they are to win the final vote on 28 January.

The first vote appears to be guaranteed after Labour said they would not oppose the budget at this stage.

A spokesman said: "We are looking for some big concessions on jobs and there will be some tough negotiations over the next fortnight."

Annabel Goldie, the Tory leader, has also warned that the SNP will not get her party's support if they drop last year's concessions to fund extra police officers, a national drugs strategy, and business rate cuts for small firms, and don't support new proposals to ensure the 2009-10 budget helps hard-pressed families and businesses."

The Greens, who could prove critical in the final vote, are also holding last minute talks on their 1billion ten-year scheme for free insulation to all households that need it.

Only the Liberal Democrats look set to oppose the budget tomorrow after their demands for a 2p income tax cut were snubbed. Tavish Scott, the Lib Dem leader, said: "No other government, national or devolved, in western Europe has made such a meagre response to this economic storm."

But the Tories have called Lib Dems hypocritical for supporting a wishlist of 8.3 billion, despite wanting an 800 million cut in the Scottish budget.