(12 years, 7 months ago)
Commons Chamber1. What recent representations he has received on the provisions of the Scotland Bill.
On 21 March, I tabled a written ministerial statement to confirm that agreement had been reached with the Scottish Government on the Scotland Bill. The Scottish Government have tabled a legislative consent memorandum recommending that the Scottish Parliament support the Bill, and Members of the Scottish Parliament will vote later today.
The new Scotland Bill will pass significant powers to the Scottish Parliament, including those relating to tax. Among the representations that the Secretary of State has received, has there been a request from the First Minister to work jointly with him to highlight and promote those new powers, to show that we can maximise devolution while maintaining the integrity and strength of the partnership of the United Kingdom?
The right hon. Lady will not be surprised to hear that I have not received a representation on that particular subject. I agree with her that the Scotland Bill is a significant piece of legislation; it represents the most significant transfer of financial powers from London to Edinburgh since 1707. After the agreement on the legislative consent memorandum and, I hope, their lordships’ approval of the Bill’s Third Reading, we must quickly get on with its implementation in the right way, to show that devolution works, and works well for Scotland.
(12 years, 10 months ago)
Commons ChamberI might put it slightly differently. I have already suggested to the First Minister—and I intend to continue this discussion—that whatever our differences about the future of Scotland, it is important that we have a proper debate. I believe Scotland is far stronger as part of the United Kingdom and that the United Kingdom is much the stronger for having Scotland as part of it, whether we think about the economy, our defence, our welfare system or our international clout as Scots within the United Kingdom. I hope that we will get on with that debate, but in the meantime let us get a legal, fair and decisive referendum in progress.
Over the past 30 or so years, the one constant in constitutional development in Scotland has been the fact that the Scottish National party has held to the position that its only position is independence for Scotland. Does the Secretary of State agree that it is faintly surreal that now that the Administration in Edinburgh have been offered the opportunity to have a legal basis on which to hold a referendum that might give them their life’s ambition, they now appear to be rejecting it? Is that not an utterly bizarre position for a party that has not participated in the constitutional development of Scotland over the past 30 years?
The right hon. Lady makes an important point. In all the discussions over many decades about enhancing Scotland’s powers within the United Kingdom, the SNP has set its face against being part of that process. Occasionally, late in the day, it has joined in, but it has mostly turned its back. That is one thing, but to turn its back on a process that would enable a referendum on its life cause and its entire mission in politics is very odd indeed. I hope that when SNP members reflect carefully on the proposition, they will see that it is very reasonable and sets out a fair basis on which we can get on with the referendum and ensure that all people across Scotland can make this most historic of decisions. I believe that when they do, they will decide to stay within the United Kingdom.
(12 years, 11 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I would very much welcome any measures that are taken in Scotland on youth unemployment, but it does not help when the SNP Government choke off opportunity by cutting funding for the country’s colleges. I attended the graduation ceremony at Ayr college the other week and I was very impressed by the students’ achievements, but the level of cuts that the college was facing—10% this year and 20% over the next two years—was very depressing. There have already been job losses and the college has been told to concentrate on 16 to 19-year-olds. That is fine, except that it takes places away from adult learners.
I received all my education, such as it is, as an adult, and I want young people as they grow older to have cradle-to-grave education, not just between the ages of 16 and 19. That is also needed for the economy.
I refer now to research from the Centre for Regional Economic and Social Research at Sheffield university. It calculates that the headline total of 2.6 million men and women on incapacity benefits is set to be cut by nearly 1 million by 2014. Most of these will be existing claimants who will lose their entitlement. The report shows that, because of the reforms, 600,000 are set to be pushed out of the benefits system altogether, forcing a big increase in reliance on other household members for financial support.
The researchers also show that by far the largest impact will fall on the older industrial areas of the north, Scotland and Wales, where local economies have been struggling for years to cope with job loss and where the prospects of former claimants finding work are weakest. Glasgow looks set to be hit 10 times harder than, for example, Kingston upon Thames. In common with many of my colleagues here, these are just the types of areas that we represent where it has been very difficult to recover from industrial decline in the past. This is not going to help.
Does my hon. Friend accept that it is not just the loss of individual or family income, but the loss of a significant amount of spending power within already deprived communities which will have an impact on the wider community and not just on the individual family?
These issues affect the whole community, which is why in many ways high unemployment is a false economy. It would be far better invested in the communities. Professor Steve Fothergill, who co-authored the report, said:
“The large numbers that will be pushed off incapacity benefits over the next two to three years are entirely the result of changes in benefit rules. The reduction does not mean that there is currently widespread fraud, or that the health problems and disabilities are anything less than real.”
He then goes on to say that
“the estimates show that the Coalition Government is presiding over a national welfare reform that will impact principally on individuals and communities outside its own political heartlands.”
The Minister will be painfully aware that Scotland certainly meets that description.
I do not have time this afternoon to go into the detail of the Government’s Welfare Reform Bill, but behind the stated intention of rolling up most means-tested benefits into a universal credit and making work pay, there are significant increases in the conditions attached to entitlement, and draconian sanctions for those who fail to meet these conditions. Welfare benefits cuts of £18 billion over the next three years, in conjunction with the proposals in the Welfare Reform Bill, will have a hugely negative effect on Scotland’s poorest communities, families and individuals. These measures will be across the whole of the UK, but will also cut across a whole raft of devolved responsibilities. They deserve the united resistance of Scottish MPs and MSPs.
Attention must be refocused on to the privileges and lifestyles of the affluent and rich as much as the more disadvantaged. The Government must tackle the banks and fuel companies rather than focus on hitting public sector pensions.
Recently my constituency Labour party launched a plan locally at a public meeting in Ayr: Labour’s five-point plan for jobs. We heard a compelling argument for why this is needed from STUC deputy Stephen Boyd. He said that in Scotland we have a huge full-time employment deficit; that is the deficit that the Tories do not want to talk about. There are more than 150,000 people who want to work in full-time jobs but are currently unemployed. There are also the underemployed, and the economically inactive but wanting to work. There is a total of almost half a million Scots who want to be in full-time employment but are not. Jobseeker’s allowance claimants in East Ayrshire are up 86% on last year, and they are up 65% in South Ayrshire. These are frightening figures. The number of claimants in the last six months in these areas is up 300% and 400%.
It is a great pleasure to serve under your chairmanship this afternoon, Mr Robertson, and may I congratulate my hon. Friend the Member for Ayr, Carrick and Cumnock (Sandra Osborne) on securing this important debate and providing an opportunity for all of us to reflect that the scale of the problem of poverty in our own country deserves much more time and attention than it receives. In a month when it was reported that the number of pauper funerals in Scotland exceeded 5,500 in the past year, and when a report from the university of Sheffield Hallam stated that Glasgow was the worst area in the United Kingdom for incidences of hunger, it is truly remarkable that we have not one but two Administrations who barely feel able to mention the subject in any of their pronouncements—one largely because of their indifference, and the other in sole pursuit of their one goal, so that if anyone dares make a critical reflection they are talking Scotland down. I do not believe that either serves our country well. Only when we start to talk openly again about poverty will we be able to rise to the challenge.
