IFS

An independent Scotland would have to dramatically cut public spending or raise taxes, according to a report out today from the Institute for Fiscal Studies. As ever in the McPanglossian world of the Scottish referendum, the No side is saying this new evidence is further proof of the need for union, while the Yes camp is arguing that this is precisely why Scotland needs autonomy. Read more

The table is featured in a report from the Institute for Fiscal Studies, a think tank, on Scotland and taxation. (The original is here.) In this world, among other things, taxes on labour and transactions would be reduced, and distinctions of business size and investment type removed. Bad side-effects of economic activity, such as carbon emissions and congestion, would be taxed directly, rather than indirectly or not at all. Read more