THE SNP-Green Scottish cabinet have met to thrash out budget plans as they face the toughest financial challenges since devolution.

Finance secretary Shona Robison has warned of job cuts as the Scottish government face a reported £1 billion funding “gap.”

And the Convention of Scottish Local Authorities (Cosla) has warned councils face going bankrupt without a cash injection.

Speaking to the Star, Scottish Labour’s Richard Leonard slammed Scotland’s government for having “come back with a bad deal” from negotiations with London.

He said: “What the Scottish Cabinet needs to consider is how it can use the powers and budget it has got to borrow to invest and to tax the rich.

“If they do that they will receive support.

“If they cut public services and jobs instead, especially in local government, they will be vehemently opposed inside and outside Parliament.”

A Scottish government spokesperson said: “The independent Institute for Fiscal Studies has said the autumn statement will be ‘more painful’ for public services than the previous period of spending cuts in the UK, and this is the difficult context in which ministers are making budget decisions.

“Discussions will continue as the detail of the budget is finalised.”