I would like to focus my remarks today on a couple of points that I believe must be urgently reconsidered by the Government if we do not wish the poverty figures to rise even further. I will start on housing, and in particular the impending changes in housing benefit. The majority on this form of benefit are not on unemployment benefit, but they do represent fairly accurately those who are on the lowest level of income. Shelter Scotland reports that this year only one in eight of all housing benefit claimants is unemployed. The rest includes pensioners, carers and disabled people unable to work. In Scotland, about 19% of people in receipt of local housing allowance are in employment.
The vast majority of those in receipt of the benefit in Scotland are living in rented social housing, and a good percentage of those who are renting privately are occupying former social housing. Prior to introducing the new regulations, which will commence in stages from this year until 2013, the UK Government conducted absolutely no evaluation of the rented housing sector in Scotland, be it the availability in each local authority area of multi-occupancy property or the availability of one- bedroom houses. If I asked anyone living in Scotland, however, to take even a wild guess about what may or may not be available I would imagine just about everyone could anticipate that, outside the major cities, there would be very little multi-occupancy households and that most social housing in Scotland consisted of houses with two bedrooms or more.
Lord Freud in the other place apparently believes in some imaginary world where suitable property will spring from the bowels of the earth in a wonderful free market to allow housing benefit recipients to comply with the new regime rather than live in what he believes is “luxury”. Unfortunately, I remain unconvinced, and so do the Convention of Scottish Local Authorities; the Scottish Federation of Housing Associations; Shelter; the Scottish Government; and many other informed groups who I have met over the last year to discuss this issue.
If I take just the change in the age threshold for claiming the single room rate, which will be increased from 25 to 35 in April next year, according to figures I requested from the House of Commons Library in January, there are only, for example, 20 multi-occupancy registered homes in the entire Angus council area, but, according to an official answer from the Scottish Government, as of last year there were 100 single people aged 25 to 34 years in receipt of local housing allowance in that area. In North Ayrshire the figures are even worse. There are seven houses of multiple occupancy and 280 people aged 25 to 34 years in receipt of LHA. Where are these people—about 7,500 throughout Scotland—expected to stay?
Does my hon. Friend also accept that the pressure on multiple-occupancy housing is even greater in a city such as Stirling that has a university population? Those who look to conform to the new housing regulations will find themselves in even worse straits than she has indicated in other areas.
My right hon. Friend is absolutely correct—that is a point I am about to make. I, too, represent an area that has a university community, and we continually have difficulties about multi-occupancy. Again, the UK Government have completely failed to consider new regulations put in place as a result of legislation that has gone through the Scottish Parliament.
Many local authorities and social landlords have progressively moved away from multi-occupancy lets due to problems with management and its unpopularity with other tenants and communities. In Angus, the difference between the rental level for a one-bedroom home and a shared home rate is £20.77 a week. For people who are unlucky enough to live in rural Aberdeenshire, it is £49.61 a week, because they are sitting in the midst of an oil economy, with rentals to match. Inevitably, people will be pushed into our cities, regardless of where their job is, in a desperate effort to find accommodation.
As I have mentioned, the UK Government have given no thought as to how local communities may feel about the expansion of multi-occupancy housing in their areas. I know from experience in my constituency that there have been examples of the dumping of people in bed-and-breakfast accommodation from other local authority areas, because those areas had no or very few such places available. I can only imagine where all those hundreds of people in north Ayrshire, for example, will have to go—I think that most of them will end up in Glasgow.
Until they retire, which is what the position is at the moment. If they are in the support group, they will keep it for ever.
The hon. Gentleman’s intervention has given me the opportunity to raise something that he can discuss with his colleagues in the Department for Work and Pensions. The way that the national insurance system works is that if someone has not made a NI contribution for the previous two years, then they do not get the contributory benefit. I tabled a written question to ask what happened if someone had been in the work-related activity group for two years and then got worse, particularly if they had a degenerative illness, and found themselves in the support group. They would not have the national insurance contribution to go back on to the contributory element. Would they be able to get the ESA? The reply from the Minister was unequivocal—yes, they would be able to go back on to contributory ESA if they had moved from the WRAG to the support group after two years.
However, in correspondence with an official, some doubt has been cast on whether that is indeed the case. It is not clear from the Welfare Reform Bill, and it is certainly not clear from the debates around the Bill, whether someone who has been on WRAG for two years will get their contributory ESA back again should they get worse. This is very important for people with conditions such as multiple Sclerosis and Parkinson’s. If someone has a really bad episode and goes straight into the support group, they will be able to keep their contributory ESA for the rest of their working life, whereas, if they have a slowly progressing disease and go into WRAG for a couple of years, but then end up just as ill and disabled as the other person, they do not get it back. It seems unfair and arbitrary. The Government must get this right and be clear about it, or large numbers of people, potentially those with some of the most profound disabilities and ill health, will be disadvantaged simply because they fall the wrong side of the line when they go for their work capability assessment.
Is that not why it is faintly ridiculous, at this point in the legislative cycle, when the Welfare Reform Bill has completed its passage through the House of Commons and has completed most of its stages in the House of Lords, that we do not yet know what the regulations will say on something that could have a massive impact on the lives, not just of disabled people but of the poorest people in communities in Scotland?
My right hon. Friend is absolutely right. One of my concerns as Chair of the Select Committee is, when there is parliamentary scrutiny of those regulations, to make sure that there are no unintended consequences. I hope that this is an unintended consequence on the Government’s part—I do not think that they would be so hard-hearted to be that unfair, and I hope that the Minister will acknowledge that they realise that, in some areas, they have simply got it wrong, because they are trying to take money away from people who have paid into the system all their life.
I am conscious of the time, so I will not say a great deal more. We will move from disability living allowance to the new personal independence payment, and the Government say that they are going to cut 20% from that budget. I could go on at length about that but, in summary, all those things taken together will mean that the income of the poorest people in our communities—those who have the hardest time because of ill health or disability—will be drastically cut. They will bear the brunt of many cuts in Government spending. They are the ones least able to cope, and it will be their communities—if the money had come into their hands, at least they would spend it in local shops—who suffer. Those shops and facilities will close, and those areas, which already suffer the highest incidence of poverty, will be hit particularly badly. The Opposition think that that is unfair. It is unjust, and I urge the Government to look again.
I conscious of that, and I would not like to fall out with you, Mr Robertson. This is the first time that I have been in this interesting power position with you, and I will make sure that I obey your orders.
I would also like to add my congratulations to my hon. Friend the Member for Ayr, Carrick and Cumnock (Sandra Osborne) for initiating this debate in Westminster Hall. I only want to make a short contribution.
