(9 years ago)
Commons Chamber1. If he will encourage the Scottish Government to devolve responsibility for onshore wind planning to Scottish local authorities.
Before I answer the question, may I begin by commending you, Mr Speaker, not just for your attendance at the Davis cup semi-final in Glasgow, but for the enthusiasm with which you got behind Team GB for that momentous win? I am sure you will join me not only in wishing our Team GB the best in the final in Ghent, but in confirming that Glasgow, as it has once again demonstrated with the world gymnastics championships, is a great sporting city.
The UK Government have given local communities the final say on new onshore wind developments in England. Planning for onshore wind is a matter fully devolved to the Scottish Parliament and sadly the Scottish Government have kept that power to themselves. I would urge them to look closely at this Government’s policy of an affordable energy mix that also protects our natural landscapes.
I thank the Secretary of State. I shall be there in person, all being well, to support the team.
True devolution means that power should rest as closely as possible to the people in Scotland, in Wales and in Northern Ireland. Does the Secretary of State deplore the centralising policies of the current Scottish and Welsh Governments, who seem to think they know better than the people and the communities of Scotland and Wales?
I agree with my hon. Friend. The current Scottish Government are one of the most centralising Governments on record, routinely overruling the wishes of local people and local authorities. The UK Government are delivering devolution to Scotland. As Lord Smith recommended, let us see devolution delivered within Scotland.
The Secretary of State will be aware of the case of the Binn eco park in my constituency. It has the support of the local community, and the developers worked diligently to secure planning permission from Perth and Kinross Council. Despite that support, the development is threatened by the regressive approach to support for renewable energy that the UK Government have taken, putting local jobs at risk. Will he look again at the case? The development has been penalised because of a responsible approach to community engagement on planning issues.
I am always happy to look at individual cases raised by Members from Scotland. I would be delighted to meet the hon. Lady and hear more about the case she sets out.
Does the Secretary of State agree that the Scottish Parliament could learn a lot from the devolution debate in England? [Laughter.] Will he encourage the Scottish Parliament to devolve more responsibilities and powers to local government, which could even include elected mayors for the great cities of Scotland?
I agree with my hon. Friend. The response of Scottish National party MPs says it all—they think they know best and know better than local people. Let us see local decision making. Let us see Lord Smith’s individual recommendation on devolution within Scotland honoured by the Scottish Government.
In addition to this question, question after question on the Order Paper from the Nats queries the powers of the Scottish Parliament, yet the truth is this: they have missed the A&E waiting time in Scotland for six years; more than 6,000 children leave primary school unable to read properly; children from poor families get a particularly bad deal under devolution; and Scotland faces a housing crisis. When I visited Edinburgh a week or so ago, I was stunned at the level of rough sleeping in that city—it is much higher than in comparable cities. Should the Nats not be sorting out the things for which they are responsible instead of demanding all those other powers? They are not just the most centralising but the most useless—
Order. I have been generous. We must now hear from the Secretary of State.
The Scotland Bill will make the Scottish Parliament the most powerful devolved Parliament in the world. What we require now is to hear from the SNP and the Scottish Government how they will use these Parliaments. They prefer arguments about process. They do not want to tell us what they will do and they do not follow that through with action.
Thank you, Mr Speaker. It was difficult to hear over the noise from Labour over there.
As we know of course, the only damage to onshore wind comes from the right hon. Gentleman’s Government, and for me the only centralising problem in Scotland is that it is not centralised enough—if only the Scottish Government could take control of inter-island flights. Planning is working well in Scotland. In fact, perhaps the Secretary of State could commend several things in Scotland to Wales, such as the political system, under which 99% of Scottish voters rejected the Tories and 95% of Members sent back here were SNP Members. He could learn a lot from that.
The hon. Gentleman could learn a lot from the leader of the Western Isles Council, who is keen to have confirmation that the Scottish Government will devolve responsibility for the Crown Estate to the Western Isles—a measure that he, as MP for the Western Isles, does not appear to support. [Interruption.]
Order. The hon. Member for Na h-Eileanan an Iar (Mr MacNeil) is the Chair of the Energy and Climate Change Committee, and I urge him to behave in the statesman-like manner expected of such a high office holder. We might learn about onshore wind from Michelle Thomson.
3. What assessment he has made of progress in meeting the recommendations of the Smith commission; and if he will make a statement.
The Scotland Bill delivers the Smith commission agreement in full. I have tabled amendments that strengthen the Bill and look forward to it returning to the House for debate next week. It represents another milestone in making the Scottish Parliament one of the most powerful devolved Parliaments in the world.
