(3 weeks, 1 day 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
It is a pleasure to speak on your first occasion as Chair, Mrs Lewell-Buck; I hope you have enjoyed it.
I am grateful to the hon. Member for Berwickshire, Roxburgh and Selkirk (John Lamont) for securing this debate. The variation of complaints we have heard shows how serious the issue is, and I sympathise. It is a pleasure to follow my hon. Friend the Member for Inverness, Skye and West Ross-shire (Mr MacDonald), because I sympathise: I have spent much of my life travelling up and down the A82, and it has not got better in the five decades that I have been doing it. In fact, it has got worse in so many ways.
I will say it quietly: I represent Edinburgh, and we are lucky because the airport in my constituency of Edinburgh West is the busiest in Scotland. Our railway station, Haymarket, is one of Scotland’s busiest, and next door we have Waverley. We have the ability to travel west, north and south in Scotland, and down both coasts—east and west—to London. If only it were so for the rest of Scotland. Elsewhere does not share our easy access, and we desperately need investment.
One of the frustrating things about investment is that the benefits are usually long term and not immediate, but we have only to look at the Borders rail link to see how important and invaluable it can be. Just last month, figures showed that the number of people using the Borders railway increased by more than 30% at some stations between 2023 and 2024. Many of them were coming north, but ultimately they were heading south. It would be much better for them to be able to go directly south to Carlisle, but unfortunately the Government have put on hold the £10 million feasibility study into extending that route because of their capital investment review.
The Borders are not alone. The Government believe that putting a halt on infrastructure projects is part of the answer to dealing with the black hole that they never tire of telling us they inherited, and that they use as an excuse for all manner of things. I think they are being short-sighted. It is clear that our infrastructure needs investment. Our trunk roads are lamentable and our railways are little better. Of all the routes, Avanti’s London-Scotland west coast direct route has the highest percentage of trains arriving at their destination between 30 minutes and two hours late. LNER’s Scottish routes are also its worst performing, and the TransPennine Express routes between Manchester and Glasgow and Edinburgh had the worst punctuality and most cancellations in the most recent performance period.
The Liberal Democrats want to see a new railway agency—a public body that would help to join up the industry from track to train, put commuters first, hold train companies to account and bring in wholesale reform of the broken fare system for all of the United Kingdom. We should invest in research and development to make the UK the world leader in zero-carbon flights, and ensure that more domestic flights use alternative fuels. That is particularly important for communities across the highlands and islands, where, as pointed out by my right hon. Friend the Member for Orkney and Shetland (Mr Carmichael), air travel is a lifeline for people and businesses—although generally only as far as Edinburgh or Glasgow, and that is not good enough.
Edinburgh airport is a major employer in my constituency and supports millions of pounds of investment into Edinburgh and the rest of Scotland through business, tourism and hospitality. It has made substantial progress in reducing its carbon emissions. It is continuing to work on increasing the use of sustainable aviation fuel, which benefits passengers flying across Scotland and the rest of the United Kingdom. That is part of the reason I believe that this is a timely debate.
The Union connectivity review showed that there is a desire to travel more within the United Kingdom. Good transport links are a vital part of people’s ability to maintain connections with family and friends and to get to work without being incredibly frustrated. By delivering infrastructure that works, we can deliver for so many the opportunity of a better quality of life. Infrastructure underpins almost everything about our day-to-day lives, but when talking about investing in cross-border infrastructure specifically, we need to remember that while it benefits the economy and contributes to reducing the impact of climate change, it also represents something more for all of us: the development and the cementing of our Union.
Every UK Government, particularly this one, have a responsibility to every corner of the United Kingdom. People’s worlds might be getting smaller, but it is our job in this place to mitigate that. We know that more is achieved when we work together. Would it not help if we had better and more accessible transport links for all of Scotland to all of the rest of the United Kingdom?
(3 weeks, 2 days 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
It is a pleasure to serve under you as Chair, Ms Vaz. I congratulate the hon. Member for Livingston (Gregor Poynton) on securing this debate on the impact of the UK Budget on Scotland.
I welcome the increase in investment for the NHS and the vital cash boost for Scotland, but with all due respect to the hon. Member for Angus and Perthshire Glens (Dave Doogan), it cannot be underestimated how much we needed it, given the mess and chaos that the SNP Government have created in our public services over the past 17 years. Indeed, they have also created chaos in our ferries, as we heard today that the new Glen Sannox is being removed from service again. I agree with the comments from many Members, particularly my hon. Friend the Member for Caithness, Sutherland and Easter Ross (Jamie Stone), about the problems that we are facing.
