Humza Yousaf has defended controversial council tax hike proposals by saying the plans would help the Scottish Government raise funds to tackle poverty.
The First Minister was quizzed on the implications of raising council tax during a cost of living crisis while he visited Glasgow's Riverside Museum.
His Scottish Government has been facing increasing backlash on proposals - currently out for public consultation - to raise council tax in bands E to G.
But figures show that some 80,000 low-income households live in Band E properties and critics say the proposals amount to little more than "tinkering around the edges" of long-promised council tax reform.
Mr Yousaf said: "First and foremost, it's a consultation.
"Secondly, we're looking at Band E properties and above.
"And even if we were to make the changes that are in the consultation, then council tax payers in Scotland would still pay less than council tax payers in other parts of the UK.
"But remember it's not those that are Bands A to D who will be affected, it is those band E properties that are affected potentially that we are consulted on.
"But it is a consultation so let's hear the views and take decisions thereafter."
Council tax rises could affect one in four Scots households and would see band E or higher properties face a rise on a sliding scale from 7.5% to 22.5%.
Labour analysis of the Scottish Government's poverty figures last week showed such a move would affect more than 80,000 of the country's poorest families who live in a band E home.
Analysis by the Scottish Lib Dems has now found a total of 715,312 households across the country would see a council tax rise, ranging from £124 to £835.
Edinburgh would be the hardest hit by the changes with more than 90,000 households paying more, compared to 49,501 in Glasgow.
The move would be introduced despite repeated SNP pledges to fully overhaul the council tax system.
Mr Yousaf added: "I have said time and time again that I am ambitious on spending to reduce poverty and it's important we do that at a local level as well as a national level.
"I wouldn't be in this position if I didn't think we could articulate and argue for the positions we end up taking but it is a consultation and I go back to the fact that this is Band E and above."
In response to questions about the number of low income families in band E homes the First Minister said: "I take the points you make about low income families in band E properties but I remind you of the fact council tax payers are paying less than their equivalents down south.
"You are right to challenge me and challenge local authorities on how much we are spending, for example on tackling poverty or investing in local services.
"There's a good argument to be made around looking at reforming council tax and those are all good questions to ask for sure.
"It's something we are committed doing alongside our Green partners but as the system currently is I think it's right to consult on council tax at the moment, not affecting band A to D but band E upwards."
Council tax bands are still based on valuations from 1991 or estimates based on what a property might have been worth for newer properties.
The public consultation on changes to council tax rates closes next month.
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