Oral Answers to Questions

David Mundell Excerpts

Wednesday 2nd July 2014 Commons Chamber

[Ann McKechin (Glasgow North) (Lab)]

2. What steps he is taking to incentivise employers in Scotland to pay the living wage.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The Government support businesses that choose to pay the living wage, where it is affordable and does not cost jobs.

[Ann McKechin]

The Minister will be aware that many people in Scotland have started the holiday season and packed their bags, and many will be visiting the beautiful islands of Scotland, but last week the National Union of Rail, Maritime and Transport Workers reported that foreign-resident seafarers who are working on the ferries are being paid as little as £2.35 an hour. That is a disgrace to Scotland, and I urge the Minister to use his offices to work with the Scottish Government to persuade the ferry companies to pay not only the minimum wage but a living wage to every single one of their workers.

[David Mundell]

I most certainly take on board what the hon. Lady says and I will make representations in that regard. I am sure she welcomes the fact that earlier this month the UK Government published a list of employers who had not paid the minimum wage. Unfortunately, two of them were in Scotland.

[Mike Crockart (Edinburgh West) (LD)]

Mr Speaker, I know that you will be happy to hear that in May I employed an apprentice in business administration in my office and committed to paying her the living wage. Does the Minister agree with me that all MPs’ offices and Government Departments should set an example and move as quickly as possible to being accredited living wage employers?

[David Mundell]

The hon. Gentleman sets a good example, and certainly in apprenticeship schemes offered by Members of Parliament, I support the action he has taken.

[Mr William Bain (Glasgow North East) (Lab)]

14. Seven out of 10 young people in Scotland who are unemployed are applying for benefit for the second time. Is that not testament to the fact that there are simply not enough secure jobs for them that pay the living wage? Why will this Government and their equally bad counterparts in Edinburgh not use the public procurement powers available to them to ensure that every Scottish young person gets the living wage?

[David Mundell]

I would have thought that the hon. Gentleman would welcome the fact that the number of those in the 16 to 19-year-old category in Scotland who are out of work has fallen by 4,000. Work is the way out of poverty, and that is what this Government are encouraging.

[Robert Halfon (Harlow) (Con)]

Does my hon. Friend not agree that the best way to achieve the living wage in Scotland and elsewhere in the country is by continuing to take millions of low earners out of paying income tax altogether?

[David Mundell]

I absolutely agree. Tens of thousands of Scots have benefited from the fact that we have raised the personal allowance. Roughly two thirds of those on the minimum wage are now paying significantly less tax than they were when this Government came to power.

[Mr Russell Brown (Dumfries and Galloway) (Lab)]

I know the Minister recognises that payment of the living wage will ease the pressures of the cost of living that many households experience, but in view of his recent admission to the Scottish Parliament’s Welfare Reform Committee that his Government’s benefits sanctions and welfare reforms have contributed to the increase in the number of food bank users, will he now apologise?

[David Mundell]

What I think politicians should apologise for is making the poor and most vulnerable into political footballs. Poverty is a scourge in our country, not an opportunity for a press release.

[Mr Speaker]

Order. In case the House is not aware, I can inform colleagues that the House of Commons has received its accreditation from the Living Wage Foundation.

--- Later in debate ---

[Jim McGovern (Dundee West) (Lab)]

4. What assessment his Department has made of the effect of the regional air connectivity fund on Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The regional air connectivity fund was announced by the Chief Secretary to the Treasury last year and was doubled to £20 million in the Budget. It has already been successful in securing the air link between Dundee and London, a vital support for economic growth in the hon. Gentleman’s great city.

[Jim McGovern]

I thank the Minister for that answer. Some £2.8 million came from the UK Government to retain the air link between London and Dundee. Is that not just one more example, albeit a crucial one for Dundee, of why Scotland is stronger as part of the UK?

[David Mundell]

I absolutely agree. The air connectivity fund is a good example of the UK Government working to support economic development across all the nations and regions of our United Kingdom.

[Mr Charles Kennedy (Ross, Skye and Lochaber) (LD)]

May I ask the Minister, on behalf of my hon. Friend the Member for Argyll and Bute (Mr Reid) and myself—this is not just a parliamentary pincer movement; it is close to the Secretary of State’s heart, and I am assured that he does have a heart, at least on Wednesdays—about Islay airport and Broadford airport on the Isle of Skye? They could both benefit if that excellent scheme were extended in conjunction with the Scottish Government: in the case of Islay, because it lacks a public service obligation and wants more commercialism; and in the case of Broadford, by re-establishing passenger links. Will he give that his full support?

