Labour leader Iain Gray called on the First Minister to step in and overrule finance secretary John Swinney who meets the Group of Six business organisations today, major opponents of the SNP's Local Income Tax.

Mr Gray said:

"This is a seminal moment for the First Minister. Will he step in to overrule his finance secretary and do what is right for Scotland 's economy or will he continue to put his own party interest before the national interest? Is he the First Minister of Scotland or First Minister of the SNP?

"Alistair Darling made a mistake with Whisky duty. He fixed it in 48 hours. The First Minister is making a far more damaging mistake. He must fix his mistake now and drop his policy.

"He should look at his own consultation which he sneaked out this week while all eyes were not the Pre-Budget Report. Among the organisation that roundly condemned Mr Salmond's tax are the CBI, the Institute of Directors , the Chambers of Commerce, Unison, the Federation of Small Business, the Public Finance Accountants, The Law Society. I could go on.

"To be fair some supported it. Dumfries and Galloway – SNP group; East Dunbartonshire – SNP group; South Lanarkshire council; - SNP group,   and let's not forget the Association of Scottish Liberal Democrat councillors.

"On Monday a Labour chancellor put £2bn into the pockets of Scotland 's working families. On the same day the SNP finance secretary insisted he would go ahead with his plans to take an extra £1.5bn of income tax out of those self same Scottish pockets.

"No wonder this the most cowardly and humiliating presentation of a major government policy we have ever seen."

27 November 2008