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| Scottish independence: Treasury claims '£1.6bn funding gap' in White Paper | |
| (about 7 hours later) | |
| An independent Scotland would need to find an extra £1.6bn a year to pay for policies such as free childcare, according to the UK government. | An independent Scotland would need to find an extra £1.6bn a year to pay for policies such as free childcare, according to the UK government. |
| Treasury analysis of the Scottish government's White Paper alleges the "unfunded" initiatives would lead to tax rises or spending cuts. | Treasury analysis of the Scottish government's White Paper alleges the "unfunded" initiatives would lead to tax rises or spending cuts. |
| The chief secretary to the Treasury said the Scottish government could not "spend what it will not have". | The chief secretary to the Treasury said the Scottish government could not "spend what it will not have". |
| Scottish ministers said the Treasury's figures were "all over the place". | Scottish ministers said the Treasury's figures were "all over the place". |
| The White Paper on independence, which was launched last month by First Minister Alex Salmond and Deputy First Minister Nicola Sturgeon, contained a number of key policy commitments, including: | The White Paper on independence, which was launched last month by First Minister Alex Salmond and Deputy First Minister Nicola Sturgeon, contained a number of key policy commitments, including: |
| According to the UK Treasury, these three policies would cost £1bn a year by the end of the first parliament, and £1.6bn a year by the end of the second parliament - comparable to the annual cost of Scotland's entire police and fire services. | According to the UK Treasury, these three policies would cost £1bn a year by the end of the first parliament, and £1.6bn a year by the end of the second parliament - comparable to the annual cost of Scotland's entire police and fire services. |
| This does not include costs associated with other policy commitments contained in the document, including returning the Royal Mail to public ownership and increasing the National Insurance employment allowance, said the Treasury. | This does not include costs associated with other policy commitments contained in the document, including returning the Royal Mail to public ownership and increasing the National Insurance employment allowance, said the Treasury. |
| Voters in Scotland will go to the polls on 18 September 2014, and will be asked the "yes/no" question: "Should Scotland be an independent country?" | Voters in Scotland will go to the polls on 18 September 2014, and will be asked the "yes/no" question: "Should Scotland be an independent country?" |
| 'Dynamic impact' | 'Dynamic impact' |
| Chief Secretary to the Treasury Danny Alexander said: "The reality is that the White Paper shows nothing about how [the Scottish government] would pay for these commitments. | Chief Secretary to the Treasury Danny Alexander said: "The reality is that the White Paper shows nothing about how [the Scottish government] would pay for these commitments. |
| "The Scottish government cannot claim it is going to spend what it will not have. | "The Scottish government cannot claim it is going to spend what it will not have. |
| "Within the UK, Scottish businesses are benefitting from the substantial cuts in corporation tax the coalition has delivered, and Scottish families will benefit from tax-free childcare in 2015. | "Within the UK, Scottish businesses are benefitting from the substantial cuts in corporation tax the coalition has delivered, and Scottish families will benefit from tax-free childcare in 2015. |
| "The real choice next year is between unfunded promises that ignore the realities of being a new and separate country or an economic, political and social union - in the UK - that has stood the test of time." | "The real choice next year is between unfunded promises that ignore the realities of being a new and separate country or an economic, political and social union - in the UK - that has stood the test of time." |
| Deputy First Minister Nicola Sturgeon said: "Danny Alexander's figures are all over the place. | Deputy First Minister Nicola Sturgeon said: "Danny Alexander's figures are all over the place. |
| "In September, the No campaign were claiming a funding gap of £32bn, by last month that had shrunk to £10bn, and now they are saying it is £1.6bn - all these figures are wrong, but at this rate even the No campaign will be predicting a healthy surplus by the time the referendum arrives. | "In September, the No campaign were claiming a funding gap of £32bn, by last month that had shrunk to £10bn, and now they are saying it is £1.6bn - all these figures are wrong, but at this rate even the No campaign will be predicting a healthy surplus by the time the referendum arrives. |
| "This analysis completely ignores the dynamic impact of the policies we are proposing to increase economic activity, which will boost growth and tax revenues." | "This analysis completely ignores the dynamic impact of the policies we are proposing to increase economic activity, which will boost growth and tax revenues." |
| Ms Sturgeon said the UK and Scottish governments had "vastly different" spending priorities. | Ms Sturgeon said the UK and Scottish governments had "vastly different" spending priorities. |
| She added: "Westminster is pressing ahead with a new generation of weapons of mass destruction, at a cost of up to £100bn, and at the same time is attacking the Scottish Government's plans to transform childcare in an independent Scotland." | She added: "Westminster is pressing ahead with a new generation of weapons of mass destruction, at a cost of up to £100bn, and at the same time is attacking the Scottish Government's plans to transform childcare in an independent Scotland." |