Rt Hon Alistair Darling MP

This month, as Chancellor, I presented the Pre-Budget report to the House of Commons and set out public spending for the next three years.

A couple of months ago I wrote about the challenges and priorities we face.  The plans I set out this month show how we’re responding to these challenges and the aspirations of people in this country.

But remember, it’s only possible for us to set ambitious plans and continue to help people meet their aspirations because of a strong and stable economy alongside low inflation whilst increasing employment and tackling poverty.

And we’re doing more to help less well off families.  Our commitment to raise Child Tax Credits well above inflation next April will give many more a more secure future.  And the commitment to raise the Pension Credit minimum guarantee to £124 for single pensioners and £189 for pensioner couples from next April will help them too.  Pensions will also rise next April too.

Many people have been worried that rising house prices mean they won’t be able to pass on what they had hoped to their families.  I announced our plans to change the way Inheritance Tax works which means a widow for example or a surviving civil partner will now be able to leave more to their families before they pay tax – up to £600,000 – and from April 2010 it will go up to £700,000.  This will help bring peace of mind to many of home-owners in Edinburgh where house prices have risen quite rapidly.

I’ve made more money available to the Home Office to address our concerns on terrorism and security and to the International Development Department to continue with our long-term commitment to eliminating global poverty.
The money that goes to the Scottish Executive will rise to £30bn in 2011 which is more than double the level available to Labour First Minister Donald Dewar in the very first Scottish Executive in 1999.  Despite the attempts to tell people otherwise, Scotland has received its full share of expenditure and will receive exactly what it was entitled to under the Barnett formula.  It’s becoming increasing clear to me some have made these claims as they cannot honour the policy and spending commitments they made earlier this year.
I believe that the people of Edinburgh want not only a more prosperous future but a fairer one too.  There will be no risks with unaffordable promises that put the public finances at risk.