The emphasis today has been on welfare issues, to which I will return if I have the time, but I want us to recognise what poverty means for many people, particularly children. A group launch by anti-poverty campaigners in Glasgow clearly identified the fact that children and young people who are growing up in poverty suffer from a range of disadvantages that other children do not experience. They were far less likely to be involved in leisure activities than other children because their families could not pay for them. They were three times less likely to play a musical instrument— something that is about enhancing people’s lifestyle, but children in poverty do not have the same access to that advantage. It is interesting to note that, given the emphasis on football in Glasgow, the group also highlighted the fact that young people from better-off households were four times more likely to be involved in a football club than those children from poorer households. That sort of hidden poverty, which we do not always emphasise in debates such as this one, is the real price that many families are now paying.
The hon. Member for Argyll and Bute (Mr. Reid) asked us, “What would you do?” I would actually like to flip that coin back to him and say that it is not just what we would do, but what they have done that is making the significant difference to people in Scotland, for example the decision to reduce the Sure Start maternity grant to the first child only. That grant was of great benefit to many poorer families. The Government have also frozen child benefit and other benefits, even those in-work benefits, have been uprated according to the consumer prices index rather than according to the retail prices index. They have also removed discretionary tax credits, such as the baby element, which means the loss of £545 a year per family. According to the House of Commons figures, a baby born into a low-income family from April 2011 will be about £1,500 worse off compared with a sibling born into the same family before April 2010. That is the sum lost from a family where every penny counts.
Frankly, those supporting the coalition Government have to accept that it is not a question of what we would do, but what they have done. They need to answer whether they have made life better or worse for the poorest members of our society. As I look around my constituency and I look at others areas of Scotland, I think we must make the judgment that the coalition Government have made life worse for many of the poorest people in our communities. If there is anything that we need to give testimony to that, surely it must be the fact that there are now more people in cities in Scotland relying on handouts and food parcels than ever before. I never thought that I would see families having to rely on emergency food rations from organisations that were set up specifically for that purpose. What sort of civilised society are we that allows a family to be so poor that it cannot feed its own children? That is my condemnation of the way in which the Government operate.
I want to put a question particularly to those Lib Dem members of the coalition who I know are good people. They need to look back at their own history and see exactly where they came from. Go back and look at some of the great developments of the 19th century, such as those made by the Frys, the Rowntrees and the Cadburys. They took those actions because they recognised the link between poverty and lack of aspiration, between unemployment and people being unable to live a decent life. Over the Christmas recess, I hope that some of those Lib Dems will have time to reflect on what they are doing to collude in a situation that is making life much worse for many people in Scotland.
I am grateful to the right hon. Lady for giving way. The economic situation is grim, and none of us wants to see people living in poverty. I came along to this debate because I wanted to hear what suggestions Labour Members had for doing things differently. So far, I have not heard any, and I would be grateful if the right hon. Lady could actually tell us what Labour would do differently if it were in power.
Let me explain what we did differently. We did things differently over 13 years when child poverty decreased from 27% to 20%. We made it a legal obligation on Government that they should reduce child poverty. I will tell the hon. Gentleman what we would not have done. We would not have sacrificed the poor as the Government are now sacrificing them. I know that the hon. Gentleman is a good person, and he must ask himself that question during the Christmas recess when he might have wanted to think of other things. We have seen a deterioration in the standards in which the poorest in Scotland have to live their lives – 850,000 people, and rising, are living in fuel poverty, according to Consumer Focus. Finally, may I say in this debate that poverty is not just about money, although money is important? Poverty creates an environment where, if children cannot eat a breakfast in the morning, they cannot go to school and learn; where they are excluded from the company of their peers, because they cannot afford to enjoy that company; and where they cannot go to a school dance or participate in sport. Worst of all, it creates an environment where many of them suffer not only from financial, educational and health poverty, but from a poverty of ambition. Frankly, that is dangerously close to the legacy that this Government are going to give hundreds of thousands of children in Scotland, unless they start to reflect on what they are doing and deal with it quickly.
(13 years ago)
Commons ChamberI am happy to meet my hon. Friend and take forward his concerns with the MOD.
Will the Minister take responsibility for something that his Government have done? This morning, House of Commons figures show that youth unemployment in my constituency has risen by 218.2%. What is he going to tell the young people of Stirling that the Government have done over the past 18 months?
The right hon. Lady knows that youth unemployment rose under the Labour Government too. It is a serious issue, and it should not be the subject of party politicking. We should all work together to resolve youth unemployment.
(13 years, 8 months ago)
Commons Chamber6. What assessment he has made of the likely effect on families in Scotland of the changes to benefits proposed by the Secretary of State for Work and Pensions.
7. What discussions he had with the Secretary of State for Work and Pensions prior to the publication of the Welfare Reform Bill on the likely effect on Scotland of the measures in that Bill.
10. When he last met anti-poverty campaigners in Scotland to discuss the potential effect in Scotland of the measures in the Welfare Reform Bill.
The hon. Gentleman will be aware that there was a debate this morning in Westminster Hall on that specific issue. The Government have indicated that they are listening to the concerns. The fundamental issue with disability living allowance is that it is not fit for purpose and needs change. The Government are taking those changes forward.
I have been contacted by Mr Ron Skinner, MBE, who is a non-executive director of Order of Malta Dial-a-Journey Ltd, which operates in my constituency. He expressed grave concern about the impact of the removal of mobility allowance from those in residential care. What specific discussions has the Minister had with his opposite numbers in the Department for Work and Pensions on this issue, which is causing great concern for those in residential care?
Yesterday, I met the Minister of State, Department for Work and Pensions, my right hon. Friend the Member for Epsom and Ewell (Chris Grayling) and Lord Freud, the Minister in the House of Lords who is responsible for welfare reform, to discuss the implications of welfare reform for Scotland. The right hon. Lady raises one such issue. As was said in Westminster Hall this morning, DLA as it currently exists is not fit for purpose. It is applied randomly across care homes, not just in Scotland but across the United Kingdom, and it needs to be reformed.
(13 years, 8 months ago)
Commons ChamberActually, I have had a look at the calendar, and I see that there is to be an election in about eight short weeks’ time, when these very issues will be debated and voted on. I also foresee a groundswell of support for the position I am advocating and a diminution in support for the hon. Gentleman’s position.
Through our amendment, we intend to fulfil the general drift and thrust of the Gould report recommendations, and to implement what has already been established in the major recommendation of the Calman commission report, which comes close to what the Scottish Parliament’s Scotland Bill Committee is proposing. The amendment also puts the voter at the heart of the process, because that is what is required. The interests of the voters come first, and they were short-changed and badly let down by what happened four years ago. Radical work was required in order to address that, and thank goodness we have the work and recommendations of Ron Gould.
