Cost of Living and Brexit

Amy Callaghan Excerpts

Wednesday 14th June 2023 Commons Chamber

[John Lamont]

If the hon. Member shows a little patience, I will deal with those points head-on further on in my speech.

People in Scotland benefit from being part of a strong United Kingdom, with the pooling and sharing of resources that that brings. The strength of the United Kingdom, and Scotland’s place within it, is even more important during these challenging times. The UK Government will continue to support Scotland and the rest of the UK as we recover from the economic shocks I have mentioned.

The UK Government are also directly investing in Scotland through programmes such as the city and regional growth deals, the levelling-up fund and the UK shared prosperity fund. That is on top of the £52 million of UK Government funding for the creation of two freeports centred on the firth of Forth and the Cromarty firth. Together, these two freeports aim to attract over £10 billion in public and private investments, and to create an estimated 75,000 jobs. I am also pleased to report that I am seeing great progress on investment zones, with our two Governments working together to co-create an approach in Scotland. Each zone will be backed by £80 million of UK Government funding.

[Amy Callaghan (East Dunbartonshire) (SNP)]

Will the Minister explain to my constituents in East Dunbartonshire, who voted overwhelmingly to remain in the European Union, what sum of the £40 billion Scotland’s economy has lost he thinks they should be grateful for?

[John Lamont]

The hon. Lady’s constituents also voted overwhelmingly to remain part of the United Kingdom, and I suspect they are very frustrated that the SNP Government and the SNP continue to push for further division, rather than focusing on dealing with the cost of living pressures that households are facing. All the initiatives I have outlined will help stimulate growth and ensure Scotland’s economy is more resilient to future shocks, whether they stem from overseas conflicts or global health crises.

The SNP likes to claim that the Scottish Government do not have the policy levers required to mitigate the impacts of the cost of living increases. I would suggest otherwise, and I respectfully ask what the SNP Government have been doing to grow the Scottish economy, with Holyrood’s extensive powers on education and skills, economic development, transport and planning. Instead, SNP Members continue to talk down Scotland and the United Kingdom and to talk up their own separatist ambitions with our European partners, which only damages investor confidence in Scotland. Despite what the SNP says, Scottish exports and foreign direct investment continue to increase to above pre-Brexit levels, during which time the UK Government have secured trade agreements with 71 non-EU countries and the EU worth £808 billion in 2021. Surely that demonstrates the advantage of Scotland being an integral part of the UK market, with the trading power that that creates for the entirety of Scotland.

I have a challenge for SNP Members: would any of them like to tell us what the impact of splitting Scotland from the rest of the UK would be on the cost of living crisis? How would prices be helped by a hard border at Berwick? How would mortgage rates fall if a new untested currency was introduced? How on earth would energy prices be brought down by closing down development in the North sea sector, as Humza Yousaf, the First Minister of Scotland, seems to want to do?