John Swinney said salaries made up 60% of public sector costs The Scots finance secretary has warned that public sector pay is in line for a hit, as spending cuts take hold.
John Swinney told the BBC the prospect of £1bn of cuts to his next budget meant there will have to be “significant constraint” on salaries.
The scale of cuts will be outlined by the chancellor in the UK Spending Review next Wednesday.
Mr Swinney also warned he would not rescue the troubled Edinburgh trams, if the project hit the financial buffers.
Speaking during a webcast interview at the SNP conference in Perth, Mr Swinney said salaries made up 60% of the costs of the public sector.
He said: “We’re going to have to go into a period of very significant restraint on public sector salaries.
“I can see no way that we can work our way through the period going forward without that significant restraint on public sector pay.”
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