Yusuf says Scots will have £10,000 more after independence

Humza Yousaf called Britain «the poor man of north-west Europe»; Photo: Andrew Milligan/PA Wire

Humza Yousaf denies involvement in «fantasy economics» after facing ridicule for his claim that Scottish independence would lead to a £10,200 increase in household wealth.

The First Minister said the figure would be a “huge prize for independence” if Scotland could reach the average income of small countries such as Norway and Denmark.

In a speech at Glasgow University, he insisted , which does not state that “there will be rivers of milk and honey, and manna will fall from heaven” the day after independence.

Pressed that it was «fantastic economics», he said the £10,200 was based on a report from the Resolution Foundation think tank, which claimed the average household would be £8,300 better off if the UK had an average income inequality, as in similar countries. /p>

He called the UK «the poor man of north-west Europe» as he set out his views on industrial policy in an independent Scotland.

«Raving speech»

But Craig Hoy, the Scottish Tory chairman, said: “This delusional speech once again confirmed how out of touch Humza Yousaf is with the Scottish people, who are tired of his obsession with independence.”

“The First Minister’s argument for Scotland’s separation from the UK is based on myth, fantasy economics and the whimsical hope that the public will forget that last month’s disastrous tax-and-tax Budget was the product of years of waste and dismal growth under the SNP.”

Scottish Government data shows tax receipts per person in Scotland were £696 higher than the UK average in 2022-23 due to North Sea oil and gas production, but government spending was £2,217 per person more thanks to the Barnett formula.

If you add up the difference in expenditure and income figures, Scotland's «Union dividend» amounted to £1,521 per person. However, after independence this will disappear.

Referring to the £8,300 figure provided by the Resolution Foundation, Mr Yousaf said: “If we did the same analysis for countries like Scotland, the premium for a typical Scottish family would be even higher.

“They would be £10,200 better. This is the great reward of independence. No one is talking about this, not to catch up with the performance of these independent countries overnight, but to start catching up with them – so that Scotland becomes more normal for countries like us.”

He introduced three-point program. industrial strategy for an independent Scotland, the first of which was joining the EU.

However, experts warn that this would mean creating a hard border with the rest of the UK, which is by far Scotland's largest export market.

Mr Yousaf also announced a plan to create another Scottish government agency that would “drive industrial policy” and spend public money on “key areas of comparative advantage”.