I see no good reason why Westminster should remain in charge of Scottish elections; I see only the predictable knee-jerk response that this place needs to have some sort of say and role in Scottish elections. To devolve not even all the administration of Scottish elections, as was suggested by Calman, is bewildering and contrary to everything proposed. The Scottish Parliament’s Bill Committee is now saying that the devolution of administrative functions is not good enough and the Secretary of State needs to look at this again. The Committee went even further and said that before we even implement clauses 1 and 3 the Scottish Parliament and Scottish Government should be consulted and we would review this once again. It also raised many of the Electoral Commission’s concerns in respect of the electoral management board—that is currently going through the Scottish Parliament.
For all those reasons, I ask the Minister to re-examine this clause to see what can be done. Let us have a proper debate about what the will of the Scottish Parliament’s Bill Committee is and what Calman intends in all this. Let us give proper constructive consideration to ensuring that all arrangements to do with elections, be they about electoral administration or legislative competence, can be moved to the Scottish Parliament. I ask hon. Members to support new clause 5.
I am delighted to support amendment 10. It would be disappointing if we judged whether or not it was valid on the basis of what happened during the previous Scottish Parliament elections. I am sure that many hon. Members in the Chamber can come up with a compendium of reasons why that count was a disaster. All political parties in this House have to accept some responsibility for the ballot paper, which has been identified as one source of the problem, because we all consented to it. We also put our faith, wrongly, in an IT system that did not work. We could perhaps accept that there is an excuse for its not working, given the complications involved in a Scottish Parliament election as a result of different votes being counted, different constituencies and so on, but that same IT system was tried out in a local council by-election in my constituency and it took us nearly five hours to get the result. The only good thing was that this occurred in the full presence and glow of the electoral commissioner with responsibility for Scotland, John McCormick, and his senior members of staff. They realised then, if they had not already done so, that that electronic system of counting was not yet usable for future elections.
It would therefore be unfortunate if we said that one of the reasons why we do not want overnight counts relates to that disastrous night, although the hon. Member for Perth and North Perthshire (Pete Wishart) is right to identify the number of ballots that were lost—people’s votes that were lost. Ron Gould fell into the trap of stating that that was the reason why overnight counts were not wanted. He did not look beyond a particular set of circumstances on a particular evening when a series of issues arose that, in retrospect, could perhaps have been dealt with differently.
I have been astonished by the reaction of returning officers. For most of my political life, they have been able to deliver an overnight count without any great anxiety about whether or not staff had to work overnight, yet they have suddenly decided, in their wisdom, that they do not want to accept the responsibility of an overnight count. It came as a surprise to many of us before the last election that what we thought was a given—an overnight count—was no such thing. We then discovered that returning officers had it in their power to decide when they wanted to count an election for this or any other House. With the greatest respect to returning officers across Scotland, I do not think it should be their responsibility to decide when the count should take place. It is for this Parliament to decide when an election count should take place and I hope that the Government will consider the amendment seriously and will look at how they engage with returning officers, because, as we found out before last year’s general election, custom and practice will not be good enough.
I wonder whether returning officers would be so keen on that if they were to forgo their wage for the election if it was to be held during office hours.
Knowing my hon. Friend’s grasp of the political minutiae of local government and returning officers, I am sure there is deep insight in those comments, but I am not quite sure what it is at the moment—unless he wants to explain his point in a way that I might understand.
I thank my right hon. Friend for giving way again. If returning officers are going to work office hours to do the count, rather than overnight, they should not get any additional money. In those circumstances, perhaps we would save money if we moved the count.
I understand now exactly where my hon. Friend is coming from, and I am sure that he would never have put forward that argument when he was a full-time officer of the National and Local Government Officers Association, but I will let that one stick to the wall.
There are all sorts of reasons why we should insist on an overnight count. Sometimes, we say that there is disillusionment in politics, but one area of excitement, even if it is only mini-excitement, is in waiting for the overnight count, and that is not just for apparatchiks and anoraks such as ourselves in the House. I think you would be amazed, Ms Primarolo, how many people like to listen and wait for election results to come in. Indeed, the figures show that.
May I confirm my right hon. Friend’s point about excitement? I remember wondering last Thursday, or in the early hours of Friday morning, “Will the Liberals come second or third in Barnsley, or will they come fourth or fifth?” But then, ecstasy of ecstasies, it turned out that they came sixth. The excitement built throughout the night, and that is why it is essential to have a count overnight.
I could not agree more. I not only waited until the television report had nearly finished, but then went upstairs to listen to the result coming through on Radio 5, and then promptly fell asleep.
Such was the excitement.
Indeed, but I was delighted that when I awoke, what I at first thought was a dream was in fact reality—Labour had not only won that by-election but had won it with an increased majority and an increased percentage of the poll, and a member of the coalition parties had come further down. However, I see that I am taxing your patience a little, Ms Primarolo.
I want to highlight the Electoral Commission’s comments. I am a wee bit surprised by the attitude it has taken in not supporting overnight counts, and I feel it has based its assumptions on what happened in the last election, four years ago. It makes a good point in saying that returning officers should not be expected to conduct parallel counts for the first-past-the-post and regional lists, but it is a bit disappointing that it has not recognised that part of the culture of elections in this country, and in many others, is sitting and waiting for the overnight results to come in. That happens in American presidential elections and others.
Does the right hon. Lady agree that although the excitement is certainly important to people like us who are involved in these matters, it is not just a matter of excitement and media presence? It is also about good electoral governance, good management of the electoral process and bringing conformity right across the country. Last year, we discovered that returning officers had held themselves responsible for what happened in their area and that many of them refused to be told or to behave in the way that the Electoral Commission thought they should. Is it not therefore up to this Parliament and the Scottish Parliament literally to lay down the law so that there is conformity of action in every election taking place at the same time?
The hon. Lady makes a valid point. Like her, I do not want to overplay the excitement, in spite of our reflections on last Thursday night, because sometimes we can get carried away with that.
The continuity of the election process and the election day is important. The election day does not finish until there is a declaration of the count. It is also necessary to give people the confidence that when they put their vote in a ballot box, which is sealed, it is resealed at the close of play and transported immediately or as quickly as possible—if the two are not mutually exclusive—to the count. Part of our historic attitude to elections is the speed with which we can get the individual’s vote from the place in which it was cast to the place of the count.
We should recognise that, for the most part, we are not talking about transporting ballot boxes in the depth of winter. These elections are conducted in the spring. I have a constituency which, as some colleagues are no doubt fed up with my telling them, is the size of Luxembourg. I know that the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) has a constituency that extends far wider than that, but in the case of my constituency, we are talking of a distance of some 65 miles, and I have never heard of any difficulties in transporting the ballot boxes in reasonable time from outlying villages such as Tyndrum in the most northerly part of the constituency down to Stirling for the count.
Although I am enjoying the marvellous nostalgia of election night, does the right hon. Lady see any role for electronic voting, which would give an instantaneous result?
I am not into the Simon Cowell approach to voting. Some of our younger colleagues who entered the House at the last election might see that in the future, but I do not have as much confidence in voting by mobile phone as the hon. Gentleman may have. We must make it as easy and straightforward as possible for people in varying circumstances to cast their vote. That is why the extension of postal voting has been such a welcome addition.
