John Swinney has rejected claims that the SNP is in a state of denial over its disastrous election result.

Taking to social media on Saturday, one of the party’s former MPs said the “upbeat” mood at their conference in Edinburgh was because those who understood the scale of the challenge were staying away. 

The SNP lost a third of their vote in July, returning just nine MPs, down from the 48 won in 2019. 

Internal analysis of polling shared with members at a private session on Friday revealed they had lost 250,000 voters directly to Labour in Scotland.

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On X, Joanna Cherry, shared an article from The Herald noting the upbeat mood at conference. 

“It’s called denial,” she said. “Discussing what’s gone wrong is one thing, but acting to address those failings means root and branch change. 

“The mood is upbeat because many of those who understand that, including myself, have chosen not to attend. lost her seat at the election.”

“Do I look like I'm a man in a state of denial?” Mr Swinney asked when his colleague's comments were put to him.

“It's an enormous privilege to lead my party and to be the First Minister of Scotland, but I'm not in a state of denial I can tell you.

“We wouldn't have had a session yesterday morning, two and a half hours of an internal session, where I sat there for the whole time, listening to what was said, engaging, setting out my stall, setting out my reflections.

“And I didn't stand in front of the conference yesterday, and say anything other than, look, this was a bad election for the SNP, so here's my candid assessment of what happened, and let's do something about this.

"Oh, of all the things I could be accused of, being in denial is not one of them.”

The First Minister faces a tough week, with Finance Secretary Shona Robison due to set out a raft of public sector cuts in a statement to Holyrood on Tuesday.

Mr Swinney said that although money was “very, very tight,” the government would “use the resources available to us as effectively as we possibly can do.“ He said spending would be focused on ending child poverty, strengthening the economy, net zero and improving public services.

Last week, the Scottish Fiscal Commission (SFC) said that the SNP’s own choices were partly to blame for the Scottish Government’s financial difficulties.

Above-expectation public sector pay deals, the council tax freeze and benefit reforms, as well as uncertainty about the level of funding coming from Westminster, have all eaten away at the money available.

On Wednesday, during a visit to Scotland, Chancellor Rachel Reeves claimed the SNP were “as guilty as the Conservative government of spending more than they were bringing in.”

“And now the Scottish Government are having to make difficult decisions,” she said.

“Anas Sarwar and the Labour opposition in Scotland were warning the SNP about the unsustainable position they were in.

“They SNP refused to listen, they made decisions that were not sustainable and now it is Scottish people who are paying the price for the decisions of the Scottish Government.”

Mr Swinney rejected that criticism.

“The Scottish Government has balanced its budget every year since 2007 a lot of them under my stewardship. So the idea that we've lived beyond our means is baloney,” he said.

He said the Tories had not adjusted budgets to take account of sky-high inflation.

“We've lived within our means every single year, and we'll live within our means in this financial year. But there's going to have to be some tough choices made on journey to do that.

“We've taken decisions to increase the resources available to us. So we've not just sat back and said, it's all over to Westminster.

“We've increased tax, and of course, people have got to pay more tax - higher earners - in Scotland than other parts of the United Kingdom.

“That was to ensure that we'd fiscal sustainability, that we're able to pay for our commitments. But the problem we’re wrestling with now is inflation and a lack of adjustments.”

Asked if he was trying to “wash his hands” and avoid responsibility for the financial situation the Scottish Government faces, the First Minister said he was “just saying it the way it is.”

“What am I washing my hands off? We've balanced the budget every single year, without exception, not one reserve claim in all our time. So we've done it all and lived within our means. But there's been an inflationary shock.”

He rejected Labour claims that the Scottish Government’s problems were down to waste and incompetence.

“I don't ever remember standing as a minister or as First Minister, being encouraged by the Labour Party to do less. They pressed me to spend more on this, more on that, more on health, more on transport, more than this, more on that.”