The Smith commission identified that Scotland’s budget should be no larger or smaller simply as a result of the initial transfer of new powers and recommended that the Scottish and UK Governments work together to agree a fiscal and funding framework for Scotland. Will the Secretary of State reassure my constituents that that framework will be in place to accompany the devolution of further powers so that Scotland’s funding is not adversely affected?
Does my right hon. Friend agree that, rather than relying on subsidies from London, the Scottish Government should use their tax-raising powers to pay for the services provided to the people of Scotland?
I do not recognise my hon. Friend’s description of the Barnett formula, which of course will remain in place. The Scottish Parliament will now have significant powers over tax and welfare, and it is about time the SNP told us what it will do with them.
It is interesting that the Secretary of State did not take the opportunity to condemn the views of his Conservative colleagues who believe that Scotland is subsidised.
Only 9% of people in Scotland believe that the vow has been delivered, so unsurprisingly the Government are belatedly having to accept amendments. The financial framework underpinning the Bill is crucial. The Secretary of State could only give a one-word answer to my hon. Friend the Member for Lanark and Hamilton East (Angela Crawley), so will he elaborate and tell us exactly when the UK Government will update this Parliament on the progress made on the fiscal framework?
I am sorry that the right hon. Gentleman did not read my written statement on Monday, which updated the House on the progress of the fiscal framework. What I recognise in the right hon. Gentleman’s comments are these words from the editorial of the Daily Record:
“Moan, moan…whinge, whinge. Their response has been as negative as it was predictable. A cynic might argue that the SNP don’t actually want those new powers because it makes them…accountable to the people of Scotland.”
The Secretary of State has now had a second opportunity to condemn the views of his Back Benchers that Scotland is subsidised. I challenge him to come to the Dispatch Box and disassociate himself from the views of his colleagues. His Government are bringing in detrimental measures that will impact on families and individuals—not just in Scotland, but across the length and breadth of the UK. Will he give us some detail on what is going on between the Treasury and the Scottish Government, and give an assurance that there will be no detrimental implications for people in Scotland as part of the fiscal framework?
Not only does the right hon. Gentleman not read written statements; he did not even listen to my answer to my hon. Friend the Member for Harrow East (Bob Blackman)—perhaps he will read Hansard. The reality is that the powers being delivered to the Scottish Parliament will make it the most powerful devolved Parliament in the world. Rather than SNP Members telling us what they will do with those powers, it is grievance and grudge. The Scottish Parliament acknowledges that tax credits can be topped up, so will the SNP top them up—yes or no?
I take the opportunity this Armistice weekend to pay tribute to our armed forces for their sacrifices to this country.
Scottish and UK Ministers have said repeatedly that the fiscal framework negotiations will be concluded this autumn. Will the Secretary of State explain to the House and the country why they have been delayed until January at the earliest?
As I set out in my written statement, the UK Government are proceeding towards the comprehensive spending review, which I am sure the hon. Gentleman accepts is a major task, and shortly thereafter the Scottish Government will proceed with the Scottish draft Budget. When I met the Deputy First Minister John Swinney last week, he gave me confidence in his wanting to reach a fiscal framework agreement. That is certainly the position of the UK Government, which is why I was able to answer the question from the hon. Member for Lanark and Hamilton East (Angela Crawley) in the way that I did.
I thank the Secretary of State for that answer, but Scotland’s First Minister has warned that the SNP Government may reject the Scotland Bill
“if the accompanying fiscal framework”
is not
“fair to Scotland”.
It is clear that they are looking for any excuse for the fiscal framework to delay further powers for Scotland. Will the Secretary of State assure us that the fiscal framework will be agreed before the Scottish Parliament is dissolved in March, and can he explain why both he and the SNP are conspiring to make this agreement the tartan TTIP—the Transatlantic Trade and Investment Partnership—delivered behind closed doors with no public transparency? That raises the question of what they are trying to hide.
As the hon. Gentleman well knows, a statement has been published after each meeting of the Joint Exchequer Committee. I take John Swinney and the Scottish Government at face value—that they want to reach a fair agreement for Scotland. The United Kingdom Government want to reach a fair agreement for Scotland. That is in all our interests and I am confident that that will be achieved.
4. What recent discussions he has had with Ministers of the Scottish Government on changes to the Scotland Bill.
11. What recent discussions he has had with Ministers of the Scottish Government on changes to the Scotland Bill.
I have regular discussions with the Deputy First Minister, John Swinney, and our officials are in close contact on provisions in the Scotland Bill. I have now tabled changes to strengthen the Bill in delivering the Smith commission agreement in full.
Having twice failed to acknowledge the question from my right hon. Friend the Member for Moray (Angus Robertson), will the Secretary of State disassociate himself from the financially illiterate comments of his hon. Friend the Member for Harrow East (Bob Blackman) who suggested that Scotland is subsidised? The fiscal framework will allow the Scottish Government the flexibility to pursue separate fiscal policies to those damaging policies progressed by the UK Government, thereby ensuring the highest levels of transparency. Will the Secretary of State provide the House with a timetable for the publication of a draft fiscal framework?
