NICOLA Sturgeon has said the cost-of-living crisis “starkly” highlights the need for independence, as she was criticised for planning a second referendum during it.

The First Minister said that if the UK Supreme Court ruled Holyrood could hold a vote under its existing powers, a Bill would come to parliament within months.

It led to criticism from Unionist parties at Holyrood, who said it was a waste of time and energy amid the crisis, while the £20million involved could be better spent.

Unveiling her Programme for Government, Ms Sturgeon said it would provide for a “Scottish Independence Referendum Bill” by the end of the parliamentary year.

She said: “This current crisis highlights - starkly - the pressing need for independence.

“We are being reminded every day that where, and in whose hands, power lies really matters.

“This crisis is much worse in the UK than in other developed countries because of a Brexit that Scotland voted against but was powerless to stop.

“Under the current devolution settlement, powers over borrowing, taxation and energy regulation - the key powers needed to address the crisis - are reserved to Westminster.

“And yet the exercise of these powers - by a UK government Scotland did not vote for - has been woefully inadequate.

“As a consequence, and despite the obvious and urgent need to provide help to millions of households and businesses, people are suffering.

“This parliament, by contrast, stands ready, willing and eager to act.

“But we lack the powers and resources we need to do so in all the ways necessary.

Independence would give us - like it does other independent countries - the levers we desperately need to respond to a crisis like this.

“But more than that, independence would give us the wherewithal to build a better, wealthier, fairer future. That is the prize we should now grasp.”

The Supreme Court is due to hear arguments next month on whether Holyrood can hold its own referendum, despite the Union being a reserved matter, without Westminster’s consent.

If the Court rules it does not, Ms Sturgeon has said she will fight the next general election, expected in 2024, as a “de facto referendum” on the single issue of independence. 

Scottish Tory leader Douglas Ross said: “When Scottish people are struggling with their bills, instead of the right level of help, they’ll get another unwanted bill from the SNP Government – an Indyref2 Bill. 

“This SNP Government are giving precedence to planning for a vote on separation, which they know will divide Scotland at exactly the point we should be coming together and uniting. A vote that is the wrong priority at the worst possible time.”

Scottish Labour leader Anas Sarwar said: “After 15 years it is hard to give this government the benefit of the doubt.

Change will only come when the First Minister decides to end the culture where every failure comes with a ready-made excuse. It is always someone else's fault.

“No one will be surprised by the inclusion of a Referendum Bill today, but they will be frustrated by the waste of money and resources.”

Scottish Liberal Democrat leader Alex Cole-Hamilton said: “It continues to astonish me that the SNP have used this summer to focus solely on their efforts break up the United Kingdom

“Meanwhile, wasteful spending continues. The First Minister should abandon the costly ministerial power grab of social care, scrap national testing and stop spending her time and our money on a referendum that is not wanted by the people of Scotland.

Pamela Nash, chief executive of Scotland in Union, said: “Despite everything that’s going on, Nicola Sturgeon couldn’t resist concluding her Programme for Government with the only thing her party really cares about.

“She conceded during her speech that for her this was the ‘prize’ and no-one who’s followed her time as First Minister would be surprised by that admission.

“People listening to the First Minister today wanted her to put the constitutional grievances to one side to address the many severe issues developing on her watch.

“Perhaps, she may even have repurposed the £20 million she has set aside for another divisive vote on things that really matter.

“Instead, she confirmed that all her government will really be focused on over the next year is the break-up of the United Kingdom.

“That is not what people and businesses in Scotland want.

“Scotland’s positive future is together with the UK, tackling the cost-of-living crisis and working hard to ensure a bright future.”