[David Mundell]

I will most certainly take on board what the right hon. Gentleman says on his behalf and that of his colleagues. I am sure that everybody would welcome the opportunity to fly over the sea to Skye.

[Mr Ian Davidson (Glasgow South West) (Lab/Co-op)]

Does the Minister agree that those who are using that fund to fly from London to Dundee later this week in order to see the launch of the aircraft carrier will be able in two different ways to see the strength of the United Kingdom?

[David Mundell]

Absolutely. The hon. Gentleman will have heard the Secretary of State highlight the importance of the flotation of the aircraft carrier on Friday, which will be a very important moment not only for Scotland, but for our whole United Kingdom.

[David Mowat (Warrington South) (Con)]

5. What assessment he has made of the potential effect of Scottish independence on energy flows between Scotland and the rest of the UK.

--- Later in debate ---

[Mr Michael McCann (East Kilbride, Strathaven and Lesmahagow) (Lab)]

7. What assessment he has made of the effects of the distribution of housing benefit in Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

In recent months, I have met every local authority in Scotland to discuss a wide range of issues, including housing benefit.

[Mr McCann]

A report by my trade union, the GMB, shows that huge sums of housing benefit are paid to company landlords in Scotland. Bearing in mind the Secretary of State’s earlier answer, will the Minister meet me to discuss how we can bring together the UK, Scottish and local governments to ensure that we get best value for housing benefit and that we can create new houses and new jobs, rather than fill the pockets of company landlords?

[David Mundell]

I would certainly be happy to meet the hon. Gentleman, with a view to convening such a meeting.

[Mr Alan Reid (Argyll and Bute) (LD)]

I want to thank the Government for recognising the extra costs of living in remote rural areas and giving councils such as Argyll and Bute extra money to give discretionary housing payments to their tenants. I hope the Government will continue to give extra money to such councils in future years.

[David Mundell]

The hon. Gentleman will know that I wrote to the Deputy First Minister of Scotland with an offer to executively devolve the power to Scottish Ministers to set the statutory cap on discretionary housing payments in Scotland. That offer has been accepted and we are working constructively with the Scottish Government to take it forward in relation not just to rural areas, but to all councils in Scotland.

[Michael Connarty (Linlithgow and East Falkirk) (Lab)]

Will the Minister intervene with the Department for Work and Pensions so that we can have a system where someone who is sanctioned and taken off benefits when they have an appeal does not lose their housing benefit until the appeal is heard? Once the appeal is heard, they get their money back, but they then have the problem of finding that they are in debt to the local council. Can we not have a system that is sensible and fair to people who are sanctioned by the DWP?

[David Mundell]

I certainly take note of what the hon. Gentleman says, and I would be happy to meet him to discuss it further.

The Prime Minister was asked—

Trade and Investment in Scotland

David Mundell Excerpts

Tuesday 24th June 2014 Westminster Hall

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I know from your frequent appearances at Scottish questions that you take a keen interest in Scotland. I congratulate the hon. Member for Glasgow North East (Mr Bain) on securing the debate, on an important subject. The Government’s policy on trade and investment is a key building block of our growth strategy, and that holds as true for Scotland as it does for the whole UK. I noted the hon. Gentleman’s comments on access to finance and will convey them to my colleagues in the Department for Business, Innovation and Skills and the Treasury. I share his concerns about what a yes vote would mean for our membership of the EU and will touch on that later.

When it comes to international trade and investment, as part of the United Kingdom Scottish businesses currently enjoy the best of both worlds—the local expertise of the Scottish Government’s trade and investment agency Scottish Development International, plus the international reach and reputation of the UK and UK Trade & Investment. In Scotland, UKTI works closely with Scottish Development International, which delivers trade services on the ground to local Scottish businesses and organisations. Scottish companies have access to both UKTI services and those provided by SDI. As part of our commitment to ensure that that close working relationship continues to deliver the best for Scottish exporters, in autumn 2012 the then Secretary of State for Scotland asked Brian Wilson, the former Scotland Office Minister, to conduct an independent review of support for Scottish exporting. His report was published last month.

The Wilson report identified many of the positives for business that come from Scotland’s being part of the UK, including the value that Scottish businesses place on the work of SDI and UKTI as a whole. The report suggests, however, that all agencies offering support to exporters need to work together better to deliver a seamless service to businesses, if they are to maximise success. The Government will study the recommendations to help us consider how best to do that. That is part of the UK Government’s continuous work to get the best from the services that they provide to business.

Of course, within the UK we currently benefit from a fully integrated open market. As the Wilson report says,

“it is critical to Scotland’s exporters—including those who currently sell to the rest of the United Kingdom—that their interests, such as having a fully integrated regulatory system and being border-free, are at the forefront of that debate.”