Monday’s written statement set out that the fiscal framework agreement is likely to come after the comprehensive spending review and once the draft Scottish Budget has been completed.
This is the fourth opportunity for the Secretary of State to disassociate himself from the comments about people in Scotland being subsidy junkies—will he do so? Will he also confirm that negotiations on the fiscal framework are taking place between the Treasury and the Scottish Government, and that he is relying on a Scottish Lord to advise those negotiations?
It is clear that Scottish National party Members do not listen to answers, and if they read Hansard they will see the response that I gave to my hon. Friend. The fiscal framework is an agreement. Who is negotiating on behalf of the Scottish Government? It is John Swinney, the Deputy First Minister. The comments of SNP Members suggest that they do not have much confidence in his ability to reach a fair deal for Scotland.
At the weekend the leader of the Scottish Labour party announced that a future Scottish Labour Government would use powers in the Scotland Bill to compensate people for the money that they will lose because of Tory cuts to tax credits. I am sure that the Secretary of State would not like that to happen, but will he confirm that new powers in the Scotland Bill will give the Scottish Parliament the ability to top up tax credits?
I do not agree with Kezia Dugdale, but at least she has the guts to stand up and say that she will put up taxes and put up tax credits. The SNP has said precisely nothing. It wants an argument about process, instead of telling us what it will do with these important new powers.
5. What discussions he has had with his Cabinet colleagues on reforming the estimates process to take account of the changes made to the Standing Orders of the House to implement English votes for English laws.
7. What assessment he has made of the level of anti-Semitism in Scotland.
Recorded incidents of anti-Semitism in Scotland are thankfully low, but I am not complacent. I echo the Prime Minister’s view that tackling anti-Semitism goes right to the heart of what we stand for as a country. Whatever our politics and whatever our faith, we must seek to defeat it.
Last week, 15 Scottish MPs attended a briefing by the all-party parliamentary group against anti-Semitism. Given the good will that clearly exists, will the Secretary of State talk to the Scottish Government about how the system of state-funded security in Jewish schools in England could be emulated in Glasgow?
I certainly will, and I am very happy to do so. I should also say to the hon. Gentleman that, despite the many robust exchanges that we have in the Chamber, all MPs from Scotland are united in the view that we cannot tolerate anti-Semitism.
The Secretary of State will know that, in my constituency, I represent Scotland’s largest Jewish community. At the briefing that was mentioned by the hon. Member for Bassetlaw (John Mann), I was pleased to hear about the very good inter-community relations and positive support from Police Scotland that exist in my area. Will the Secretary of State join me in applauding our Scottish Jewish communities for their great contributions to our country, and in deploring anti-Semitism and discrimination wherever they occur?
Absolutely, and I commend the hon. Lady for the extent to which, during her short time as a Member of Parliament, she has already engaged with that important Jewish community in Scotland. I also commend the work of the Scottish Government in that regard. As I said earlier, this is a matter on which we are all united, supporting Jewish communities and not accepting anti-Semitism.
8. What steps he is taking to ensure that the new devolution arrangement which would result from the provisions of the Scotland Bill is financially neutral.
9. What discussions he has had with women’s organisations on devolving competence for abortion legislation to the Scottish Parliament.
The Smith commission recommended that abortion law be devolved to the Scottish Parliament, but recognised that the issue needed to be handled sensitively by the UK and Scottish Governments. Following ministerial discussion between Scotland’s two Governments, I confirmed that abortion would be devolved in the Scotland Bill, and wrote to interested parties. As I have already confirmed, there will be ongoing engagement with women’s groups as the matter is taken forward.
I think it would be helpful if I confirmed that because abortion law is being devolved, that does not mean that there will be any change. The existing arrangements will continue to apply in Scotland until they are changed by the Scottish Parliament. I am very pleased to note that the First Minister of Scotland has confirmed that she has no plans at all to change the existing abortion law in Scotland.
May I urge the Minister to think again about the devolution of abortion to Scotland? To have smaller jurisdictions making such sensitive decisions on healthcare is deeply unwise and would allow those who want to lobby against the interests of healthcare to undermine the interests of women both in Scotland and in England. I urge him to consult far more widely before making this very big step.
I recognise, of course, the concerns the right hon. Lady raises, but the Scottish Parliament already has responsibility for criminal justice and health issues, and it has dealt with some very sensitive issues extremely well in my view. I have spoken to women’s groups in Scotland such as Engender, Abortion Rights Scotland and Scottish Women’s Aid. They believe that the devolution can take place but want to be consulted about that, and they will be.