While I welcome the money in the Budget, we have heard repeatedly from the Chancellor and other Ministers —no doubt we will hear it again today—that the Government have had to take tough decisions since coming into office. Many of my constituents in Edinburgh West are beginning to say, “Yes, every Government have to make tough decisions, but did this one have to make these decisions?”
Before Christmas I spoke to a number of businesses in Edinburgh West, and many of them were concerned about the negative impact that increases in employer national insurance contributions will have on them. Some are worried that they will have to make cuts to staff; others are trying to avoid putting up prices and passing the tax hikes on to the public. All of them are trying to find ways of making it work, and all of them are struggling. Some 40% of Scots now believe that more small and medium-sized enterprises will close in their communities as a direct result of this Government’s decisions. More than half of Scots believe that prices will have to go up. After the worst cost of living crisis in a decade, that is not what any of them needed.
GPs and many social care providers are saying that they do not know how they are going to cope with the tax changes. Private contractors or operators, who will not be eligible for employment allowance, will have to take on those extra costs directly. Within days of the Budget, several GP practices contacted me and estimated that the changes will cost them more than £10,000 extra in the next year. After 17 years of mismanagement under the SNP and 14 years of the Conservatives, our GPs need support and investment, but everywhere we look in Scotland, the impact of this Budget is not positive.
Another tax change that will have direct consequences for my city of Edinburgh is the Government’s decision to impose VAT on private school fees. It is not just because I do not support taxing education or reducing the choice of parents that I do not agree with the proposal and see it as negative, but because it will have a real impact on both the state and independent school sectors in Edinburgh. Edinburgh has the highest proportion of independently educated children in Scotland, at between 20% and 30% every year.
According to the local Labour authority, 16 schools are expected to reach capacity before the end of this decade. If the predicted percentage of children dropping out of independent education into the state sector is true, the system will be stretched to breaking point. Sadly, introducing the change halfway through the school year is causing issues for many parents. I have already had representations from parents who cannot find places in local schools for the children they have taken out of the independent sector.
I would have liked to touch on other issues, including the impact on the whisky industry—I refer Members to my entry in the Register of Members’ Financial Interests—and the farming industry, which was touched on by the hon. Member for Gordon and Buchan (Harriet Cross). However, it is sufficient to say that Scotland, which is already under pressure from mismanagement by the SNP, is now facing a far-from-positive impact from the new Westminster Government in which it put its faith.
We have made responsible tax choices entirely in line with our manifesto. That is why the rates of employers’ national insurance will increase by just 1.2 percentage points. The smallest businesses will be protected as the employment allowance will increase from £5,000 to £10,500, allowing Scottish firms to employ four national living wage employees full time without paying any employer national insurance on their wages.
I will make some progress. This Budget asks businesses and the wealthiest to pay their share while making taxes fairer. Those are Labour choices and they are inspired by Labour values. As my hon. Friend the Member for Glasgow North (Martin Rhodes) has made clear, this is a progressive Budget that values redistribution.
I will make some progress. And just as our Budget choices reflect our values, the ways in which the Opposition parties choose to oppose them represent their values, whether that is their opposition to our end to the VAT tax break on private schools or opposing, as the hon. Member for Gordon and Buchan (Harriet Cross) does, our attempts to bring agricultural property relief into balance. As she will know, the latest figures from 2021 to 2022 show that 40% of the value of APR went to just 7% of claimants; that is neither sustainable nor fair, which is why I support the Labour Government’s changes.
As the hon. Member will be aware, each year almost three quarters of estates eligible for APR in the UK are expected to be entirely unaffected by these fair and proportionate changes. Ours was a Budget, just as this is a Government, squarely for working people. The hon. Member for Angus and Perthshire Glens (Dave Doogan) complained of the tax burden. Unlike the SNP Scottish Government, which simply want to clobber teachers and nurses with ever higher taxes, we have delivered on our pledge not to increase national insurance or VAT on working people in Scotland. That means that they will not, thanks to this Budget, see higher taxes in their payslips.
