John Swinney warns Labour's 'cuts' over £20bn black hole leave his ability to serve Scotland 'under threat'

The First Minister said Scotland faces “years of austerity” under Sir Keir Starmer, with “profound consequences” for public services and living standards. The SNP conference kicks off on Friday at the Edinburgh International Conference Centre and runs until Sunday, when Mr Swinney will make his keynote speech.

He will be under pressure to unite the party with a compelling vision for the future following last month’s disastrous general election result, in which the SNP returned just nine MPs, compared to 48 in 2019.

The conference comes against the backdrop of both the UK and Scottish governments fighting against dire financial outlooks. Chancellor Rachel Reeves has announced a more than £20 billion black hole in public finances, while Prime Minister Sir Keir Starmer said the Budget expected in October will be “painful”.

Speaking ahead of the conference, Mr Swinney said: “SNP delegates gather this weekend in Edinburgh at the end of a watershed week in UK politics. The Prime Minister’s speech on Tuesday has made clear that Scotland is facing years of austerity under Labour, which will have profound consequences for public services and living standards.

“I am listening to the people of Scotland and their priorities and I am lucky to be supported by thousands of dedicated and determined SNP members who want to see our country move forward. I am proud to lead a government which is delivering transformational change for people across Scotland. 

“The SNP Government is focused on ending child poverty, supporting economic growth, improving public services and tackling the climate emergency. 

“But be in no doubt – our ability to serve the people of Scotland is under real threat by the sweeping spending cuts that the Labour government are introducing – cuts that, only a few months ago, they were denying would take place. The SNP, and indeed Scotland as a whole, must come together to stand up against Labour’s cuts.”

The First Minister added: “My belief that Scotland will be better as an independent country has never been stronger - and I know that we will win our independence when we show the people of Scotland that the powers of independence are central to improving their living standards, their local services and their communities.”

Scottish Labour’s deputy leader Jackie Baillie accused the SNP of “desperately scrambling to deflect blame for its own failures” and insisted it “cannot hide from its dismal record”.

She said: “NHS waiting lists are at a record high, exam results are tumbling and public services across the board are facing brutal cuts, but the SNP has no answers.

“The SNP is tired, divided and mired in scandal – it cannot deliver for the people of Scotland. They are a party out of ideas and Scots are paying the price.

“While the SNP is busy making excuses, Labour is at work renewing our country – setting up GB Energy, reforming the remit of the low pay commission to boost pay, and prioritising economic growth. Scotland is crying out for change and only Scottish Labour can deliver it.”

Scottish Tory finance spokeswoman Liz Smith said: “John Swinney is fooling no-one with his desperate attempt to blame anyone, but the SNP for the savage cuts and tax rises his government is imposing.” She added: “With the financially illiterate SNP destroying our economy, and Labour imposing savage cuts on the most vulnerable, Scotland is truly stuck between a rock and a hard place.”

Scottish Liberal Democrat leader Alex Cole-Hamilton said he felt “a bit sorry” for the First Minister.

“He seems incapable of levelling with his party that it is their own scandals, divisions and poor management of public services that have got them into this mess,” he said.

"The only medicine for the stinging rebuke the public gave them at the election that anyone in the SNP is proposing is to spend more time focused on independence. When I am out knocking on doors, no one is interested in wasting more time on constitutional clashes. They want to see action on long NHS waits, rising violence in schools and our disappointing economic performance.”

Finance Secretary Shona Robison has said “tough decisions” will be needed, as experts suggested a combination of high spending and uncertainty around funding from the UK government could see Scotland struggle to balance its budget.

But in a report published earlier this week, the Scottish Fiscal Commission said much of the financial pressures facing the Scottish Government were down to decisions made in Holyrood, not Westminster.

In its report, the commission warned higher than expected public sector pay deals, a council tax freeze and social security reforms were all straining public finances.

When asked on Thursday if universal benefits such as free prescriptions and university tuition would be "on the table" for cuts, as had been reported this week, Mr Swinney told the BBC: "No, they're not.”

He said: “So our social contract is a combination of asking those on higher earnings to pay slightly more in taxation - that generates about £1.5bn of extra investment in our public services - and then the provision of a range of universal services from which everybody benefits.”

Alongside an address from Mr Swinney, the SNP conference will also hear speeches from depute leader Keith Brown and Westminster leader Stephen Flynn.

There will also be “policy discussions” with Scottish Government ministers including Deputy First Minister Kate Forbes and Constitution Secretary Angus Robertson. The latter is expected to face questions from members about the recent controversy surrounding his meeting with the deputy Israeli ambassador.