(9 years, 4 months ago)
Commons Chamber3. What recent discussions he has had with the First Minister of Scotland on the Government’s decision to end new subsidies for onshore wind farms by April 2016.
I have regular discussions with the Scottish Government on issues affecting the energy sector, including on our manifesto commitment to end new subsidies for onshore wind. I have also listened to organisations and communities across Scotland who support our policy of an affordable energy mix that also protects Scotland’s natural landscapes.
According to the UK Government’s own report, 5,400 jobs depend on onshore wind. Surely the decision to end the subsidies prematurely puts many of these jobs at risk. Why are the Government so complacent about putting 5,400 jobs at risk?
The Conservative position on this issue was clear heading into the election. Of course the interests of the industry are important, but so are the interests of taxpayers and local communities, and I believe that the policy we have set out gets it right in Scotland and across the United Kingdom.
13. On “Sunday Politics Scotland”, the Secretary of State, following the early closure of the renewables obligation for onshore wind, stated that projects with the prospect of a grid connection would be eligible under the grace period. Will he stick to that commitment?
I have repeatedly made clear my support for this policy; I believe it is the right thing to do. It is clear in Scotland that the UK Government are on the side of local communities, but the SNP is on the side of developers.
Niall Stuart, the chief executive of Scottish Renewables, says of this decision that it is
“bad for jobs, bad for investment and can only hinder Scotland and the UK’s efforts to meet binding climate change targets”.
Why does the Secretary of State think he knows better than Niall Stuart?
I certainly think I know better than the Liberal Democrats, who have been complicit in covering Scotland with wind farm developments. It is clear that ours is a popular policy among communities right across Scotland who do not want to see our landscape covered with unnecessary wind farm developments. I stand behind our policy.
4. What recent discussions he has had with Ministers of the Scottish Government on progress on implementing the Scottish rate of income tax.
The UK and Scottish Governments continue to work closely with each other on the implementation of the Scottish rate of income tax. The question now is how the Scottish Government will use the new power when it comes into effect in April 2016.
Transferring control of income tax to Scotland requires Her Majesty’s Revenue and Customs to identify who Scottish taxpayers are, but over the last year we have seen an increase in the risk rating by HMRC in terms of its ability to identify those taxpayers. Has that risk increased or decreased recently?
I can tell the House that the UK Government and the Scottish Government work closely together on this issue. Despite the bluster that we often see here, the reality is that the UK and Scottish Governments are working closely on many important issues for the people of Scotland. I am absolutely confident that the Scottish rate of income tax will be capable of being introduced next April. HMRC has done the necessary work; what we need now is to hear from the SNP what it intends to do with those tax powers.
In discussions with Scottish Ministers on the implementation of the Scottish rate of income tax, has the Secretary of State considered the benefits of devolving national insurance? Has he ruled out the devolution of additional tax powers or the full devolution of income tax to the Scottish Parliament—despite what was said before the “indyref”?
I would have given the proposal to devolve national insurance contributions a lot more credibility if a single SNP Member had stood up and spoken in favour of it during the Committee stage of the Scotland Bill. Instead, we had the spectacle of putting the issue to a vote without one Member setting out why the measure would benefit the people of Scotland.
5. If he will make it his policy to table substantive Government amendments to the Scotland Bill in the House of Commons rather than in the House of Lords.
It is my intention to make substantive amendments in the House of Commons when the Bill comes back on Report.
The Secretary of State knows that not a single amendment from the Opposition parties—not even amendments backed by 58 out of 59 Scottish MPs—has been accepted by his Government. Does he understand the anger people will feel if changes are brought through in the House of Lords rather than here in the Commons where they can be fully scrutinised by democratically elected Members? Will the Secretary of State make a commitment today to bring forward substantive changes to the Bill on Report to deliver on the Smith commission in full and implement the additional powers people voted for in the election?
What I know angers people in Scotland are stunts, soundbites and press releases aimed solely at taking opportunistic positions on issues. The Scotland Bill is a matter of substance, which will transfer significant powers to the Scottish Parliament, and it should be treated seriously. Some of the amendments, not least those for full fiscal autonomy, have not been serious. I am looking at all the amendments, sorting the wheat from the chaff, and will bring forward Government amendments on Report.
In welcoming my right hon. Friend’s statement, may I ask him how much notice he is going to ensure will be given of these forthcoming amendments?
I have already said to the Devolution (Further Powers) Committee in the Scottish Parliament that I will share our amendments with it—and I will, of course, share them with Members here and encourage a full debate. However, I want a debate on substance; I do not want stunts, soundbites and press releases. I want the best for the people of Scotland.
