| Comment | In isolation, around an additional £500m/year is raised from the differential rates - most of which is directed into additional welfare spending
How it affects the Scotgov budget is complex because of how tax revenues interact with the block grant, and kind of depends on the counterfactual - because devolved tax revenues are hit by the fact that growth in Scotland has (in recent years) lagged behind the rest of the UK. So yes Scotland raises more tax than if the bands were set the same to the rest of the UK, but no Scotland doesn't raise more tax than if taxation wasn't devolved, if that makes sense.
You'll find plenty of robust debate on this issue elsewhere! |
|---|