Hundreds of thousands of workers in Scotland will benefit from an increase in the national living wage and a record increase to the national minimum wage. The Chancellor made the decision to protect working people in Scotland from being dragged into higher tax brackets by confirming that the freeze on national insurance contribution thresholds will be lifted from 2028-29 onwards, rising in line with inflation, so that people can keep more of their hard-earned wages.
We have begun the difficult work of restitching our fraying safety net. Thousands of Scottish households will be £420 a year better off on average, as a result of our change to the universal credit fair repayment rate. Around 1.7 million families in Scotland will see their working-age benefits uprated in line with inflation, a £150 gain on average, in 2025-26. Maintaining the triple lock means an increase in the state pension of £470 next year, on top of £900 this year, for 1 million Scottish pensioners.
Let me pay special tribute to the campaigners and fellow trade unionists who fought for changes to the mineworkers’ pension scheme. Thanks to their efforts and the decisions of this Labour Government, nearly 7,000 retired mineworkers in Scotland will get an extra £1,500 on average in their pension. Finally, that is justice for those who powered our country.
I will make some progress. The hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) and my hon. Friend the Member for Na h-Eileanan an Iar (Torcuil Crichton) shared moving testimony about the impact of changes by the Scottish Government on rural communities. My hon. Friend the Member for Paisley and Renfrewshire South (Johanna Baxter) talked about the crisis in NHS and social care. The answer to all those challenges is the same: investment in our public services. That is exactly what this Budget is designed to do.
(1 month, 3 weeks ago)
Commons ChamberI am sure that, like the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) and myself, the Secretary of State for Scotland is watching with bated breath for the latest Scottish Budget. After 17 years of incompetence, people are looking for change in Scotland, and the Labour party is promising it. Will the Secretary of State follow the initiative of his Scottish leader, Anas Sarwar, in saying he will reinstate the winter fuel allowance and make representations to the Prime Minister to reconsider other policies, such as the national insurance changes, which are creating instability and uncertainty for the Scottish economy?
I have a lot of respect for the hon. Lady, but this is another instance where the Opposition parties in this Chamber want all the benefits of the Budget, but they do not want to be able to pay for it. We have announced the largest settlement for Scotland in devolution’s history: £47.7 billion, which is £4.9 billion extra. The Chancellor delivered £4.9 billion extra in Barnett consequentials alone from this Dispatch Box during the Budget—the SNP voted against it, but will spend it today.
(3 months ago)
Commons ChamberAs the Secretary of State knows, I recently had the opportunity to visit California with the Scottish Affairs Committee to look at how that state has created an environment that encourages new space projects. In Scotland, we have a unique opportunity, not least because of developments in Glasgow, but also because the University of Edinburgh is already well respected and part of the programmes at Stanford, New York University, Columbia and NASA. What will the Government do to encourage the creation of that sort of environment in Scotland, and will the University of Edinburgh, given its reputation, be central to that?
Scotland will be central to the space sector, and I very much welcome the question. We will fully back the space sector, as I said to the Member for Caithness, Sutherland and Easter Ross (Jamie Stone). The Minister for Science has been to the UK Space Agency’s new office in Edinburgh, and the Minister for Data Protection and Telecoms has met Orbex. I have met Orbex and been to Unst in Shetland to visit the spaceport up there. We will fully back this; of course, its potential reaches to infinity and beyond.
(3 months, 3 weeks ago)
General CommitteesI welcome the remarks of the Secretary of State and the shadow Secretary of State, the hon. Member for Berwickshire, Roxburgh and Selkirk, and I confirm that the Liberal Democrats also welcome the order. The changes should ensure that the pension age disability payment is recognised in UK law, so that no one loses out and no new loopholes are created. It is critical to ensure that the new system is a success, given the long delays that we have seen for many people in Scotland. Although there have been improvements for many in recent years, people have had to wait for months in some cases for adult disability benefit claims to be processed—last year, the figures were depressing.
With today’s order, we hope that we can move forward and that there will be improvements in the system. With the pilots forthcoming, we hope that we can have a successful system in Scotland and the co-operation that the Secretary of State mentioned.
(4 months, 3 weeks ago)
Commons ChamberI congratulate the Secretary of State and welcome him to his place. I associate myself with his earlier remarks, particularly about Scotland’s Olympians and Paralympians. I was delighted to hear the recognition in his first answer of the role that our universities will play in a new industrial strategy, which is going to be vital in Scotland, particularly in the light of the recent admissions about the mess that the Scottish National party has made of our economy in Scotland. That is why I was baffled to see the UK Government cutting £800 million from a supercomputer project at the University of Edinburgh that has the potential to support research on drug discovery, climate change and advanced engineering. What discussions did the Secretary of State have with the Chancellor of the Exchequer about the impact of that?