That will not do, Secretary of State. You have been asked a very straight and clear question: will you now rule out bringing significant and substantial changes to the Scotland Bill in the unelected House of Lords? The House of Lords has never been held in such contempt by the Scottish people, who see it as nothing but a repository for the cronies of, and donors, to the UK parties. Will you rule out making significant changes through the House of Lords and do it in front of the elected Members of the House of Commons?
Order. I say very gently to the hon. Gentleman that I will rule out nothing, but I will leave it to the Secretary of State to do so. The debate runs through the Chair, and the hon. Gentleman, who is an experienced denizen of this House, should know that.
The hon. Gentleman does not listen. It was made clear repeatedly during the Committee stage of the Bill that amendments would come forward on Report and be debated in this House. The hon. Gentleman has been rumbled. He does not want to participate in a proper debate about the issues of concern to the people of Scotland; he is interested in press releases and stunts.
My party has submitted more than 80 amendments to the Scotland Bill, more than all the other parties in the House combined. The Secretary of State has said today that he will listen, and will return to the House with amendments to the Bill. May I ask which of Labour’s amendments he will be accepting?
I will be reflecting on the amendments that Labour has tabled. Some were tabled in a constructive way, while others were obviously tabled in a partisan way. I will reflect on amendments to the Bill that are in the interests of the people of Scotland.
New research conducted by the House of Commons Library, which I am releasing today, shows that the average family in Scotland working full time on the so-called national living wage will be more than £1,800 a year worse off after the Budget. The Scottish Federation of Housing Associations has said that the Budget has
“the potential to be just as damaging as the ‘bedroom tax’.”
Will the Government therefore accept Labour’s amendment to the Scotland Bill that would give the Scottish Government the power to design a welfare system fit for the Scottish people?
I believe that the substantial welfare powers in the Bill, which constitute responsibilities worth £2.5 billion, will give the Scottish Government and the Scottish Parliament a significant say in welfare arrangements in Scotland. What we need to hear from the SNP is exactly what sort of welfare system it intends to introduce, and, most important, who is going to pay for it.
6. What assessment he has made of the potential effects in Scotland of the devolution of decisions on varying the number of applications for new gaming machines where the maximum stake is above £10.
The Scotland Bill will give Scottish Ministers the power to vary the number of high-stakes gaming machines for new betting premises in Scotland. It is now for those Minsters to set out their policy intent.
Fixed odds betting terminals are a plague on poor communities—they are known as the crack cocaine of gambling. Why is it acceptable for the Government to devolve that power to Scotland but not to local authorities like mine, which, along with 93 other authorities, has tabled a request for action from the Department for Communities and Local Government?
I know that the hon. Gentleman feels very strongly abut this issue, and I know that he and, indeed, others tabled amendments relating to it during the Committee stage of the Bill. I am definitely reflecting on it.
Horseracing depends on its income from betting shops—that is, the money that they pay for picture rights. Has the Secretary of State made any assessment of the impact that this decision will have on funding for horseracing?
The view of the all-party Smith commission was that the proliferation of betting terminals was not good for Scotland, that it needed to be dealt with, and that the Scottish Government were best placed to deal with it. That is the measure that we are implementing.
The draft clause would provide a power to restrict the number of FOBTs only when a new betting premise licence was being sought. The Law Society of Scotland has proposed that the clause should be amended to include existing and new premises. Will the Minister at least concede that to the Scottish Parliament?
I think I said in my earlier answer that we had not reached those amendments on that day of the Committee stage, but I am reflecting seriously on them.
7. What estimate he has made of the level of public expenditure per person in Scotland in each of the last three years.
9. What progress has been made on implementation of the recommendations of the Smith commission.
We are making good progress in implementing in full the all-party Smith commission agreement. The Scotland Bill, which will deliver significantly increased powers to the Scottish Parliament, was introduced on the first day of this parliamentary Session and has just completed four days of intense scrutiny on the Floor of this House.
Does the Secretary of State agree that the progress of the Smith commission recommendations shows that the three main Unionist parties are fulfilling their commitment to devolve further powers to Scotland, and that it is therefore unacceptable for others to seek baseless grievances to create the impression of some betrayal to further their own narrow political agenda?
I could not agree with my hon. Friend more. This week more than any other the narrow opportunism of the SNP has been exposed. The only issue on which that party is consistent is breaking up the United Kingdom, on which it will say or do anything.
At business questions on 2 July the Leader of the House stated:
“Independent assessments say we are implementing the Smith commission report”—[Official Report, 2 July 2015; Vol. 597, c. 1633.]
To date the Scottish Secretary has been unable to produce these. Will he now name those independent assessments or ask his right hon. Friend the Leader of the House to correct his previous statement?
