Scottish Government budget passed

Friday, February 05, 2010

Finance Secretary John Swinney's budget was approved amid calls for the reinstatement of Glasgow airport rail link (GARL).

Swinney announced more funding for training and educational places and an Independent Budget Review that examine the impact of public spending reductions.

The Scottish government also plans to publish details of all items, with expenditure above £25,000, on a monthly basis.

After weeks of negotiations the budget passed by majority with backing from SNP, Tories, Greens and Independent MSP Margo MacDonald, while Labour voted against it because of Swinney's refusal to reinstate the Glasgow rail project and the Lib Dems abstained.

Swinney said: "I am presenting to Parliament a budget that meets the needs of the people of Scotland, addressing the economic and financial challenges we face and supporting our frontline services.

"A budget that prioritises the areas of expenditure that matter most, in the face of cuts this year, and prepares us for the challenges that lie ahead."

The Scottish government will pump an additional £30m into education to support 7,500 more students in further and higher education and will result in additional college places being created. Swinney also announced plans to support the UK Government boiler scrappage scheme in Scotland.

The Conservatives boasted that they had secured £385m worth of measures in the budget and the Greens welcomed moves to include the boiler scrappage scheme and create a new home insulation programme.

Meanwhile, Labour condemned the SNP administration for cancelling the Glasgow rail link stating that funding for its construction could have been covered through slippage in other major projects. The party was backed up by CBI Scotland which said spending plans were "inadequate".

CBI Scotland director, Iain McMillan said: "A far bolder approach was required to making savings and to protect, rather than cut, important GDP-enhancing investments in infrastructure. As such the decision not to reinstate the key GARL transport project, and all the economic and environmental benefits that would bring, is particularly disappointing and short-sighted."