We store cookies on your device to make sure we give you the best experience on this website. I'm fine with this - Turn cookies off
Switch to an accessible version of this website which is easier to read. (requires cookies)

IFS report highlights benefits of UK economic progress

March 5, 2014 9:47 AM
Originally published by Scottish Liberal Democrats

Scottish Liberal Democrat leader Willie Rennie MSP has welcomed an IFSWillie RennieWillie Rennie report published today analysing the UK's economic future.

The IFS report highlights the improving picture of Scotland's economy as part of the UK, but sets out the difficult decisions an independent Scotland would face due to volatile oil revenues.

Mr Rennie said:

"The progress we are seeing in Scotland's economic performance is because of our place within the UK, not in spite of it. With Liberal Democrats in the UK government we have delivered lower taxes, higher pensions and more jobs. All of these boost the Scottish economy, enabling us to share the rewards of the UK whilst shaping our own domestic agenda.

"As the IFS makes clear an independent Scotland would face tough decisions as a fifth of its revenues would rely on a source which is falling, volatile and unpredictable. This report shows that there is a £4.6billion black hole between the Scottish Government's most optimistic prediction and the OBR's prediction for oil revenues in the year the SNP would have Scotland leave the UK. That is more than the entire education budget. What if the SNP's predictions are wrong? They need to tell us if they would balance the fall in revenues through higher taxes, more borrowing or cuts to public spending.

"As part of the UK family of nations Scotland has the best of both worlds. We can invest the necessary billions into decommissioning whilst sharing the risks and rewards across the broad UK shoulders. That is the positive progress which the Scottish Liberal Democrats wish to build upon through our home rule plans for a federal UK."