I am confident in the statements I have made throughout the passage of this Bill. I did not see the hon. Lady contributing in Committee or on Second Reading, but, if she had, she would have heard me say that I am absolutely confident that this Bill will deliver the Smith commission in full.
10. What discussions he has had with the Scottish Trades Union Congress on trade union reform.
(9 years, 5 months ago)
Commons Chamber1. What discussions he has had with the Chancellor of the Exchequer on the potential effects on Scotland of measures in the next Budget.
This is the first Scottish questions since the passing of the former Member for Ross, Skye and Lochaber. Charles Kennedy was a regular participant at Scottish questions and I wish to pass on my personal condolences to his family at this sad time.
I have regular discussions on a range of economic issues with my Cabinet colleagues, including the Chancellor of the Exchequer.
It gives me great pleasure to welcome the Secretary of State to his new role and wish him well. In my constituency RBS has announced the closure of branches in Kelty and in Aberdour, a further sign of withdrawal from the banking sector that should be supporting small and medium-sized enterprises and communities. What is the right hon. Gentleman’s view of the retail banking sector in Scotland? Has he had discussions with the Chancellor about creating challenger banks out of RBS?
This is a momentous question because it is the first time that a Member representing Kirkcaldy and Cowdenbeath has asked a question at Scottish questions. I share the hon. Gentleman’s concern about RBS’s approach to branch closures, its commitment to smaller communities and its breach of a commitment not to be the last branch to leave a community. I will certainly take up with RBS the issues he has raised.
The Secretary of State will know that my Dual the A1 campaign has achieved committed funding from this Government of £290 million for the 13 miles of dualling towards the Scottish border. I will need cross-border support to build the economic case for the remaining 35 miles to complete the dualling between London and Edinburgh. Will my right hon. Friend support my campaign?
I have said in the House that I fully support that campaign, and I know that it also has the support of my colleague John Lamont, the local Member of the Scottish Parliament on the Scottish side of the border.
I associate my right hon. and hon. Friends with the comments of the Secretary of State in respect of Charles Kennedy, and I welcome the right hon. Gentleman back to his place in his role as Secretary of State for Scotland.
The next UK Budget is going to continue the austerity course of the Tory Government, and it will hit the poorest in society. Will the Secretary of State be up front and explain whom it will hit when £12 billion of cuts hit families and communities across Scotland?
When it comes to being up front, it is the Scottish National party that needs to be up front about its proposals for taxation and spending. It used to tell us it wanted full fiscal autonomy, but now it does not seem to want that. It is for the SNP to answer the question of where the additional spending in Scotland would come from.
The last time I looked, this was Scottish questions, where it is the Government who have to answer the questions on the powers for which they are responsible. They are about to bring in £12 billion of cuts and the Secretary of State for Scotland has not been up front about where they will hit. On a related topic, the living wage can make a huge difference to those on low incomes, and I am very proud that the SNP Scottish Government are the first Government in the UK to become an accredited living wage employer. When will his Department and his Government follow the SNP lead on the living wage?
I am very proud of the proposals that my colleague Ruth Davidson has taken forward in the Scottish Parliament to incentivise small businesses to pay the living wage. One would have thought, when one hears SNP rhetoric, that it supported such proposals, but it does not.
13. A number of businesses in Pendle trade with Scotland, including Carlson Filtration in Barnoldswick, which supplies products to the Scotch whisky industry. Does my right hon. Friend therefore agree that we are better together?
I absolutely agree with my hon. Friend that businesses right across the United Kingdom benefit from the continuance of our United Kingdom. This Government’s commitment particularly to the Scotch whisky industry is evidenced in the last Budget, which was warmly welcomed by the Scotch Whisky Association.
First, I thank the Secretary of State for his fine words in relation to the passing of Charles Kennedy and of course associate myself and my party with them.
The Secretary of State will have seen at the weekend reports indicating that the Chancellor of the Exchequer intends to use next month’s Budget to start increasing fuel duty again. As the economic recovery starts to take hold, does the Secretary of State understand the very serious impact that that could have on the economies of rural Scotland, and will he use his office to argue against such a move?
The right hon. Gentleman should be wary of newspaper reports. Let us hear what is said in the Budget. The Chancellor has made no clear statement of any intention to increase fuel duty.
I, too, congratulate my right hon. Friend on his superb election victory and his appointment as Secretary of State for Scotland. Does he agree that, with greater fiscal devolution to the Scottish Parliament, places such as Carlisle will assess the potential effects on Carlisle of measures in the Scottish Government’s budgets as well as the national Budget? Does he also agree that the Carlisle principle set out during the election campaign is important not only to the north of England but to the south-west of Scotland?