The UK Government have this week delivered to every household in Scotland a booklet entitled, “What staying in the United Kingdom means for Scotland”. There are sections headed, “By staying in the United Kingdom, Scotland’s public services are more affordable” and “By staying in the United Kingdom, your money is safe and goes further.” In the section entitled, “By staying in the United Kingdom, Scotland has a strong voice in the world”, we summarise something highlighted in the Wilson report:

“Companies based in Scotland have access to UKTI’s network of more than 1,200 staff”—

in 169 offices—

“in over 100 overseas markets working to support UK businesses. This is part of the UK’s wider diplomatic and consular network of over 220 locations, which also is able to help UK businesses, including those from Scotland”.

The Scottish Government propose a much smaller network, a third of the size that the UK currently has. That would be a major decrease in the presence and impact overseas that Scotland exerts as part of the UK. Yet they suggest that independence will be good for Scotland’s voice in the world. In their passion for independence, SNP leaders will say anything to make it sound easy, but as I am sure the Scottish people know, if it sounds too good to be true, it usually turns out to be so.

Last year, UKTI helped almost 2,000 firms in Scotland to export. Let us take one example. Exports are vital to the success of Scotland’s impressive food and drink sector, which the hon. Gentleman rightly highlighted. Cutting overseas support on this great scale would be a backward step for that industry. Together we can sell our products and services to the world more effectively against international competition. UKTI also works closely with UK Export Finance, which makes doing business overseas both more accessible and safer for Scottish firms by offering trade finance and insurance in case an overseas partner defaults. The Scottish Government have no plans to match that service, despite the fact that it can help to reduce the risk for Scottish firms as they do business overseas by spreading the risk across the broad shoulders of the United Kingdom.

On inward investment, UKTI promotes the whole of the UK overseas to potential foreign investors. That is another example of Scotland getting the best of both worlds, because, in addition, the Scottish Government and SDI promote the individual benefits of Scotland. UKTI helped to land three quarters of the inward investment projects that generated 13,500 jobs in Scotland last year. Our GREAT campaign has contributed to that, promoting businesses, tourism and education in Scotland, Wales, England and Northern Ireland. We are looking to make that work even more successful by making the most of the international focus that will be on the hon. Gentleman’s city for the Commonwealth games this summer.

The UK Government are working both with the Scottish Government on a joint international business conference to be held during the games period and through the British business house, to be based in Glasgow city chambers. As the hon. Gentleman knows, that is a very impressive venue, and we are most grateful to the leader and members of Glasgow city council for their support of that venture. UKTI will be using those events to promote and support British businesses, both in Scotland and across the whole UK.

Looking at trade policy more widely, in the spirit of Adam Smith, we can use our influence to push for free trade in the wider world. I noted carefully the hon. Gentleman’s comments about the WTO. I did not know about the minimum period that it had taken a new member to enter that organisation and I am very glad that he got that on the record, because, as he knows, those of us taking part in debates in Scotland about separation are often told that everything will happen seamlessly and automatically. To have a tangible example is most helpful.

The UK is using its global reach to lower market barriers and promote Scottish produce overseas. Whisky is a prime example. The UK is working to open markets and reduce tariffs on Scotch all around the world. Last year, we worked with the whisky industry to bring down barriers in 12 countries. As the chief executive of the Scotch Whisky Association said in its annual review,

“we rely on effective support from government in our overseas markets...The Scottish Government White Paper envisages a network of 70 to 90 overseas missions, but we export to around 200 markets. A diplomatic network with the necessary geographic footprint, expertise, and influence...will continue to be essential.”

As the hon. Gentleman said, a particular concern of the Scotch whisky industry is the status of the agreements currently in place, particularly with countries such as India and China. What would the status of those agreements be in the hiatus period between Scottish independence and Scotland’s full membership of the EU, or would they have to be negotiated from scratch? That is of significant concern to the industry and, as with so many aspects of the independence debate, no answers are forthcoming from those who propose separation.

An independent Scottish state would face tough choices about its international priorities. It would be a lengthy, expensive process for Scotland to set up its own diplomatic, consular, trade and other international services— a support structure the UK already has in place—to work for its businesses and nationals all over the world. The argument is not whether Scotland could do so in due course; no doubt it could. The argument at the heart of our referendum campaign is whether it would be better for Scotland to do so or to continue to work in the effective way provided by the UK’s diplomatic, consular and trading arrangements.

