Olympics cash review is welcomed

New steps to resolve spending disputes with Westminster over matters such as the London Olympics has been welcomed by Scottish Government.

Ministers believe that spending on regenerating London for the 2012 games should be mirrored in Scotland.

Around £165m should be awarded to Scotland under the Barnett formula, which allocates money to the devolved administrations.

Ministers from the UK, the Scottish and Welsh Assembly governments and the Northern Ireland Executive are thinking to hire some third independent party to resolve the issues.

Scottish External Affairs Minister Fiona Hyslop said: "I hope today's agreement will help us find new ways to resolve the few really difficult issues, through advice and a recommendation from an independent third party.

"I hope this will allow us to move quickly to find an agreement on the Olympics issue, which has been under discussion for some time now, and where the three devolved administrations are united on the point that Barnett consequentials should be applied."

An earlier joint declaration estimated £1.7bn would be spent on transport and regeneration costs for the London Olympics.

It said at least £165m in 'consequentials' would be due to Scotland, more than £100m to Wales and about £65m to Northern Ireland.