John Swinney, deputy first minister of Scotland, has said that austerity measures proposed by George Osborne are "utterly unacceptable".
Mr Swinney said that he believes the chancellor's budget reductions are unacceptable, urging Osborne to reconsider and find alternatives.
Earlier, George Osborne announced that £3bn of savings would have to be made for this financial year. This equates to budget cuts of £107m for the Scottish government.
As a session of First Minister's Questions in Hollyrood, the deputy first minister was facing questions as Nicola Sturgeon was meeting international leaders in Washington.
He was asked by Labour MSP, Jackie Baillie, if the SNP would increase taxes in order to tackle the budget cuts.
Borrowing powers that are available to him, he said, have already been used - to the tune of £304m. He added that the Scottish rate of income tax will require all three tax bands in unison.