We should consider seriously the way in which the House wants to see its elections and the count of those ballots conducted. I would be disappointed if we based all our analysis on the situation that arose four years ago. It was an unusual situation. There was a coincidence of circumstances which made the count difficult. If the Government are serious about achieving consensus on a major constitutional issue, I hope they will not just rely on the good will of electoral returning officers, but take account of the will of the House, which is, I hope, to count our ballots overnight for the Scottish Parliament elections.
It strikes me that all political parties are like Simon Cowell—they want the person they own to win whatever campaign they are involved in, so we have a vested interest, although I would not go as far as the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) might go.
My right hon. Friend the Member for Stirling (Mrs McGuire) was right about the myths regarding the errors of 2007, as if it was all down to the ineptitude of the Scotland Office at the time, or of the returning officers. It is clear that the complication in 2007 was the counting of two ballots for two different purposes on two different mandates, combined with the construction of a ballot paper that did not make sense to the elector and clearly, in the count that I watched at great length until I retired to bed at about 4 am, was not fully understood by the returning officer in my area.
The hon. Gentleman will recognise that since it was first suggested that few overnight counts would take place in Scotland for the election of 5 May, the number has grown significantly, partly because of the expression of public opinion. Today’s debate and some of the eloquent contributions that we have heard will further reinforce that. Passing the amendment this evening will not move the matter forward because it will have no impact on the count.
Would not it be a clear declaration of intent by the House to the returning officers that we expect them, even in the absence of a legal instruction that they must do it, to hold an overnight count for elections to the Parliament of Scotland?
I trust the Parliament of Scotland to set its own rules for the elections in 2015 or 2016. That is why the Government support devolving the power.
I fear that the Minister may have missed my point. I recognise his legal and technical argument that the matter will be the Scottish Parliament’s responsibility in 2016, but surely some seven or eight weeks away from the potential for counts to be postponed until the next day, we should send out a message from this House that we expect an overnight count.
The right hon. Lady’s comments, those of my hon. Friend the Member for Epping Forest and others will have sent that clear message to returning officers.
I see no purpose in a rerun of the debate on the Fixed-term Parliaments Bill. The views expressed by the hon. Gentleman have been expressed by others, but they have not prevailed in votes in the House. The Government have set out what I consider to be the strong arguments for a five-year term for this Parliament. Because of the complicated devolution settlement in the United Kingdom, which has its own nuances—I welcome them, because they accommodate the different needs of different parts of the United Kingdom—consequential changes would inevitably be required. We have discussed the changes required in the timing of the Scottish parliamentary election and the best way of resolving the issue in a mature way through a dialogue with the presiding officer and party leaders in the Scottish Parliament.
Does the Minister not accept that in trying to extend the life of this Parliament to a term that bears no relationship to any other element of our electoral process, the Government have created a series of problems not just for themselves but for other parts of the democratic process? The result has been a number of ill-considered consequences to which the Minister and the Government attempt to apply Elastoplast every time they encounter them. This is a very expensive way of providing a lifeboat for the coalition Government to take them through to 2015.
I would take what the right hon. Lady says a good deal more seriously had the last Labour Government not extended their own life to virtually the last minute of a five-year term. That opened up the possibility of another five-year term for this Parliament, leading to a coincidence of elections with the Scottish Parliament elections in 2015 that would have taken place in an unstructured and unthought-out way. The Bill has dealt with the possible repercussions.
Will the Minister reflect on the facts? There have been two five-year Parliaments since 1992, one under the former Conservative Prime Minister John Major and the other under a Labour Prime Minister, my right hon. Friend the Member for Kirkcaldy and Cowdenbeath (Mr Brown). The Minister’s argument has no credibility. He and the Government have created a series of consequences by trying to introduce a five-year fixed term for the current Parliament. Everyone else is being forced to alter the ways in which they operate in order to suit the coalition Government.
I am afraid that that is merely a smokescreen for the fact that there could have been a coincidence between the Scottish parliamentary and Westminster elections in any event, and that arrangements would have had to be made to deal with it.
I hear what the hon. Gentleman says, but I say to him gently that the people of Easterhouse, and perhaps people more widely in Scotland, feel that legislation that would prevent someone like that from having an air weapon in their home in the middle of Easterhouse would be of assistance. That is why there is strong support in Scotland for a ban on air weapons. That is not the province of any particularly political party, but something that has united people across political organisations and local communities.
I said that it is not about legislating in haste. I believe that the time has come to look at how we can ensure that no other family goes through the same trauma as did the family in Easterhouse, but we will do that by having workable legislation. I end on a note of caution, because there are a number of areas where I think a great deal of further work needs to be done to ensure, for example, that the cross-border issues are manageable. We need to look at that in detail. It is entirely possible to look at exemptions for sporting activity, and I know from my previous experience in the Scottish Parliament that fruitful discussions were held, and I am sure continue to be held, on the transport and use of guns for sporting activities. This should not be the end of the matter. If the proposal is included and the Bill passed, it will be a stepping stone on a journey to ensure that, wherever possible, we avoid such incidents as have been described and are able to look at how best the existing firearms legislation throughout, importantly, the United Kingdom can be strengthened. In particular, I make the plea, which I shall repeat when the review reports, for the careful consideration of including in legislation BB guns and weapons like that to ensure that they do not fall into the wrong hands.
I am delighted to follow my hon. Friend the Member for Kilmarnock and Loudoun (Cathy Jamieson). For those colleagues who are not aware of her work as a Justice Minister, I hope that they will see what she managed to do when she held that difficult position and airguns became a major issue in Scotland. I acknowledge what she did.
I fear that the hon. Member for The Cotswolds (Geoffrey Clifton-Brown), for whom many in the House have great respect, has taken a big hit tonight, because in prosecuting his case he fails to understand that the issue of air weapons is slightly different in Scotland. That is why we feel it important to allow the Scottish Parliament to regulate air weapons in Scotland. I, like the hon. Member for Perth and North Perthshire (Pete Wishart), have a large rural constituency, and I have had no correspondence—letters or e-mails— at all on the issue, yet many in my constituency see air weapons as part of an introduction to country sports, and I fully recognise that.
I fear also that the hon. Member for The Cotswolds anticipates what a Scottish Parliament might do with such powers, but he has to recognise that it has Members with urban constituencies and many with rural constituencies, and they will take into account the balances that have to be struck to ensure that they do not undermine a way of life or an activity that is important to many communities in Scotland.
When the legislation banning handguns was passed in 1997, one argument was that it would undermine sporting activity. That has not happened, because in that legislation we ensured that there was a tight regime and that any sporting activity was conducted in a safe context. That is what we are asking for in the Bill before us, because the debate has thrown up some issues that could cause confusion if they are not attended to properly.
