John Swinney is considering a tax raid on supermarkets and large shops that sell alcohol and cigarettes to raise cash for public services, according to reports.
The new tax is set to form part of the First Minister's budget negotiations later this year, when his party will need to rely on the support of non-SNP MSPs to ensure it is passed.
The business tax rise, which is reportedly top of the Scottish Greens' budget wish list, has been on the table since Humza Yousaf was First Minister and more discussions are taking place with the Scottish Retail Consortium (SRC) about how a surtax would work.
“If retailers are profiting from the sale of products that are damaging public health, like alcohol and tobacco, then they should also pay towards mitigating the health and social costs that they cause," said Green MSP Gillian Mackay.
She added: “Minimum unit pricing has been an important step forward, but the money made from it is staying with the supermarkets rather than being used to support people and families who are on the frontline of the crisis.
“This is something that I hope MSPs from all parties can agree on and work together to deliver. With a budget due later this year, I hope that the Scottish Government will apply a public health levy to ensure that we are supporting frontline recovery services.”
A previous surcharge on large retailers raised £95m in three years, before its scrapping in 2015.
A backwards move
The SRC has hit out at a potential tax rise and has called on the SNP Government to focus on growing Scotland's economy.
Ewan MacDonald-Russell, Deputy Head of the SRC, said: "Retailers believe a new surtax on grocers would be a retrograde step.
"There is no evidence retailers are profiting significantly from the rise in minimum unit pricing of alcohol; and larger grocery retailers already pay a higher property rate as part of their business rates bill.
“The reality is Scotland's retail industry already faces increased costs and a swathe of upcoming new regulations. We believe the onus from Government must be on growing Scotland's economy, something we think is at odds with this unfair and unnecessary cash grab.
“We hope the Scottish Government will follow through on their promises to put the economy first and therefore shelve plans for this surtax."
Meanwhile, the Scottish Government say early engagement with the sector has begun to ensure "considered and informed decisions can be made in advance of the 2025-26 budget.”