Scotland Bill

Callum McCaig Excerpts

Monday 9th November 2015 Commons Chamber

[Wayne David]

The acid test of this Bill is whether it delivers on the vow and the recommendations of the Smith commission. Objectively, assuming that all the Government amendments are agreed, we believe that the Bill goes a long way to delivering on the Smith commission. That is not to say that the Government have delivered on absolutely everything. They clearly have not, and I have to say that it is a sad reflection on this Government that they have come to this point kicking and screaming. Since the beginning of the Smith commission’s report in November 2014, the Government have had a long and painful journey.

Nowhere is the Government’s change of heart more clear than in respect of Government new clause 12. It was constantly argued by Opposition Members in Committee that the Scottish Parliament and the Scottish Government ought to be described as “a permanent part” of the United Kingdom’s constitutional arrangements. We argued that the phrase “recognised as permanent” was less than what was recommended by the Smith commission and that, as the Scottish Parliament’s Devolution (Further Powers) Committee correctly argued, the use of the phrase “recognised as permanent” had the effect of weakening the Smith recommendations. I am pleased that the Government have listened.

Some might think that this is all about constitutional navel-gazing, but it is an extremely important point that the Scottish Parliament be placed on a firm constitutional footing and that the sovereignty of the Parliament rests with the people of Scotland. I have, however, a question for the Secretary of State on the issue of the UK’s parliamentary sovereignty.

We all know that a classic theory of UK parliamentary sovereignty is stated in Dicey’s “Introduction to the Law of the Constitution”. According to this classic theory, Parliament can make a law on any subject it pleases, and there are no fundamental laws that restrict its powers. The Government’s new clause 12, I would suggest, is a departure from that theory, which I welcome. Does the Secretary of State agree that in passing new clause 12 we are making modest but significant constitutional history?

New clause 13 is about the functions exercised by Scottish Ministers in respect of elections. It is essentially technical, but on the issue of elections, I refer briefly to amendments 37 and 43. Of course, a vital part of any democracy is free and open elections, and we support Government new clause 13 and Government amendments 35 to 43. I am glad that the Government have recognised the need to devolve some of the responsibilities of the Electoral Commission. It is surely only appropriate that the Political Parties, Elections and Referendums Act 2000 is amended so that the functions of the Electoral Commission are devolved for elections to the Scottish Parliament.

I note that the Government have introduced the significant amendment 43, which deals with the so-called “Digital Service”. As I understand it, this relates to the ability to register online to vote. Given the introduction of individual elector registration, this is very important. I ask the Minister for clarification on two points. First, although there is reference in the Bill to Scottish Ministers making regulations subject to the negative procedure, it is repeated in amendment 43, so I would appreciate it if the Government could explain what exactly this negative procedure is and how it will work?

Secondly, with regard to the online registration system, could there be confusion about which electors are able to vote in which elections? The Scottish Parliament has rightly decided to introduce votes for 16 and 17-year-olds at all Scottish elections, but these individuals will be denied the vote in Westminster elections. Is there not a danger of widespread confusion, particularly if the online registration technology is being used for both Westminster and Scottish elections?

If I am pleased that the Government have listened to the debate, particularly as far as new clause 12 is concerned, I am disappointed that they have not brought forward an amendment on the Sewel convention and its workings. We argued in Committee, as did SNP Members, that we were concerned about the narrow interpretation of the Sewel convention, which concerned the more general devolved competence. Moreover, there is the imprecision of the word “normally”. As I said in the Committee of the whole House:

“How long is a piece of string?”—[Official Report, 15 June 2015; Vol. 597, c. 99.]

The word “normally” is legally imprecise, which is why amendments 7, 8, 9 and 10, to remove the offending word, were tabled by the right hon. Member for Orkney and Shetland (Mr Carmichael), who sadly cannot be with us today.

New clause 35, tabled by the right hon. Member for Moray (Angus Robertson), seeks to place the Sewel convention on a statutory footing. This was, of course, recommended by the Smith commission, and we are happy to support the new clause, if it is pressed to a vote. However, if we are supporting new clause 35, we are certainly not supporting new clause 36, also tabled by the right hon. Member for Moray. It deals with future referendums on Scottish independence. I note that in the right hon. Gentleman’s statement to the press over the weekend, he said:

“Whether or not Scotland has a referendum in the future should be up to the people—and in the hands of the Scottish Parliament—rather than the UK Government.”

[Callum McCaig (Aberdeen South) (SNP)]

Paragraph 18 of the Smith commission report states:

“It is agreed that nothing in this report prevents Scotland becoming an independent country in the future should the people of Scotland so choose.”

If the people of Scotland do not have the power to choose, how is that provision to stand the test of time?

[Wayne David]

I may be mistaken, but I thought the Scottish people had made a decision—a very firm and clear-cut decision. If there is a move towards having a referendum in the future—

[Callum McCaig]

Will the hon. Gentleman give way?

[Wayne David]

I give way a second time.

[Callum McCaig]

On the history of this issue, the referendum happened in September, and the Smith commission from which I have directly quoted, happened after that. All the parties decided that nothing should prevent Scotland from becoming independent, should the people so wish—yet that is exactly what these provisions are trying to do.