I agree with my hon. Friend the Member for Kilmarnock and Loudoun that we need to be clear about what we are doing in passing this element of the Bill. Indeed, on Second Reading, I asked the Minister whether he had consulted his colleagues in the Home Office to ensure that we had the definitions right and did not allow some air weapons to fall outside the legislation. I should still be interested to know what discussions he or his departmental colleagues have had with the Home Office to ensure that we get the definitions right.
I fully support the probing amendments that my hon. Friend the Member for Rutherglen and Hamilton West (Tom Greatrex) has tabled, because the issue is not just about passing this element of the Bill, but about instilling in the House the confidence that, in passing the legislation, we have in place all the other elements that are required to make it an effective piece of devolution, while maintaining safety both north and south of the border and not allowing for any confusion, which might exist if we do not get the legislation right for those people who, as the Minister will know, cross the border regularly. I hope that he will deal with the specific issues that have been raised. This is an issue not of principle, but of detail, and I hope that he will be able to give us some assurances this evening.
I do not accept that it is inevitable that the clause or the Bill will lead to an anomalous situation. As I have said, it is for those who advocate a ban to make their case and for those who believe that it would be a retrograde step to make theirs.
As the hon. Member for Kilmarnock and Loudoun said of her time as Justice Minister—I am sure this is also the case with the current Justice Minister—the Scottish Government need to have a close working relationship with the Home Office and the Home Secretary to ensure that there is a coherent interlinking of the measures determined here and in Scotland, just as with any devolved matter. I assure the right hon. Member for Stirling (Mrs McGuire) that there have been discussions on all aspects of the Bill with the relevant Departments. The Secretary of State for Scotland has met the Home Secretary. We are clear that the clause will provide the Scottish Parliament with the powers it needs to deal with air weapons, as proposed by the Calman commission.
Will there be a clear definition of what exactly is understood by “air weapons”? It is not the discussions that are important, but the definition and the clarity of the legislation.
I will come on to that later in my remarks. We are satisfied that the definition, as set out in this legislation, is appropriate to deal with the issues raised by the Calman commission.
I am really pleased that the hon. Gentleman has asked that, because that is one of the things that I am most keen to come on to. If he is not satisfied by what I say, I ask him to come back on me, because I will list some very important professions that receive regulation from Scottish Ministers.
The most important point is that we have the toehold that I have described. All the UK devolved Administrations work together on these important issues to find innovative practices and new ways of doing things. That is important work. The current arrangements support and create dialogue and the sharing of ideas in reserved and devolved areas.
I come to the examples that the hon. Gentleman is so keen to hear about. The first is practitioner psychologists. The Department of Health originally wanted all such professionals to be educated to doctorate level. That would have posed major problems for the NHS in Scotland, where the majority of them are trained to masters level. That is why we need separate regulation. NHS Scotland has also piloted the position of physician assistant, which is an assistant to medical practitioners. Unlike their equivalents in England, such people can prescribe and work across a variety of roles in the Scottish NHS. Those are not the only two examples. Health care scientists were identified as a priority for regulation in the 2007 White Paper, in which the Department of Health proposed that the new education and training arrangements envisaged for England should also apply in Scotland, where there are different needs and a different educational system. Perhaps it has escaped the hon. Gentleman that as well as having an NHS in Scotland, we also have our own devolved education service. The training of many such professionals requires different regulation and different standards.
I do not think that the hon. Gentleman has explained exactly why Scotland needs different regulation from the rest of the United Kingdom. Will he tell the Committee how many health care scientists are practising in Scotland and who currently regulates them?
I am disappointed in the right hon. Lady, because she usually does better than that. She has clearly not been listening to what I have said. I have given three examples of new professions that have emerged since 1999 and that have benefited from separate regulation in Scotland, but there are more. Why would anyone want to re-regulate those professions, which have given such key benefits to the NHS in Scotland?
Of course there are health care scientists in England, but they are trained differently. Scotland has different educational institutions that require different regulation from those in England. That is why we are saying that it is important that these responsibilities rest with Scottish Ministers and the Scottish Parliament.
I have given way once to the right hon. Lady. I hope that she wants to make a new point.
The hon. Gentleman has not answered my first intervention yet. [Interruption.] If the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) would just face the front and fold his arms, the world would be a better place. The hon. Member for Perth and North Perthshire (Pete Wishart) argued that people are trained differently in Scotland and should therefore be regulated separately. Health care professionals such as doctors and nurses come from other countries where they have been trained differently, but we still regulate them in the same way when they practise in this country. His argument is therefore specious.
Doctors who come to the NHS in the rest of the UK are subject to UK regulation. The NHS in Scotland is a different beast from that in the rest of the UK. That is the point. The NHS has been developing for the past 10 years and we have to recognise that.
(13 years, 9 months ago)
Commons ChamberI will give way to the right hon. Lady later, but I now wish to get through my speech.
Parts of the Bill are unacceptable to us, but, in other ways, it is merely perplexing. We shall, thank goodness, finally get devolution on the regulation of airguns. I have campaigned on that issue, as have colleagues in the Scottish Parliament. Airguns cause such a blight to so many communities.
I am going to try to make a bit of progress, even though it is the Minister’s good self who wishes to intervene.
Thank goodness we are getting devolution on speed limits, because we have long argued for that. Some of my colleagues in the Scottish Parliament have campaigned hard for it. However, we find that we are not going to get control over freight, heavy goods vehicles or anything that is towing a caravan. The most perplexing thing of all—you will like this one, Madam Deputy Speaker—is that the regulation of activities in Antarctica are to be reserved to this House. Just in case anyone was in any doubt, Antarctica is now listed as being reserved to the Westminster Parliament. Colonies of penguins are already pulling down the saltire and hoisting the Union Jack in joyous celebration of that fact. Thank goodness for the Scotland Bill letting us know that fact about Antarctica!
Will the hon. Gentleman please explain what the Scottish Government would do in their relationship with Antarctica if he had his way and the matter remained devolved to Scotland?
I know that it has been a feature of the Labour party in Scotland, particularly through its leader, to upset and antagonise friendly nations around the world. If you will excuse me, Madam Deputy Speaker, I will refrain from making any more comments about Antarctica.
How has the Bill been met in Scotland? There has been a curious sort of disappointment about it, and an “Is that it?” shrug of the shoulders. There has been no bunting hung out in the streets of Edinburgh, and no images of the Secretary of State emblazoned from the flagpoles of the nation. There is a real sense of frustration that civic Scotland has effectively been excluded from any proceedings on the Bill. We have heard many people ask why they were not consulted on it and brought on board. There has been very little consultation on the Bill, and there is a great deal of frustration about that.
This Bill is what happens when a cross-Unionist consensus gets put through the wringer by a Tory Government in Westminster. It was a Labour Government who initiated the Calman proposals, and it will be a Tory-led Government who will conclude them. In that process, the stuffing has been knocked out of some very good Calman proposals. As I have said, only 35 of the 60 proposals have survived.
That is exactly why the provisions of this Bill, which give more accountability and power to the Scottish Parliament, are absolutely right. The hon. Gentleman makes a good argument in favour of the Bill.
