With the Scottish Parliament set to gain significant tax raising powers in 2017, all of Scotland’s political parties are setting out how they intend to use these new powers and what it will cost Scottish taxpayers.

The devolution of tax powers to the Scottish Parliament means that, for the first time, this year’s elections will be decided not just on how the Scottish Parliament spends its block grant, but also on how a large proportion of that money is raised.

Labour and Liberal Democrats have both started their Holyrood campaigns by pledging to increase Scotland’s income tax rate for everyone by 1p. It may sounds like a small amount but as with everything in politics the devil is always in the detail. Looking at the actual figures it soon becomes obvious that many Scots on middle incomes will pay a significant amount more in tax. For example, the average newly qualified Scottish nurse or teacher would pay an extra £145 per annum in income tax – in reality representing an extra 5% in actual income tax being paid. For some reason the Labour and Liberal Democrat party leaders obviously prefer to talk about 1p rather than a 5% tax hike on middle earning Scots.

My party has already outlined our thinking in this policy area. Scottish Conservatives do not believe that the tax burden in Scotland should be higher than in the rest of the United Kingdom. This would arguably put Scotland at a competitive disadvantage, at a time when we are already seeing our economy starting to drag behind the rest of the UK. Ideally, we would like to see taxes lowered in Scotland if that can be afforded.

I know that since the major economic recession during Labour’s time in power, many families have worked hard to make ends meet. The fact that Labour and the Liberal Democrats want to punish hard-working Scots rather than ease the burden of tax on them and their families tells you all we need to know about their priorities. Scottish Conservatives have always held the belief that our country is made great not through the action of government alone, but through the flair, the ingenuity and hard work of the Scottish people.

So the Scottish Parliament election in May is shaping up to be a clear choice between Scotland’s political parties and the direction each wants to take in order to see Scotland progress. Scottish Conservatives will always make the case for Scottish taxpayers to avoid being put at a competitive disadvantage and for government to work to help to create the economic environment to build a more dynamic economy, and attract wealth creators who can invest and establish new businesses.

As always please do not hesitate to get in touch if I can help you with any problems, address any issues or answer any questions, I’m always happy to help.

Elizabeth Smith MSP, The Scottish Parliament, Edinburgh, EH99 1SP Tel: 0131 348 5000 Email:elizabeth.smith.msp@scottish.parliament.uk