The most recent economic analysis shows that Scotland’s economic recovery as part of the UK is going strong. The Fraser of Allander Institute notes that the Scottish economy has been growing for seven consecutive quarters and that the growth rate rose at 1.6% throughout 2013, while the Scottish ITEM Club has revised its forecast for Scottish economic growth upwards by 0.7 percentage points and now expects the Scottish economy to grow by 2.4% this year.

As the hon. Gentleman will know, in the past the Scottish Government have placed a lot of weight on exporting to China and on the views of the Chinese Government. Recently, however, they do not seem to be so much in agreement with the Chinese Government, perhaps because the Chinese Premier, when asked about the referendum on his visit to the United Kingdom, said that he wanted a “united United Kingdom”. I think that that sums it up well. He is the latest in an ever-growing list of world leaders who have made it clear how much rests on the referendum.

We want the best for Scotland. The Government and the people of England, Wales and Northern Ireland believe that Scotland is better off in the UK and that the UK is better off with Scotland in it. We do not need to go through a painful separation. As a United Kingdom, we have the best of both worlds, working together to help international trade and investment in Scotland to thrive. For many of the reasons that the hon. Gentleman has set out in this important debate, we wish and need to remain together. That is why, for reasons of international trade as well as a host of others, I will be urging my fellow Scots to say “No thanks” on 18 September.

Question put and agreed to.

Oral Answers to Questions

David Mundell Excerpts

Wednesday 7th May 2014 Commons Chamber

[Sandra Osborne (Ayr, Carrick and Cumnock) (Lab)]

9. What discussions he has had with his ministerial colleagues on the effects of housing benefit changes in Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

I have had regular discussions with ministerial colleagues about the effect of housing benefit changes in Scotland, and in particular about the application of discretionary housing payments to those affected by the removal of the spare-room subsidy. Those discussions led to the announcement on Friday 2 May that the setting of the limit for such payments could become the responsibility of the Scottish Government.

[Katy Clark]

In February the Scottish Parliament voted in favour of full mitigation of the bedroom tax, but much of that money has not yet reached tenants. Given that there has been a discussion about the discretionary cap, does the Minister agree that the Scottish Government could have acted earlier, and, given that an announcement has now been made, will he do everything in his power to ensure that there is co-operation between Westminster and the Scottish Government so that the money reaches the people who need it?

[David Mundell]

I entirely agree with the hon. Lady. The Scottish Government already had powers that they could have used to take other steps for the purpose of the mitigation that they said was necessary, but they chose not to do so. The Scottish Parliament forced additional funds to be provided, and we will not stand in the way of the spending of those funds. I shall be meeting the Deputy First Minister of Scotland tomorrow morning, and I shall convey the hon. Lady’s comments to her.

[Sandra Osborne]

Does the Minister agree with the far-reaching proposals of Scottish Labour’s devolution commission, including the proposal for the devolution of housing benefit? Does he agree that that would be a progressive, logical and practical step that would enhance devolution and the ability to meet Scottish housing needs?

[David Mundell]

I think that the proposal to devolve the setting of the cap for discretionary housing payments is a positive step, and I welcome the fact that the Labour party has presented proposals. At the end of May, the Scottish Conservative party will present its proposals following the outcome of the work of our own devolution commission.

[Mary Macleod (Brentford and Isleworth) (Con)]

An important part of dealing with housing benefit is ensuring that there is enough affordable housing. Does my right hon. Friend agree that the lack of suitable affordable housing in Scotland is the result and the responsibility of successive Scottish Governments?

[David Mundell]

I do agree with my hon. Friend. She will be aware that since 2010 the Scottish Government have had an additional £1.3 billion in funding that they could have used to provide affordable housing in Scotland. We used to hear constantly in the Chamber about the number of shovel-ready projects in Scotland, but we have not seen much shovelling.

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

The bedroom tax has been a costly fiasco in Scotland. It should never have happened, but I am glad that the Government have at long last agreed to allow the Scottish Government to mitigate its worst impacts. However, the Secretary of State recently boasted that we have a “fantastic” benefits system. Does the Minister think that he was talking about the bedroom tax, or is he also living in a parallel universe?

[David Mundell]

I certainly do not live in the universe that the SNP inhabits. It has not given us a single detail of how a welfare system would operate in Scotland. Indeed, in the 670 pages of the Scottish Government’s White Paper, there is just one reference to the establishment of such a system. The SNP set up a commission, but we have heard nothing from it, so I am afraid that I shall take no lessons from the hon. Lady.

[Mr Ian Davidson (Glasgow South West) (Lab/Co-op)]

Does the Minister accept that, now that the Scottish Government have been given the powers for which they asked in relation to discretionary housing payments, there is no reason why they should not first cancel all the bedroom tax for this year, and then write off all the debts that were incurred last year? In order to ensure that no moral hazard is involved, should they not do as the Scottish Affairs Committee has asked, and refund the money that Scottish people paid last year in bedroom tax?

