Press release

ALBA Party Conference calls for “most progressive Tax system in whole of UK”

Alex Salmond’s ALBA Party have called for a new “radically” progressive system of taxation in Scotland which would see the creation of a 50p top rate of tax.

Delegates in attendance agreed that “for Scotland to have the best public services possible and a social security system based on fairness, which rejects the Westminster system of punishing those most in need in our society, then Scotland requires a far bolder and more progressive tax system.”

This includes the creation of two new higher rates of taxation as well as a 50p top rate.

There are currently five income tax bands in Scotland which have been created by the Scottish Parliament: Starter rate; Basic rate; Intermediate Rate; Higher rate; and Top Rate.

Currently Scotland has a higher rate of taxation of 41% for earnings between £43,663 to £150,000. However ALBA have called on the Scottish Government as part of the upcoming budget process to create three new higher bands that would see those earning between £43,663 to £70,000 paying 41% as at present, but those earning between £70,001 to £100,000 would pay 42% tax and earnings between £100,001 to £150,000 would pay 47.5%.

The top rate of tax in Scotland is currently 46%, ALBA have called for the Scottish Government to up this to 50% for those earning over £150,000.

The measures would move 453,000 people in Scotland into the new bands, with those earning over £70,001 seeing their tax increase and everyone earning below that not seeing any increase.

Commenting, Alba Party General Secretary Chris McEleny who moved the motion on behalf of his Inverclyde branch, said:

“Whilst Scotland remains part of the UK many of the key fiscal levers to generate income and boost the economy are in the hands of the Westminster Government. Anyone paying attention to the events of the last few days can see that Scotland cannot afford to stay part of the UK.

Only with independence can we make the key decisions about our economic future that are best suited to our needs.

Therefore, Alba Party will continue to pressure the UK Government to implement fairer taxation policies until Scotland has full fiscal autonomy.

However, in the here and now the Scottish Government has an opportunity to reject the Westminster Tories dogma of tax cuts for the rich paid for by the poor. Alba’s tax policy agreed today is the most progressive of any political party in the whole of the UK. We call on the Scottish Government to implement these proposals as part of the upcoming budget in order that those with the broadest shoulders can better play their part at protecting Scotland’s public service from Westminster cuts."

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