Devolved Governments: Public Expenditure

Debate between Lord Agnew of Oulton and Lord Griffiths of Burry Port

Thursday 20th January 2022 Lords Chamber

[Lord Agnew of Oulton (Con)]

My Lords, as someone who is very against the independence movement in Scotland, I would agree. We have also to accept that an increasing amount of revenue is raised in Scotland for the Scottish Government. For example, from 2017-18 Scottish income tax rates were entirely devolved, and all revenues from Scottish income tax are retained. Likewise, in 2015, stamp duty was devolved to the Scottish Government. So there is a rising percentage that is in their own gift and I can only assume that some of that is being used for what is, in my view, a mistaken approach.

[Lord Griffiths of Burry Port (Lab)]

My Lords, perhaps I might take a moment to remind the House that, as well as Scotland, Wales has a devolved Government. I believe transparency there is of an order of which we could all be proud. I want to pick up on a point made yesterday by the noble Lord, Lord Forsyth, during a Question about the Barnett formula. In his opinion—and in the opinion of many of us—it needs to be looked at in a radically new way for a new age. The Answer from the Dispatch Box yesterday was, quite simply, that there was no prospect of such a review. Is the Minister today, who is refreshingly different from the Minister yesterday, of the same mind?

[Lord Agnew of Oulton (Con)]

My Lords, I think we all know that the Barnett formula was something of a fudge, put together many years ago. It is an extremely complicated thing to try to unravel. We know that the amount of funding that goes to individual citizens is favourable to the devolved regions, but the formula is not necessarily satisfactory—so I would encourage the noble Lord to keep up his campaign to push for a review.