[David Mundell]

I understand that a statement is to be made about the matter in the Scottish Parliament today, and I am sure that the hon. Gentleman’s colleagues will raise those very points with the Scottish Government.

[John Robertson (Glasgow North West) (Lab)]

3. What assessment he has made of the effects of recent trends in household energy bills on standards of living in Scotland; and if he will make a statement.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

Rising energy bills are a serious concern for consumers in Scotland and across the rest of the UK. We are increasing competition, sustaining vital financial support for vulnerable consumers, and working to ensure suppliers put customers on the cheapest tariff.

[John Robertson]

I thank the Minister for his answer. Does he agree that with the closing of coal-fired power stations and a doctrine of anti-nuclear power stations north of the border, under independence, with the reliance on renewables, energy costs must increase?

[David Mundell]

I certainly agree with the hon. Gentleman about the serious loss to the Scottish economy of closing the door on the nuclear industry, which has brought so much benefit to Scotland, and I pay tribute to him for being such a champion of that cause. He is right that energy costs will go up in an independent Scotland, as set out in the Government’s analysis on energy.

[Guy Opperman (Hexham) (Con)]

Both in Northumberland and in Scotland people are setting up oil-buying clubs to deal with the problem of off-grid energy. Does the Minister agree that the best way to combat energy problems and price rises in off-grid circumstances is to copy this good measure and spread it out across the country?

[David Mundell]

I absolutely agree with my hon. Friend. Oil clubs are developing in Scotland and the Government are keen to promote and support them. I commend him for highlighting this issue.

[Mr Mike Weir (Angus) (SNP)]

11. If the Minister is genuinely concerned about rising costs of energy in Scotland, why is it that Ofgem has yet again delayed the implementation of Project TransmiT, which would finally begin to tackle the discriminatory and expensive transmission charges? Will he press his colleagues to implement it immediately?

[David Mundell]

Project TransmiT is one matter on which I am probably in agreement with the hon. Gentleman. The important thing for Scotland is to get the right answer. Yes, it is disappointing that it has taken some time, but the Scotland Office is determined to work towards getting the right answer, and I urge him and his colleagues to continue to press Ofgem on this as well.

[Margaret Curran (Glasgow East) (Lab)]

Will the Secretary of State explain why, when the Prime Minister said that consumers in Scotland would be £50 better off after cuts to the green levies, hundreds of thousands of Scottish consumers have seen their bills decrease by only £12?

[David Mundell]

There is no reason why consumers in Scotland should not be seeing this £50 benefit, and the Government will continue to do all we can to make sure that they do.

[Margaret Curran]

That is the definition of an inadequate answer, and perhaps goes some way towards explaining why Labour’s policy has gained widespread support across Scotland. In opposing Labour’s energy freeze, the Tory-led Government have had the full support of a surprise friend in the form of the Scottish National party, and it does not stop there: standing up for energy companies, failing to take action on the living wage, proposing tax cuts for those at the top. Does the Minister not agree that Scotland deserves better than this?

[David Mundell]

What I believe is that we do not take any lectures from Labour on energy issues. Gas bills more than doubled under Labour, electricity bills went up by 50%, the leader of the Labour party was responsible for £179 of additional levies on gas bills and fuel duty went up 12 times. I am proud of this Government’s record on energy and Scotland is doing well under it.

[David Mowat (Warrington South) (Con)]

4. What discussions he has had with Ministers in the Scottish Government on the potential role of the Bank of England in the event of Scotland becoming an independent country.

Oral Answers to Questions

David Mundell Excerpts

Wednesday 19th March 2014 Commons Chamber

[Alison McGovern (Wirral South) (Lab)]

2. What assessment he has made of the extent of the use of zero-hours contracts in Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The Secretary of State for Business, Innovation and Skills recently concluded a consultation on zero-hours contracts with proposals on exclusivity clauses, transparency and guidance. A summary of consultation responses will be published in due course.

[Alison McGovern]

The Office for National Statistics has recently had to uprate massively the number of people it estimates are on zero-hours contracts right across the UK. Does the Minister agree that this is the wrong time to see a race to the bottom between UK nations on working standards for ordinary people, whether they live in Scotland, England, Wales or anywhere else?

[David Mundell]

I agree with the hon. Lady. She will know that a 670-page White Paper was produced by the SNP Scottish Government. On zero-hours contracts, as on everything else, it is very short on detail.

