The Liberal Democrats, the Conservatives and the Labour Party have voted to ditch SNP plans for a referendum on Scottish independence until after the next election in 2011.
The vote, which was a Lib Dem amendment to a Labour-led discussion on the failures of the Scottish government, saw the SNP lose by 47 votes to 72.
The Scottish government is in the process of carrying out a consultation on the question of Scottish independence called the "National Conversation."
Scotland's newly appointed constitution minister, Mike Russell called the vote a "basic democracy," while previous polls suggest that a majority of Scots support a public vote on the question of independence.
However, to move forward on the issue the SNP government, which holds only 47 out 129 seats in Holyrood, needed the backing of other political parties.
Commenting on the outcome, an SNP spokesperson said that those voting against constituted “an anti-democratic cabal [which] shows contempt for the people and their right to choose Scotland’s future.”
First Minister Alex Salmond also pointed out the previous support given to a referendum by high-profile members of the opposition parties such as Labour's current leader Iain Gray and his predecessor Wendy Alexander, as well as Lib Dem back-bencher John Farquhar Munro, who came out in favour of a vote days after Tavish Scott, the party leader, had ruled it out.
Mike Rumbles, the Lib Dem's chief whip, highlighted concerns of the current economic climate as being at the heart of the opposition to a referendum, saying: “The nationalists need to respect the clear will of the Scottish parliament, swallow their pride and realise that they should be promoting economic recovery, not their obsession with separation.”
Those in favour of a referendum believe that independence would in fact bolster the Scottish economy.
“The reality is that the more economic and financial powers Scotland has, the better able we will be to overcome the economic downturn,” the SNP’s chief whip, Kenneth Gibson said.
The Scottish government recently abandoned its plans for a local income tax to replace council tax in the face of united opposition parties.
Scottish Tory leader Annabel Goldie said: "The SNP cupboard is bare. The last vestige of a flagship policy has been shot to pieces."
Wendy Alexander, former Scottish Labour party leader, May 2008: "I don't fear the verdict of the Scottish people. Bring it on."
Gordon Brown, Prime Minister, May 2008:
"I want all Unionist parties to work not only to push the case for the Union but to expose the dangers of seperation."
Alex Salmond, First Minister, March 2008:
"We are aware — as we will always be — of the sovereignty of our people, that the decisions on Scotland's future lie ultimately with those living and working in Scotland – and with no one else."
Annabel Goldie, leader of the Scottish Conservatives, February 2009:
"An independence referendum is not on our agenda."
Iain Gray, Scottish Labour party leader, March 2009:
"There has never been a single opinion poll showing the Scottish public want it and there is no majority in parliament for it. Let's finish the job of tearing up this manifesto and dump independence too."