Until a few moments ago, I was going to say that it is good to see such cross-party consensus on the Bill. Of course, we have cross-most-party consensus, but not consensus with those in the Scottish National party. We understand that however much they seem to be stepping back from their long-held belief that we ought to move towards an independent Scotland—I do not understand why they do not have the courage of their convictions and go ahead and ask the people of Scotland—they want to go on a different path from the rest of us on protecting and helping Scotland, and giving it the best chance for the future.
I want to pay tribute to Donald Dewar, who did a wonderful job in setting up the Scottish Parliament. That was not what I said in 1997 and 1998 as we debated the original Scotland Bill for hour after hour, day after day and week after week. It was strange that the hon. Member for Perth and North Perthshire said at the beginning of his speech that this Bill would not be properly scrutinised. I can assure him that those of us who spent weeks and months scrutinising the Bill that became the Scotland Act 1998 will find this nice little Bill a piece of cake in comparison. Of course it will receive proper scrutiny.
Back in 1997 and 1998, we properly scrutinised the Scotland Bill. Many of us said over and over again that the devolution settlement that was being created would not work in the long term and would have to be amended and improved. I am very pleased to see this Bill make the improvements that some of us have thought necessary for a long time.
I am one of the campaign veterans from those long days and nights spent scrutinising the Scotland Act 1998. Will the hon. Lady remind us of the position of the Conservative party at that time? I am not sure whether it was so much about scrutiny as about opposition.
It was; the right hon. Lady is right. As I said when I paid tribute to Donald Dewar a moment ago, that was not what I said in 1997 and 1998. The position of the Conservative party at that point was to oppose devolution. Of course it was; it is no secret. I for one thought that that was the best settlement for Scotland. I appreciate, however, that the Scottish Parliament has grown in stature and become an important part of the lives of the people of Scotland. It is there, it performs an important duty and it defends the law of Scotland—the right hon. Lady will agree that I always defend that. The Scottish Parliament performs an important function in our new constitutional settlement in the United Kingdom.
Although I would originally have preferred to have seen an enormous amount of taxpayers’ money saved by our not setting up the Scottish Parliament, I now appreciate—I speak only for myself, not for my party—that it performs an important duty. As I have said for more than 12 years, however, it is essential that the constitutional settlement be improved. Donald Dewar, to whom I am still in the middle of paying tribute, worked for decades to achieve the Parliament and I am sure that all hon. Members will agree how sad it is that he did not live to see the complete fruition of his labours. Had he done so and remained the First Minister for a longer term, I believe the standing and status of the Scottish Parliament would have grown more quickly. However, it is where it is now.
I am very pleased to agree entirely with the hon. Gentleman—this is an unusual debate.
During the passage of the original Scotland Act, many of us argued that it would work in that form only if one made the assumption, as the then Government understandably wanted to, that there would always be a Labour Government in Westminster and a Labour majority in the Scottish Parliament. That is how the settlement was set up. Now that the situation has, happily, changed, it is important that the whole constitutional settlement should be updated to take account of that.
I respectfully suggest to the hon. Lady that that was not how the settlement was established. I do not think that any Labour or Liberal Democrat Member at that time would have expected that, for ever and a day, there would always be a convergence of the same political parties in both Westminster and Scotland. I would have hoped that the hon. Lady would give us credit for having established a far more robust devolutionary settlement than that. I think the past few months have vindicated the work that was done at that time.
It is a great pleasure to follow the hon. Member for Milton Keynes South (Iain Stewart). I listened carefully to his analysis and, 13 years on, I now realise why the hon. Member for Epping Forest (Mrs Laing) was so well briefed in some of the intricacies of the Barnett formula. The hon. Gentleman has posed some fascinating and interesting questions this afternoon.
I made my maiden speech in 1997 on the Referendums (Scotland and Wales) Bill, which paved the way for the Scottish Parliament. It is fair to say that both the hon. Gentleman and the hon. Lady recognised that, collectively, we have travelled a long way in this House—at least, most of us have. I shall come on to those who are still stuck at the station a wee bit later.
We have travelled a long way and in many ways the Members who are participating in today’s debate reflect that. We have a former Member of the Scottish Parliament, who, as the Under-Secretary, will be helping to drive this Bill through along with most of us. Of course, we have two current Members of the Scottish Parliament, my hon. Friends the Members for Kilmarnock and Loudoun (Cathy Jamieson) and for Glasgow East (Margaret Curran), both of whom have extensive experience not only of the workings of the Scottish Parliament but of the workings of government in Scotland, as they are both former Ministers.
Collectively, in the Chamber today we have a unique opportunity to discuss the importance of the Scotland Bill. I recognise its importance and identify with the statement made by Donald Dewar—devolution was
“a process and not an event”.
We are all part of that process. In my opinion, there is no doubt that the relationship between the UK and Scotland and their governmental institutions has matured to a point where there is widespread recognition that the devolved approach has strengthened the United Kingdom and its four nations, working together. There are still some cynics among us—the ultra-Unionists, who perhaps do not see this as a way forward for the United Kingdom, and their uneasy bedfellows, the nationalists, who have a fundamental view. I fully accept their right to hold that view. I do not have any problem with their ultimate aim of independence; I just thank God every day for the sanity of the Scottish people, who have never accepted that analysis, but that analysis is obviously still there. The majority of people in Scotland want good government that brings decisions closer to them, so I welcome the principle of the Bill. I particularly welcome the strengthening of the Scottish Parliament’s fiscal powers.
Is it not alarming, given the Scottish National party’s amendment, that those Members will be voting against the new powers for Scotland? Does that not show that they are now the conservatives in Scotland, supporting the status quo over new powers for the Scottish Parliament?
I do not wish to interpret the SNP’s tactics, but it is certainly bizarre that their amendment says that the “Bill as a whole” is “unacceptable”, given that the mover of the amendment, the hon. Member for Perth and North Perthshire (Pete Wishart), tried to appear consensual on some of the areas on which there is agreement. I do not know which part of the brain was not working when the amendment was tabled, but it definitely calls on the House to vote against something that SNP Members agree with in some way. That is a question for them to answer, but I am delighted that my hon. Friend the Member for Glasgow Central (Anas Sarwar) has raised it.
The Bill, like the Scotland Act 1998, was developed as a result of consensus, as the right hon. Member for Gordon (Malcolm Bruce) has highlighted. The engagement of civic society, communities and individuals, as well as of political parties, is the hallmark of the legislation—as it was of its 1998 predecessor. In terms of political party consensus, there have been positive developments over the years. As the hon. Member for Epping Forest has clearly shown, the Conservative party in Scotland and across the UK boycotted the Scottish Constitutional Convention in the early 1990s, campaigned for a no vote in the 1997 referendum and voted against the first Bill when it came through Parliament. However, it is now working in partnership with other political parties that see the strength of the Union as key to the future of our country. I always welcome the sinner that repenteth.