As the hon. Lady will know, the Chancellor of the Exchequer did a full audit of Government spending in the first weekend that she was in office, and found a £22 billion black hole. The exascale computer that she talks about was announced by two previous Prime Ministers and two previous Chancellors, and indeed was in the Budget in the early part of this year, but no money was allocated and therefore the project has been paused, pending both the Budget on 30 October and the spending review next year.
(8 months, 1 week ago)
Commons ChamberThe fact that we are considering this statutory instrument on the Floor of the House, when such instruments are normally done in Committee, demonstrates that the Government have absolutely nothing left to bring to the Chamber. In fact, this debate was scheduled for a Committee Room upstairs but was subsequently cancelled and brought to the Floor of the House. It shows that the Government are desperate to try to fill time in this Chamber rather than send us all away early again. I know I speak for the Opposition and millions of people up and down the country when I say that this nonsense has to end: a general election must be called soon on this zombie Government. They may be able to run for now, but they certainly cannot hide. The people are fed up of 14 years of complete failure.
We are here to consider increased borrowing limits for the Scottish Government. I wonder whether the Minister could answer a few questions. As per the August 2023 fiscal framework agreement, which came two years late, can the Minister tell the House how the increase amounts have been calculated?
Secondly, the fiscal framework allows for £3 billion, and slightly more given this order of debt for capital purposes at £450 million a year. How much of that just over £3 billion has been drawn down to this stage?
Thirdly, the resource-borrowing powers can be drawn down by up to £600 million per annum up to a maximum of just over £1.75 billion. How much of that has been drawn down? The reason I ask that latter question is that at the Finance and Public Administration Committee of the Scottish Parliament this morning, the permanent secretary warned the First Minister that there is a looming £1.9 billion fiscal deficit in the Scottish Government, because of spending promises that have been made by the current Scottish Government, and that the First Minister will have to come to Parliament regarding the redrawing of those priorities to try to reduce that £1.9 billion fiscal deficit.
Does the hon. Member agree that, notwithstanding the fact that the fiscal framework has brought the two Governments to the table, the problems we are seeing with spending and the constant arguments are not in the best interests of the people of Scotland? What they really need is two Governments who work more closely together and in concert for Scotland.
I could not agree more. If the Prime Minister wishes to go and see His Majesty the King at some point soon, we might get at least one half of those two Governments working together after the general election.
(10 months, 3 weeks ago)
Commons ChamberThis is nonsense. Austerity is not a thing under this Government—not a thing at all. [Laughter.] No, absolutely not. Departmental spending—this is the point that the SNP does not acknowledge—throughout this Parliament has grown by 3.2% on average. That is the simple truth.
I have had frequent and recent discussions with the Foreign Secretary on the Scottish Government’s international relations policy. Foreign affairs are reserved to the United Kingdom Government. We have been clear to the Scottish Government that they must respect that.
First, may I associate myself with the Secretary of State’s comments about the Scottish victory in the Calcutta cup?
Does the right hon. Gentleman share my concern that these recent forays into international relations by the SNP are not only inappropriate, because it is a reserved matter, but potentially damaging, both to important relationships between Scotland’s two Governments and, critically, to UK foreign policy at a time when international tensions are at a height we have not seen since the cold war?
I agree with the hon. Lady. It is important that the United Kingdom Government speak with one voice and the United Kingdom is seen to speak with one voice on foreign affairs. I note that Angus Robertson has produced another independence document this week on foreign affairs and defence, and there is a lot of nonsense in there. The Scottish Government want to join the NATO nuclear alliance, but they want to get rid of the nuclear deterrent. They want to join the EU, but not the euro. They want to have a Scottish spy agency—some are referring to it as the sleekit service, with agents heading across Europe in their bulletproof motorhomes. It is all nonsense, and a complete waste of taxpayers’ money.
(1 year 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
It is a pleasure to serve with you in the Chair, Ms Vaz. I begin by congratulating the hon. Member for Glasgow East (David Linden) on securing this important debate on the cost of living in Scotland. The United Kingdom Government fully recognise the challenges and pressures facing households due to the higher cost of living. We are have taken decisive action to protect struggling families, with the largest support package in Europe.
