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Sinn Féin accuses Osborne of arrogance

SINN Féin said yesterday it would not agree to the devolution of corporation tax "on the basis of implementing Tory policies".

The party's finance spokesman Daithí McKay accused chancellor George Osborne of arrogance after he said the tax-varying power would depend on the outcome of current all-party talks, where welfare reform is on the table. "Sinn Féin will not be taking any lectures from George Osborne," the North Antrim MLA said. "We are not going to agree to the transfer of corporation tax or any other power on the basis of implementing Tory policies." "We need a serious contribution from the Tory party, from the British government, and we need to ensure that not only corporation tax, but other fiscal powers, are transferred as well to ensure that we can maximise job creation and maximise opportunities."

First Minister Peter Robinson gave a cautious welcome to the conditional agreement to devolve corporation tax powers.

He conceded it was not unreasonable for Westminster to expect political stability before handing new fiscal powers to Stormont.

However, the DUP leader warned that other political parties must "step up to the plate" and agree on welfare reforms before the opportunity was lost. "Let us be clear. If Sinn Féin and the SDLP had been prepared to agree the DUP-enhanced welfare reform proposal and if the SDLP, UUP and Alliance had been sufficiently mature to take the difficult decision to support the draft budget we would have been moving to legislate for corporation tax powers to be devolved on Monday," he said. "There are only a few weeks left for these parties to step up to the plate. If this opportunity is lost they will have to explain why they failed to behave in the best interests of our people and why they have rejected the opportunity to create up to an additional 50,000 jobs here."

SDLP Mid Ulster MLA Patsy McGlone said Mr Osborne's "heavily conditional" announcement lacked detail and warned that the British government would use it as a "bargaining chip". "It is important that all parties refuse to be strong-armed by the Tories into making concessions that are not in the best interests of people here," the Stormont enterprise committee chair said. "The talks outcome should be comprehensive, decisive but most of all should meet the needs of the people we represent, not the desires of an austere chancellor in London."

Alliance East Belfast MP Naomi Long said the chancellor's announcement should focus the minds of political leaders. "A lower level of corporation tax cannot be successful in a vacuum.

We need to see continued investment to assist economic growth, among other moves," she said.

UUP economy spokesman Danny Kinahan described Mr Osborne's 'agreement in principle' as a step in the right direction. "The devolution of corporation tax has been tied to a successful outcome of the current talks process being chaired by the secretary of state," the South Antrim MLA said. "The UUP remains fully engaged in that process, and focused on the need for the Northern Ireland executive to balance its books."

But TUV leader Jim Allister, a sceptic of the benefits of corporation tax devolution, said he believed the issue should now be put to bed. "If the chancellor means what he says corporation tax devolution should be off the table for the foreseeable future as Stormont has patently failed to manage its financial affairs," the North Antrim MLA said. "Scrambling together a deal for the optics hardly meets that test."