[Ann McKechin (Glasgow North) (Lab)]

Will the Minister explain what assessment has been made of Government procurement contracts in relation to zero-hours contracts and how we can encourage best practice?

[David Mundell]

The hon. Lady makes an important point. I will take that up with my colleagues in the Cabinet Office and write to her.

[Margaret Curran (Glasgow East) (Lab)]

Can the Minister tell the House how many people are employed on zero-hours contracts in Scotland?

[David Mundell]

The answer to that question has not changed since the hon. Lady asked it previously. She knows that there is no legal definition of zero-hours contracts.

[Margaret Curran]

Well, the House of Commons Library might take issue with that, because according to the Library, 46,000 people in Scotland are on zero-hours contracts and, in fact, it believes that that is an underestimate. Will the Minister join Labour in calling for an end to exploitative zero-hours contracts? Does he agree that, despite all the talk of recovery, there are still thousands and thousands of Scots on very low and insecure incomes? During the Budget process, has he been fighting in the interests of those Scots or, like the rest of the Tories, is he concerned only with those at the top?

[David Mundell]

It does not surprise me that the hon. Lady does not draw attention to the fact that, on the basis of statistics announced today, employment in Scotland increased by 15,000 over the quarter, and has increased by 79,000 over the year. The Scottish employment rate rose by 0.3%. The way out of poverty is work, and this Government are delivering jobs.

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

3. What assessment he has made of the effect of the Government’s welfare reforms on levels of child poverty in Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The Scottish Government child poverty strategy report was published in September 2013 and states that child poverty in Scotland is at its lowest level since 1994. Welfare reform will be subject to the normal policy review process in due course.

[Dr Whiteford]

I am appalled by the Minister’s complacency. He should be aware that more than half the children in poverty in Scotland have working parents, and that the Child Poverty Action Group estimates that 100,000 more children will be pushed into poverty as a consequence of welfare reform. Why do his Government think that it is okay to make children pay the price of austerity, and does he think that it is a price worth paying?

[David Mundell]

Each month, the hon. Lady raises welfare issues and plumbs new depths of hypocrisy. The Scottish Government produced a 670-page—[Interruption.]

[Mr Speaker]

Order. I am quite clear that the context in which the hon. Gentleman is using that term is not collective but individual and personal. [Interruption.] Order. I can handle the matter. The Minister will withdraw that term: it was directed at an individual, and it is inappropriate.

[David Mundell]

I withdraw unreservedly, Mr Speaker. The point I want to make is that the Scottish National party produced a 670-page White Paper on Scottish independence. How many mentions does it make of child poverty? One, on page 41.

[Iain Stewart (Milton Keynes South) (Con)]

Does my right hon. Friend agree that a good way of tackling child poverty in Scotland and England is to raise the personal tax allowance, which would target low earners? That is an effective way of increasing the household incomes of families at the bottom end of the income scale.

[David Mundell]

I absolutely agree with my hon. Friend. Since the coalition Government came to office, 2.2 million people in Scotland have seen their income tax bills reduced.

[Lindsay Roy (Glenrothes) (Lab)]

Will the Minister confirm what impact the imposition of the bedroom tax has had on child poverty in Scotland?

[David Mundell]

On the spare room subsidy, the hon. Gentleman is aware that the Government have introduced significant contributions in relation to discretionary housing payment. He knows as well that the Scottish Government have significant powers to contribute to any mitigation that they think is necessary.

[Guy Opperman (Hexham) (Con)]

Surely the best way to address child poverty is by increasing employment and changing education and skills so that young people in Scotland and England have the skills and aspirations to work their way out of child poverty.

[David Mundell]

My hon. Friend is exactly right, which is why I would have thought that even Opposition Members would welcome the fact that employment in Scotland has increased by 15,000 over the quarter, and that the Scots employment rate rose by 0.3%.

[Mr Russell Brown (Dumfries and Galloway) (Lab)]

Child poverty has long-lasting effects. By the age of 16, children receiving free school meals achieve significantly lower exam grades than their wealthier peers, and they leave school with fewer qualifications, which translates into lower earnings over the course of their working lives. Will the Minister speak with the Secretary of State for Work and Pensions and demand a proper start in life for all children, something that is threatened by this Government’s welfare reform programme?

[David Mundell]

I do not accept the claim that this Government are responsible for child poverty. I agree with the hon. Gentleman’s Dumfries and Galloway council colleague, Marion McCutcheon, who said that the only solution to child poverty is work. That is what this Government are delivering, with 15,000 more people in employment over the past quarter.