In total, Government support across the UK to help households with higher bills has been worth £104 billion, an average of £3,700 per household, including households in Glasgow and across Scotland. The UK Government reacted quickly to protect energy consumers, maintain continuity of supply and stabilise the markets, when unprecedented increases in wholesale energy costs from mid-2021 caused significant volatility in energy retail markets. The energy price guarantee and the energy bill support scheme covered around half of a typical household energy bill over winter 2022, and by the end of June 2023, had saved a typical household around £1,500. Businesses across the UK have also received support through the energy bill relief scheme and the energy bills discount scheme.
Wholesale energy prices have now significantly fallen, with the average annualised household energy bill in quarter four of 2023 falling from EPG level of £2,500 in 2022, to £1,834 in 2023, under the Ofgem price cap. The price cap will increase by 5% to £1,928 in the first quarter of 2024, and is expected to fall back to around £1,800 for the rest of 2024.
Hon. Members will be aware that tackling high inflation remains a core priority for the Prime Minister and the UK Government. At its peak, inflation was 11.1%, and that hit families and businesses alike. We remain committed to the challenge, and the latest Office for National Statistics data shows that we have reduced inflation to 3.9%, which is good news for everyone in Scotland and across the UK. When inflation is low, it helps people and businesses to better plan their spending and investments. In turn, that helps the economy to grow by creating jobs and prosperity, which is a key priority for the Government.
So many of my constituents are concerned about the cost of living and how they are going to afford it. Age Scotland says that 50% of people over 50 in Scotland have seen their standard of living decrease. Does the Minister agree that the answer is not constitutional change, but a change of Government?
The hon. Member will have heard about the measures that the UK Government have put in place to support all households with the rising cost of living, including the older groups that she identifies. As Members of Parliament, we all recognise the challenges that our constituents face with rising bills, but what they do not need is the reopening of the constitutional debate in Scotland. They do not need independence for Scotland; they want both of Scotland’s Governments to focus on the challenges that households face not just in her constituency in Edinburgh or in my constituency in the borders, but across Scotland.
This Government passionately believe that the best way to improve living standards in the long term is to get more people into higher-paid jobs, which is why it is so encouraging to see the employment rates in Scotland. The number of payrolled employees in Scotland hit a record high of 2.45 million in November 2023, and the unemployment rate remains below the UK average. This includes the area represented by the hon. Member for Glasgow East, Glasgow city, where the number of people in employment has increased by nearly 18,000 pay-rolled employees since the start of the pandemic to a new record high of over 275,000.
It is not just about getting people into work, but about ensuring that it pays to work. That is why the Government will increase the national living wage by 9.8% to £11.44 an hour and increase the national minimum wage by 14.8% to £8.60 an hour, benefiting around 200,000 people in Scotland. However, we recognise that short-term cost of living pressures remain and particularly impact on vulnerable groups. In addition to UK-wide support for all households, the Government have deployed specific, targeted financial support and tailored interventions to help those most in need. For example, around 680,000 low-income and vulnerable households in Scotland have received additional support through the cost of living payment scheme, with millions more households also benefiting in other parts of the country.
(1 year, 2 months ago)
Commons ChamberThis Government want to ensure that farmers and food producers get a fair price for their products by tackling unfairness that exists in food supply chains. We are currently pursuing contractual reform in the dairy and pork sectors and we have a new review of the egg sector. This will ensure resilience and fair supply chains across the country.
My constituents in Edinburgh West, like so many others across the country, are finding it increasingly difficult to source affordable nutritious food. The situation has been made worse by flooding in Scotland and by international pressures such as the war in Ukraine, energy prices and Brexit. There are enterprises such as Lauriston Farm in my community that can provide good local food. What are the Government doing to support projects such as those and to offset the impact on our food producers of the recent flooding?
I recognise the points that the hon. Lady makes about the pressures on the food supply chain. The UK Government are closely monitoring the impact on the agricultural sector of the flooding caused by storms and we are working with the Environment Agency to resolve that. The Department for Environment, Food and Rural Affairs can provide financial assistance to the farming sector to cover uninsurable losses incurred as a result of exceptional flooding by activating the farming recovery fund. I would encourage the hon. Lady to contact the Under-Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for Keighley (Robbie Moore), the excellent new water Minister at DEFRA, for more information.