Indeed I do agree with my hon. Friend. Of course, the nature of the devolution settlement means that different decisions will be taken in Scotland on those matters that are devolved, so inevitably different policies will be pursued on one side of the border from the other. I think that the Carlisle principle set out by the Prime Minister during the general election should be followed.
As this is the first Scottish questions, I also pay tribute to Charles Kennedy. He was warm, he was witty, he was kind, and our condolences go out to his family, his friends and his party, and, of course, his son Donald.
How many more Scottish children of working-age families will fall into poverty as a result of his Government’s decisions on welfare?
There is no evidence that there will be a further increase in the number of children falling into poverty as a result of welfare changes in Scotland. Indeed, the evidence shows that since statistics began there has been a relative decrease in child poverty in Scotland. As the hon. Gentleman will know, the Scotland Bill is devolving extensive welfare provisions to the Scottish Parliament, and if the Scottish Parliament believes that there is any detriment in Scotland it will have the opportunity to top up or create new benefits.
The Secretary of State says that there is no evidence. I find that answer contemptible. Let me give him some evidence. John Dickie, the head of the Child Poverty Action Group, has said that the Government’s £12 billion cuts to welfare could lead to a “child poverty crisis”. The Institute for Fiscal Studies has said that those most likely to be affected are low-income working households with children. Is it not time that the Secretary of State stopped ducking the question and came clean about the impact this will have on vulnerable Scottish families, given that 50% of children in poverty in Scotland are from families who are in work?
The Government’s position is clear: the best way out of poverty is into work. There is a record low number of workless households in Scotland, and I hope that the hon. Gentleman welcomes that. I also hope that he welcomes the Government’s decision to devolve significant welfare powers to the Scottish Parliament so that if there are specific issues in Scotland decisions can be made in Scotland to deal with them.
2. When he plans to publish the third annual report on the implementation and operation of part 3 (Financial Provisions) of the Scotland Act 2012.
The report has already been published: it was laid before this Parliament on 23 March 2015.
I thank the Secretary of State and also say how much I and all my Back-Bench colleagues will miss the real gentleman who was Charles Kennedy.
Part 3 of the Act includes the power to devolve further existing taxes as well as creating new ones. Just so that we know where we stand following the election, will the Secretary of State update the House on what further taxes the emboldened Scottish Government have asked to be devolved and which requests he is minded to grant?
The hon. Gentleman will know from the Second Reading debate on the Scotland Bill that there was some uncertainty on the SNP Benches about whether proposals would be brought forward to put in place the SNP’s previous policy of full fiscal autonomy. I now understand that such proposals will be brought forward, but only on the basis that other parties with a real interest in Scotland will vote them down.
Will my right hon. Friend explain to SNP Members how the Barnett formula actually works? If there are spending cuts in English Departments, it follows that there are cuts in Scottish spending as well. If they support the Barnett formula in the vow, they presumably understand why these reductions have to be made.
It is not clear what the SNP understands in relation to fiscal matters, but I agree at least with the new hon. Member for Edinburgh East (Tommy Sheppard) that fiscal autonomy for Scotland would be “a disaster”.
3. What recent discussions he has had with business groups in Scotland.
5. What steps he is taking to tackle security issues on the Stranraer to Larne ferry route.
Home Office Immigration Enforcement in Northern Ireland and Police Scotland work together closely to intercept and share information about illegal immigrants travelling between the west of Scotland and the Northern Ireland ports.
Of the people stopped on that route—they are a small percentage of the total number of travellers—a very high number are illegal migrants or people who mean to do harm to our country and seek backdoor routes between the Republic and mainland Britain. What conversations has the Secretary of State had with Police Scotland to ensure that the resources are there to catch those people?
I have been heavily involved in this issue and I was very disappointed that the Scottish Government chose to dissolve Dumfries and Galloway police force, which had considerable expertise in that area. Police Scotland has set up a ports unit, which is seeking to deal with these issues, but I will continue to pursue the hon. Lady’s concerns with the Scottish Government.
This is yet another example of the Scottish Government having to step in and stump up following further UK Government cuts. Given the security concerns raised by the hon. Member for Hackney South and Shoreditch (Meg Hillier) and the further cuts proposed to Scotland’s budget, will the Secretary of State commit to revisit his Government’s decision to withdraw border agency staff from the port of Stranraer in 2010?
I particularly welcome the hon. Gentleman to his place because he is my neighbouring MP, but I do not share his analysis. The most unhelpful contribution to policing in Stranraer and surrounding areas was the Scottish Government’s decision to get rid of Dumfries and Galloway police force, against the wishes of local people.
What efforts is the Secretary of State making to ensure that the illicit trade in cigarettes, other contraband and oils through these ports is tackled effectively, so that the criminals behind it can be stamped out once and for all?
