Economies of the UK Islands Debate

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Department: HM Treasury

Economies of the UK Islands

Bill Grant Excerpts
Wednesday 9th May 2018

(6 years, 6 months ago)

Westminster Hall
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Bill Grant Portrait Bill Grant (Ayr, Carrick and Cumnock) (Con)
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It is a pleasure to serve under your chairmanship, Mr Rosindell. I congratulate my hon. Friend the Member for Havant (Alan Mak) on securing this important debate on islands of the United Kingdom. Island economies are particularly important to Scotland, which boasts almost 800 islands around its coastline. In 2011, some 93 permanently inhabited islands were recorded, and between them they host almost 2% of the Scottish population. That gives Scotland by far the largest number of inhabited islands in the United Kingdom.

I had the privilege of being the senior fire officer in Argyll and Bute for some five years. I pay tribute to the islanders who provide the personnel for the volunteer units and retained fire stations that serve those communities. They are very much on their own; getting support to them can prove almost impossible. I commend the men and women who support their fire service. At the time I was there, the island populations varied from around 100-plus on Coll and Colonsay to more than 3,000 on the island of lslay, which was mentioned earlier. To complement the population, Islay has eight distilleries, which are a great employer. As somebody said, there are no bad whiskies; some are just better than others. A neighbouring island is Jura, where we also have a distillery that produces a lovely whisky that bears the name of the island.

Tourism, food and accommodation figure strongly in many island economies, along with traditional incomes from crofting, farming, fishing, and, in some cases, fish farming. The right hon. Member for Orkney and Shetland (Mr Carmichael) suggested there might be opportunities post-Brexit to adjust the system to assist the communities further. They really need that assistance. Oil and gas are players in a number of island economies mainly to the north of Scotland. Tiree, which is quite breezy, off the west coast of Scotland, is the most fantastic place in the United Kingdom for windsurfers.

In my time visiting the west coast islands, the provision of fire cover, education and medical services was a constant challenge just to secure the right people for the posts. The additional cost of providing those services is recognised and factored into the Barnett formula under the sparsity factor. May I commend the Scottish Government for the introduction of the road equivalent tariff, which, in conjunction with the ferry operator, Caledonian MacBrayne, has generated additional tourist traffic that in most cases—although perhaps not in all cases—must be welcomed?

Alistair Carmichael Portrait Mr Carmichael
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My constituents would not forgive me if I were to allow this opportunity to pass. I must point out that in the Northern Isles, despite a raft of promises over the years, we are still to see the reduced fares promised by the road equivalent tariff.

Bill Grant Portrait Bill Grant
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I fully accept the right hon. Gentleman’s intervention. I hope that those endeavours will bear fruit and be recognised. I think that the NorthLink Ferries services do not attract the same support.

We also host the world’s last seagoing paddle steamer, the Waverley, based in Glasgow. She is a wonderful way to do what we say in Scotland is a trip “Doon the Watter” that takes people to various islands such as Arran and Cumbrae, which I am sure we will hear about later. It is a great opportunity to see the wonderful west coast. She also plies her trade off season down here in the Thames.

Bob Seely Portrait Mr Seely
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She has also spent much of her time on the Isle of Wight, where she was very welcome.

Bill Grant Portrait Bill Grant
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I thank my hon. Friend for bringing that to my attention. I am sorry for missing out the Isle of Wight. The Waverley is a wonderful asset to the nation and is the world’s last seagoing paddle steamer, supported by a charity and the nation.

Though uninhabited, Ailsa Craig is an island that sits off my constituency in the Firth of Clyde and plays host as a bird sanctuary to gulls, guillemots and puffins. Most importantly, it provides the granite for the best curling stones in the world, hand-crafted by Kays of Mauchline in Ayrshire. When we see curling on television, the curling stone almost certainly originated from the island of Ailsa Craig.

It is important to note in this debate that island communities in Scotland and across the United Kingdom are diverse. No two islands are the same, and although they often face a similar set of economic challenges, they each have their own unique circumstances: for example, population. Scotland has four islands with populations above the 10,000 mark, and those islands’ economies have different needs from the many Scottish islands with populations below 100. In the case of many of those smaller communities, probably the most pressing economic issue requires acting to prevent depopulation and working to secure the long-term future of those communities. Retaining young people on the islands to give them continued vibrancy is important.

The population of Scotland’s islands increased by about 4% between 2001 and 2011. That is a welcome development, which I hope will continue and even accelerate over the coming decades. In many cases it is very challenging to sustain island populations. Although Scotland’s four largest islands recorded an increase in that period, it is sad to note that communities of fewer than 50 inhabitants still experience, in general terms, the risk of a drop-off in population numbers. When we talk about the economies of the islands, therefore, we must be sure to include all the islands and not just the larger and identifiable ones such as the Isle of Wight.

Scotland’s small island communities are some of the most unique and beautiful places in the entire United Kingdom, and it is important that their future is secured as well as possible. Scottish islands of all sizes have great economic potential, and both the Scottish and UK Governments need to work together to ensure that that potential is fulfilled. The right level of investment and support, as mentioned earlier, is needed across the islands, but particularly in areas such as transport, fuel costs and maintaining the vital links that give islanders access to the basic services that people on the mainland simply take for granted.

Connectivity is vital for Scotland’s remote islands. For island communities as well as other rural and remote areas, broadband is necessary to ensure that the communities’ economies do not get left behind. I hope that the UK Government’s welcome intervention in the broadband roll-out in Scotland will deliver results sooner rather than later.

As was mentioned before, 4G and 5G connectivity are vital to local economies across the United Kingdom, and island communities are no different. If our islands keep pace in terms of mobile connectivity, they have a better chance of keeping pace economically, which is essential for a vibrant future for the islands. The Islands (Scotland) Bill, which is currently going through the Scottish Parliament, will be judged on the outcomes it produces, and I hope that islanders will not be disappointed. Our islands, of all sizes, can and should have a bright future ahead of them.

Finally, if anyone is minded to secure a tranquil, peaceful holiday, they would do well to visit a Scottish island.