[Dr Thérèse Coffey (Suffolk Coastal) (Con)]

4. What assessment he has made of the financial benefits for Scotland of being part of the UK.

--- Later in debate ---

[Mr Graham Allen (Nottingham North) (Lab)]

7. What discussions he has had on the potential benefits of replicating aspects of the Scottish devolution model in England; and if he will make a statement.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The devolution settlement is designed to meet the needs and wishes of the people of Scotland. This Government are committed to devolving power across the United Kingdom to the most appropriate level, taking account of local need. In England, we are achieving this in many ways, including the city deals programme in which Nottingham is a participant.

[Mr Allen]

A lasting democratic settlement in the UK must be based on the twin principles of union and devolution. Does the Minister share my view that separatism will be weaker and devolution will be stronger and more believable, not least to the Scottish people, if its benefits are spread to England too?

[David Mundell]

This Government are committed to devolution within England, and the hon. Gentleman is a prominent advocate of that. He recognises, as I do, that independence in Scotland is the end of devolution there.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Does my right hon. Friend agree that devolution should absolutely take place in England, but it should be chosen by the people of its regions and not imposed by central Government as it was by the previous Labour Deputy Prime Minister?

[David Mundell]

I agree that the form that devolution takes within England—and, indeed, within the rest of the United Kingdom outwith Scotland—is a matter for the people of the rest of the United Kingdom.

[Pete Wishart (Perth and North Perthshire) (SNP)]

There are, of course, new proposed models of devolution on offer. Yesterday we had Labour’s devo-dog’s breakfast as an offer to the Scottish people. Does the Minister find anything attractive in Labour’s chaotic plans? Will they form the basis of the joint proposition, and if not, why not?

[David Mundell]

What we know about the SNP’s position is that it opposes devolution to Scotland and devolution within Scotland with its centralist agenda.

[Graeme Morrice (Livingston) (Lab)]

9. What assessment he has made of the potential effect of Scottish independence on investment in the North sea oil industry.

Scotland and North-east England Post-2014

David Mundell Excerpts

Tuesday 4th March 2014 Westminster Hall

[Mr MacNeil]

If I did not know the right hon. Gentleman better, I would imagine that he was threatening the Channel Islands and the Isle of Man, because they are in that situation. Is he saying that the Channel Islands and the Isle of Man will have to give up their independence? I think not. I think that he is quite a reasonable individual, and I do not think that he will go down that route. The argument about the euro is fallacious, because there are vastly different levels of productivity within the eurozone. The strains within the euro are not really between all the countries that use the euro—they are not between Germany, the Netherlands and France—but between Germany and the far more divergent economies of southern Europe, such as Greece.

I want to address the point that has been made about Canada and the United States of America. The comparison is erroneous because the populations of Canada and the United States are more contiguous, particularly in Canada, running east-west rather than north-south, and that is where the problems are. I am pleased to see that the hon. Member for Inverclyde (Mr McKenzie) was not encouraging Canada, which became independent of the United Kingdom, to become part of the United States of America. We must realise that 100 years ago, the world had 50 independent states. It now has 200 independent states—Europe alone has 50 independent states—and it is better for it. Intergovernmental organisations and others come together to deal with things, and the approach is far more mature than the one that existed in the days of empire. I encourage the hon. Gentleman to take further his support for the independence of Canada, of which I am a fervent supporter, and to realise that just as Canada is better off being independent of its 10-times-larger neighbour to the south, the same is true for Scotland. I do not see any animosity between Canada and the United States of America; I see friendship and people trying to get on with each other.

If there has been a discordant note in the debate, it was introduced by the Secretary of State for Business, Innovation and Skills, who described London as a “giant suction machine”. I am glad to say that that was repudiated by no less a figure than the SNP deputy leader Nicola Sturgeon, who said at University college London that the Secretary of State’s comment was a bit harsh. That happened to be on the day that the Chancellor went to Scotland to bully, threaten and harry the people of Scotland, with predictable reactions. I remember the headline from the London Evening Standard: “Chancellor bullies the Scots while Nicola Sturgeon charms London”. The SNP’s deputy leader spoke in a constructive tone not of fears and scares, but of optimism about the future.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

We did not see that last week.

[Mr MacNeil]

I hear Members, including no less a figure than the Minister, cackling and heckling. The same fears and nonsense about the idea that we would be diminished were no doubt present when Ireland and some of the Dominions were moving towards independence, but I argue that they were wrong. There is more trade between the UK and Ireland now than there ever was when Ireland was part of the UK. Things are better, and the aggregate GDP of the British Isles is higher because of an independent Ireland and an independent Isle of Man. It will be higher still when we have an independent Scotland, because of the giant suction machine that the Secretary of State for Business, Innovation and Skills alluded to. There is an issue, but the best way to solve it is to create a successful second centre of gravity in the island of Britain. The island of Ireland probably benefits from having two Governments, although it has not been helped by the psychopathic elements who have been involved over the past 100 years.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

It is a pleasure to serve under your chairmanship, Mr Weir; I commend the fair way in which you have performed your duties. I congratulate the hon. Member for Sedgefield (Phil Wilson) on securing the debate, and I welcome the contributions from Members from both sides of the border and of all political persuasions. Some Members are new to the debate on Scotland that we are regularly subjected to—or take part in, depending on one’s perspective.