[Wayne David]

No one is seeking to deny the people of Scotland anything. I simply remind the hon. Gentleman that a prominent member of the SNP said that the result was gold-plated, and that the Scottish Parliament has the power at present to have a referendum. The amendment seeks to take away the caveats that are based on discussion and all the more reasonable for that.

--- Later in debate ---

[David Mundell]

I think that during at least part of this debate some of the amendments tabled by both the Government and Opposition Members have been addressed and I am very pleased—unless I have picked this up wrongly in the course of the debate—that no one is suggesting they would wish to oppose the Government’s amendments.

I am afraid that today’s debate on full fiscal autonomy has, for me, been an unwelcome case of déjà vu, and I am afraid that even includes the contribution of my hon. Friend the Member for Gainsborough (Sir Edward Leigh). It would certainly be unwelcome to the people of Scotland if this proposal ever came to pass. It will come as no surprise to the House that the Government will not accept the SNP amendment relating to full fiscal autonomy. This Government are clear: it is not in the interests of the people of Scotland.

We do not need a commission either, because the analysis has been done. The Institute for Fiscal Studies has estimated that full fiscal autonomy would mean Scotland having almost £10 billion less to spend by the last year of this Parliament. That is not a good deal for Scotland and this Government will not support it.

[Callum McCaig]

Ironically, what gives us a real, and cruel, sense of déjà vu is that despite barely a dozen Conservative Members having been present during this debate to listen to the concerns of the people of Scotland, the Tories will march through the Lobby denying the people of Scotland what they want.

[David Mundell]

There is not a shred of evidence to suggest that the people of Scotland want full fiscal autonomy. The people of Scotland voted in a referendum—I know that is an inconvenience for the SNP on the road to independence—and voted decisively to remain within the United Kingdom.

--- Later in debate ---

[Ian Murray]

I am delighted that the hon. Gentleman intervenes with that question, as it allows me to put the record straight. What SNP Members do not mention is the second part of the sentence that the right hon. Gordon Brown said. That was: as close to federalism as we can get in the context of 85% of it being one block called England. That is what he said, and SNP Members never ever talk about that when they talk about “as near to federalism as possible.” The right hon. Gordon Brown can speak for himself when he says these things, and that is exactly the context in which he put this Bill.

The right hon. Member for Gordon (Alex Salmond) agreed with the amendments on welfare proposed by the Secretary of State. We agree as well, and I would have thought that there would be some kind of consensus across the Chamber on these amendments.

Let me turn to new clause 2 and Government new clause 34. Part 3 of this Bill devolves to the Scottish Parliament new and substantial powers over welfare, transferring to it £2.5 billion-worth of welfare responsibility. As I said when we debated this part in Committee, this presents a real opportunity for Scotland and the Scottish Parliament. Today we will pass amendments that will fundamentally transform the Scottish Parliament’s relationship with the social security system. That is why the Bill is so important. According to the House of Commons Library, if the Bill were passed in its present form, the Scottish Parliament would be responsible for 62% of all public expenditure, but our new clause 2 and the Government new clause 34 will give the Scottish Parliament total freedom to create new benefits in all devolved areas. It would then be up to the Scottish Government of the day to design the system they want and the Scottish people have voted for, and to find the resources to pay for that system.

The same goes for Government new clause 14, which devolves the Scottish Parliament’s legislative competence regarding welfare foods. I believe that was an SNP proposal, and, again, we support it.

The power to create new benefits in devolved areas was a Smith agreement recommendation and delivering on that commitment has been an absolute priority for the Opposition. We tabled the initial new clause in Committee, which the Government voted against, but I am delighted that the Secretary of State and Government have now come over to our way of thinking, as they have on the veto and the carer’s allowance. As the SNP finally conceded halfway through a Scottish Labour debate in the Scottish Parliament last week, and as we have heard again tonight, the original clause 21 and this new clause also afford the Scottish Parliament the power to top up any reserved benefit. There can now be no doubt that the Scotland Bill will allow the Scottish Government to compensate fully the Scottish families affected by the Government’s pernicious cuts to tax credits.

[Callum McCaig]

The reality is that Scotland will pay for the administration of tax credits and it will also pay for the administration to top-up tax credits. Rather than just devolving the provision, why should we pay for its administration twice under what the hon. Gentleman is proposing?

[Ian Murray]

The proposal would allow for the top-up of any reserved benefit and for the introduction of any devolved benefit. So, although we use the term “restoration”, it would actually create a new top-up reserved benefit, as does the Bill. There is a lot of misunderstanding relating to the fact that a lot of these benefits are not being devolved; they are effectively being switched off. The Scottish Government would therefore have to introduce new proposals in relation to any of the provisions in the Bill.

[Callum McCaig]

rose—

[Ian Murray]

We are running out of time, so I shall press on.

We will not cut tax credits for Scottish working families. Kezia Dugdale, the Scottish Labour party leader, has made that quite clear, and we have been very clear about how we would pay for that. It is interesting to note that on four different occasions tonight we heard nothing from the SNP about whether it would match that commitment—