Scots tax powers warning

FORMER foreign secretary Sir Malcolm Rifkind has warned that handing corporation tax powers to Holyrood could lead to higher income tax rates and “very unpleasant” consequences for Scotland’s relationship with the north of England.

Sir Malcolm said: “Corporation tax can go up or down, but the idea that a company like Amazon will invest in Dundee rather than Birmingham because of a marginal difference in rates is bizarre.

“There would have to be a profound difference in corporation tax rates in Scotland for it to make any difference in terms of investment.”