Draft Scotland Clauses Debate

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Department: Scotland Office

Draft Scotland Clauses

Alan Reid Excerpts
Thursday 22nd January 2015

(9 years, 10 months ago)

Commons Chamber
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David Mundell Portrait David Mundell
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I thought the hon. Gentleman was asking me to join the Scottish Labour party, which I understand I can do for just £1 at the moment. Although I do not seek to endorse any particular policy of the Scottish Labour party, I welcome a debate on these issues in Scotland. We need a debate on the use of the powers and the difference they can make in Scotland, not simply a debate on the powers themselves.

Alan Reid Portrait Mr Alan Reid (Argyll and Bute) (LD)
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I congratulate the Government on delivering this significant package of powers ahead of schedule, which will bring about a powerful Scottish Parliament. Will the Minister confirm that the Government have completely rejected the submission that the SNP made to the Smith commission to replace the Barnett formula with disappearing oil revenues? It was revealed at a Scottish Affairs Committee hearing that if the black hole were made up purely out of income tax, it would mean a staggering 14p in the pound increase in Scottish income tax rates.

David Mundell Portrait David Mundell
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The Scottish Affairs Committee is to be commended for its work on the impact that the falling oil price would have on the figures given in the Scottish Government’s White Paper. My hon. Friend is quite right to highlight that black hole.

The position on the Barnett formula is quite clear: the Prime Minister, the Leader of the Opposition and the leader of the Liberal Democrats have made it absolutely clear that the Barnett formula will continue.