Some things never change, though. The SNP stood apart from the consensus building up to 1998 and boycotted the Calman commission for reasons that I cannot understand and have not heard properly explained. I think the SNP amendment is somewhat churlish and flies in the face of all the views that have been expressed by the Scottish people through elections and consensus. If the SNP wants an independent Scotland, its first aim must be to prove its case to the Scottish people.
As the SNP has fallen silent, will my right hon. Friend tell us why she thinks the party bottled it when offered the chance of a referendum by Labour in Holyrood?
I gave up many years ago trying to get into the political mind of the SNP and I do not know if I want to revisit some of those early nightmares I had in trying to understand it.
I want to concentrate on the additional fiscal powers. Some of us in the House are old enough to remember the 1978 proposals of the then Labour Government, one weakness of which was that they contained no taxation powers—no variation to what was then called the Scottish Assembly was to be allowed. To an extent, that lesson was learned when the 1998 legislation was introduced. The plus or minus 3% provision was intended to deal with the flaw in the earlier legislation, which of course failed the somewhat artificial 40% referendum test. The discussion around Calman recognised that the time was right to build on the 1998 Act and devolve more responsibility for revenue raising to the Scottish Parliament.
In addition, the Bill gives us a package of other changes that will enhance the Scottish Parliament’s fiscal responsibility, including new borrowing powers, a stamp duty land tax, a landfill tax and, of course, the power to create new taxes, subject to the approval of both the Scottish and UK Parliaments, which I think is a responsible way forward. The assessment of those new taxes, however, must be open and transparent so that it does not feed into the arguments of the conspiracy theorists who will interpret anything less as an attempt to undermine Scotland. However, the Scottish Parliament should recognise, as I am sure it will, that any proposed new tax must be assessed according to its potential impact on economic incentives in Scotland.
I want to raise one area of concern on the new Scottish rate proposals. The implementation and impact of that power must be thoroughly tested and developed, and not only with Her Majesty’s Revenue and Customs, important though that is. I know that the qualification for liability for the Scottish rate will be the same as or similar to those already set out in the Scotland Act 1998. Although we can easily see the implications for the basic and higher rate taxes, people in Scotland must also have clear information on the impact on their tax liability of pension contributions, to which the hon. Member for Milton Keynes South referred, and any unearned income, such as dividend receipts and bank interest. That sounds as though it concerns only a small group of people, but many people in Scotland earn interest through bank accounts and from dividends. I ask the Minister, both today and throughout the Bill’s scrutiny, to consider how the current regime of tax credits on dividends, for example, will be managed if there are different tax rates in different parts of the UK.
What discussions have there been about the implications of variable tax? What will happen if someone uses an address for their unearned income, such as a bank based in London, Cardiff, Halifax or wherever, that is different from that used for their individual taxation north of the border? I know that those problems are not insurmountable. There might be issues of detail, but frankly, we want the system to be robust and watertight from the beginning, otherwise the Bill will be nothing other than a job creation scheme for accountants—having been married to an accountant for 39 years, I have no problem with that in principle. The Secretary of State, given his previous career as an accountant, will have some knowledge of how accountants can take a piece of legislation, dissect it and then work their way around it. I hope that those issues can be solved properly so that we can ensure a robust system.
The Bill certainly makes some common-sense adjustments to the devolution settlement, such as the licensing of controlled substances and appointments to the BBC Trust, and there are other changes that are welcome in principle. However, greater discussion and clarification will be needed as the Bill goes through the House. For example, the power to set drink-driving limits, which has been mentioned by several hon. Members, should be considered. Different limits north and south of the border could cause confusion. Again, that is an issue not of principle, but of clarity. If we are to devolve power on the licensing system for air weapons, we will undoubtedly need a clearer definition of what constitutes an air weapon than that currently specified in the Firearms Act 1968. I assume that the Secretary of State will be having discussions with ministerial colleagues in the Home Office to ensure that the power that is being handed over will take account of how technology has changed in the intervening years in the manufacture of air weapons.
Let me deal briefly with some of the attacks that have been made on the Bill, which are crystallised in the SNP amendment. It has been criticised for not giving meaningful economic powers, and yet the Scottish Parliament will now be able to raise significantly more income as a result. In addition, there will be additional borrowing powers of up to £3 billion. When there is a cyclical fall in tax receipts, which we might see during a recession, there are powers to manage that problem.
I know that the hon. Member for Dundee East (Stewart Hosie) is, or appears to be, an expert on all things fiscal, but, although he might be able to identify some of the problems, his analysis and conclusions are sometimes questionable. I advise him that not all of us agree with his suggested outcomes. Of course, we know that all that is code for fiscal autonomy, which in turn is camouflage for independence. I have no problem engaging with that argument, but we have to be realistic and admit that that is what the debate is all about: it is a debate for those who want to see the United Kingdom broken up and those of us who want to see it strengthened through the greater devolution of powers.
I am delighted to support the Bill, and I resent what almost amounts to rivialisation of some of its elements. The Scotland Act 1998 was one of the most complicated pieces of legislation ever to go through this House. It had to unpick legislation dating back over 300 years, since the union of Parliaments, so it was not straightforward. Stage hypnotists might not have been at the top of the political agenda, but legislation on stage hypnotists had to be dealt with as part of the Act. Indeed, given the number of hours we spent on it, I wonder how we did not realise that we had given Scotland power over Antarctica. I do not quite know how that slipped through in all those hours, but we should not trivialise the detailed work that had to be done to present that Act and to deliver a Scottish Parliament, or suggest that it somehow undermines the Scottish people’s right to autonomy through devolution.
Issues of detail and clarification will undoubtedly need to be debated in the Chamber over the next few weeks, but the Bill is a natural progression along the road that we set down in 1998, and if Donald is up there on his cloud, he will definitely see that it is part of the process, and that 1998 was not just an event.
(14 years, 4 months ago)
Commons ChamberWhen I had the opportunity to visit the Clydebank jobcentre in the hon. Lady’s constituency, I found that the people there—who are on the front line in helping the unemployed into work—welcomed the Government’s measures to replace the myriad schemes introduced by the previous Government with a single Work programme.
10. What recent discussions he has had with the Chancellor of the Exchequer on the effect on households in Scotland of the proposed increase in the rate of value added tax.
The VAT rise is part of a fair and progressive Budget. Difficult decisions are necessary to tackle the record deficit that this Government have inherited, but the richest will pay more than the poorest.
Given that every independent analysis says that VAT rises are not progressive but regressive, did the Minister examine the impact of the rise on any aspect of Scottish industry and, in particular, the tourism industry in my constituency, which is a large employer and very relevant to household incomes? Did the Government look at the impact of the increase in VAT on anything?
The right hon. Lady makes a good point about the tourism industry and she will know that many jobs in that industry are low paid. The decision to raise the income tax personal allowance for under-65s by £1,000 in 2011-12 will benefit 2 million basic rate income tax payers in Scotland, including many working in the tourism industry.