Holyrood wins power to go £2.7 bn into debt
By TOM PETERKIN, DAVID MADDOX and SCOTT MACNAB
THE most radical transfer of financial powers to
The UK government's plans to give Holyrood borrowing powers for the first time were published in the Scotland Bill, which also includes a raft of new financial instruments capable of raising about £12bn.
The legislation includes a new Scottish income tax that will force the parliament to raise about a third of the £30bn it spends each year.
Published on St Andrew's Day, the bill will give the parliament borrowing powers, with £2.2bn earmarked for construction projects such as the new
The remaining £500 million in borrowing powers is for smoothing discrepancies that may emerge when the new income tax is implemented.
On a day full of symbolism, Scottish Secretary Michael Moore launched the document at the first home of the parliament on the Mound, saying the bill represented the "a new chapter" of devolution.
He hailed the constitutional change as the "largest transfer of fiscal powers" since the 1707 Act of Union, adding that it was a "radical but responsible step".
Mr Moore added: "The level of taxation will be
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