The leader of the Scottish Conservatives claims a "rotten system of patronage" has created a "sense of entitlement", as only 12% of households contribute to the country's wealth.
Ruth Davidson said the statistic, taken from figures released by the Office for National Statistics, is "frightening", and pointed out that public sector expenditure makes up half of Scotland's Gross Domestic Product (GDP).
Ms Davidson will highlight the issue in a speech at the main Scottish fringe event of the Conservative Party conference in Birmingham. She is expected to tell delegates that removing the "restraint of government diktat" is the best way to lift people out of dependency.
"So little moves in Scotland without government approval and anyone who dares challenge the status quo is deemed an enemy of the state," she will say.
"It is staggering that public sector expenditure makes up a full 50% of Scotland's GDP and only 12% of households are net contributors, where the taxes they pay outweigh the benefits they receive through public spending."
Ms Davidson will tell the conference that Scotland should expand its private sector to build prosperity and increase opportunity.
She is expected to say: "We need to encourage our entrepreneurs, reward those hiring more staff, hang out a big sign saying 'Scotland's open for business'."
SNP MSP Kenneth Gibson accused Ms Davidson of insulting the people of Scotland by suggesting that almost 90% do not contribute to the country's wealth.
"We are used to the Tories insulting Scotland but Ruth Davidson has now plumbed new depths for her party," he said.
"It is an outrageous slur, and Davidson should apologise to the people of Scotland."
