British prime minister David Cameron must concede significantly more powers to Scotland, Scottish first minister Nicola Sturgeon has demanded, though she stopped short of seeking full powers quickly over all taxes and spending.
Speaking in London, Ms Sturgeon said Mr Cameron must be prepared to go beyond the changes recommended last year by the Smith commission, though she said she had had “no indication” he wants to do that.
English Conservative MPs are pressing Mr Cameron to give Scotland full powers over all of its own taxes and spending, but coupled with ending the Barnett formula, which would create a £7 billion (€9.7 billion) black hole in Edinburgh’s finances if it were done immediately.
Ms Sturgeon went on: “David Cameron didn’t give me any indication that he wanted to move beyond the current Smith commission proposals. I think he has to and that clearly is one of the things we are going to have to discuss.”
The Holyrood parliament will – once the necessary legislation is passed into law – soon enjoy powers to set Scotland’s income taxes and thresholds, but not personal allowances, which will remain a UK-wide Westminster matter.
The SNP has backed away from demanding full control over all Scottish taxes and spending in more recent times, but it is preparing the ground to win power over business taxes and welfare – still backed by a London subsidy.
Given Labour’s leadership crisis, she said the SNP’s 56 MPs would form the most visible opposition to the majority Conservative government, but she warned Mr Cameron that further spending cuts were not acceptable.
“Scotland voted for change and that has to be heeded,” she declared, though she side-stepped questions about whether more austerity would prompt the SNP to push for a second independence referendum.