I am happy to confirm that I will raise those specific issues in my next discussions with the Chief Constable of Police Scotland.
6. What assessment he has made of the potential effect of full fiscal autonomy for Scotland on the level of tax receipts in Scotland.
In March, Her Majesty’s Treasury published an analysis that estimated that funding available to Scotland under full fiscal autonomy would be £7.7 billion lower in 2015-16 compared with the current arrangements. The assessment made by the Institute for Fiscal Studies shows that deficit reaching £9.7 billion in 2019-20.
The Secretary of State and his Tory friends have an ideological fixation with austerity, but is he surprised that the nationalist ideology of a self-identifying left-wing party such as the Scottish National party leads it to advocate full fiscal autonomy, which would lead not just to austerity but to “austerity-max”?
I agree with part of the hon. Gentleman’s analysis, but he will be aware that it is now not clear what the SNP is asking for. I welcome the fact that it will be able to table amendments in relation to full fiscal autonomy during the Committee stage of the Scotland Bill. My suspicion, however, is that it is asking for something it does not really want, and that it will complain when it does not get it.
Does my right hon. Friend agree that to reduce poverty in Scotland and indeed in the rest of the UK we need full employment? Would not the worse thing be to have an SNP Government in the United Kingdom with no understanding of fiscal responsibility, which would result in mass unemployment and mass poverty?
I am not clear whether my hon. Friend is suggesting that the SNP take over the Government of the UK, although that may be one of Miss Sturgeon’s aspirations—we do not know. It is for the people of Scotland to choose their own Government, but the SNP’s policies are clearly now for higher taxation and we need to know what that tax will be.
The Scottish Secretary is absolutely wrong about full fiscal autonomy. It does not lead to a reduction in tax yield. Surely he would agree that if we were to use the flexibility in the tax code to grow the economy and increase tax yield, that would be a good thing.
I agree with two of the hon. Gentleman’s colleagues from Edinburgh, one of whom has described full fiscal autonomy as a disaster and the other of whom has described it as suicidal.
Given that the respected Institute for Fiscal Studies has estimated that full fiscal autonomy would result in a near £10 billion black hole in Scotland’s finances, and that, as the Secretary of State said, the Scottish National party Member for Edinburgh East (Tommy Sheppard) has called it a disaster—perhaps we should lock him in the gents—is it not clear that it would not lead to a stronger Scotland or promote fairness and social justice? However, given the Scottish Government’s reluctance to accept the impartial IFS’s figures, will the Secretary of State back Labour’s amendment to the Scotland Bill to provide a full and independent report on the implications of full fiscal autonomy?
If we have any votes in the House on full fiscal autonomy, we may have to ensure that the toilets are enlarged, because I suspect all SNP Members will want to lock themselves in so that they can absent themselves from any decision.
7. What assessment he has made of the potential effect on families in Scotland of the Government’s policy on child benefit.
Child benefit will continue to provide essential help for low-income families, and the latest statistics show that it has benefited more than 966,000 families and children in Scotland. We are also supporting Scottish families by cutting tax for nearly 2.3 million people, taking 261,000 people out of paying income tax altogether. Some 210,000 families in Scotland will also benefit by up to £6,000 a year from tax-free childcare.
On a day when the Chancellor is saying that he will take action on how this Government and future Governments run deficits, will the Secretary of State tell us that he will protect the worth of child benefit in Scotland for the lifetime of this Parliament?
Will the Secretary of State acknowledge that the people most likely to be impacted by the changes to the child benefit policy are the most vulnerable individuals in society? Those people are also the most likely to be affected by the changes made in the welfare reforms implemented by this Government.
I could not have been clearer—we are retaining child benefit and keeping to the promises made in the election campaign. We are also devolving significant responsibility for welfare to the Scottish Parliament, so that if it wishes to make alternative decisions, it will have the capacity to do so, provided that it can pay for them.
8. What discussions he plans to have with the Chancellor of the Exchequer on funding for the Scottish Government and the next Budget.
On Monday, the Chancellor of the Exchequer and the Chief Secretary to the Treasury met Scotland’s Deputy First Minister to discuss the new fiscal framework. While the Barnett formula will continue as promised, the Scottish Government will be less reliant on the block grant.
The SNP manifesto proposed an alternative to austerity—0.5% public spending increases a year. Does the Secretary of State accept that that means that his Government’s cuts are ideological, not inevitable, and that it is in fact possible for the Government to increase public spending by £93 billion a year to invest in the economy and public services?
What is now clear is that the SNP wants to put up taxes in Scotland. Its next Scottish Parliament manifesto needs to tell the people of Scotland by how much.
9. How many companies in Scotland have been prosecuted for non-compliance with the national minimum wage since 2010.