Today is an important day in the referendum debate, because I hear from the BBC that Mr Alex Salmond is coming to England to reach out over the heads of the “Westminster elite”—I do not know whether that is us—to the people of England. I understand that he will tell them that they have no right to have a say in whether England enters into a currency union with Scotland, and that if Scotland becomes an independent country in the EU, English students will still have to pay tuition fees, contrary to EU law. That sounds like a very friendly message, which will be much welcomed.

[Phil Wilson]

I have seen the coverage of Alex Salmond’s speech, too. It is being described as an emotional appeal. It always seems to be emotional, but it never gets down to the nuts and bolts of the economics and the impact on people’s lives.

[David Mundell]

The hon. Gentleman makes an astute point. We all listened to the speech of the hon. Member for Na h-Eileanan an Iar (Mr MacNeil), but it did not contain many facts about what independence will mean for an independent Scotland, or what currency it will have. Mr Salmond needs to be clear that the message on the currency union is not a bluff. He needs to tell us what his alternative plan is. Sterlingisation would leave Scotland with no central bank, no lender of last resort and no control over its interest rates. The Scottish Government’s fiscal commission said that sterlingisation

“is not likely to be a long-term solution”.

Mr Salmond looks like a man without a plan. Perhaps the people of England will find out what the people of Scotland have not found out: his plan B for currency.

As a number of Members have pointed out, being part of a strong United Kingdom benefits us all, on whichever side of the border we live. We all benefit from the stability and certainly that comes from being part of the large and diverse UK single market of 63 million people, rather than the market of the 5 million people of Scotland. The UK really is greater than the sum of its parts; we all put something in and we all get something out.

As part of the UK, Scotland has a broad tax base that allows us to share risks across the UK, and enables us to deal with economic shocks such as the 2008 financial crisis, and to support our ageing population. We have influence on the world stage as a member of the UN Security Council, the EU, NATO, the G8, the G20 and the Commonwealth. At home, institutions such as the NHS and the BBC benefit us all. Scotland benefits from having a strong Scottish Parliament that can make decisions about the things that affect our everyday lives, such as our schools and hospitals. We can pool our resources in the good times and share risks in the bad times with our families and friends in other parts of the United Kingdom.

[Mr MacNeil]

The Minister says that we have a strong Scottish Parliament, but will he tell us why he left it to come to this place?

[David Mundell]

I left the Scottish Parliament because I was elected to Westminster. I am a supporter of the Scottish Parliament. I want to remind our friends who are not usually part of this debate that the Scottish National party did not support the devolution proposal in 1997, or the Calman commission’s proposal to give the Scottish Parliament additional powers in 2012.

[Mr Russell Brown]

The Minister is painting a picture of where there have been significant improvements. There has been a devolution of power, yet under the SNP Government, we in Scotland are experiencing centralisation on a scale that has never been seen before.

[David Mundell]

The hon. Gentleman is right. Although he and I did not vote for the SNP Government in Edinburgh—nor did most people in Dumfries and Galloway—we are not saying that we should tear up the devolution settlement simply because we do not like the Government in Edinburgh. Rather, we are campaigning against the Government and saying that they should be changed. We are not tearing up our country simply because we do not believe in individual policies.

The hon. Member for Na h-Eileanan an Iar said that the only change that would come from independence is a change of Prime Minister—I think I heard him correctly, but I will check his words carefully, because I intend to have them printed out and distributed as widely as possible. He gave us the best case against independence that I have heard for some considerable time.

As a number of Members have said, like Scotland, the north-east benefits from the UK’s size and scale, and the ability to share risks and resources. Within the UK’s single market, we all benefit from close trading links, which continue to grow. The hon. Members for Middlesbrough South and East Cleveland (Tom Blenkinsop), for Inverclyde (Mr McKenzie), and for Houghton and Sunderland South (Bridget Phillipson) made those points strongly. Scotland sold goods and services worth more than £45.5 billion to other parts of the UK in 2011; that is double what we sell to the rest of the world, and four times as much as we sell to the EU. About 30,000 people travel between Scotland and the rest of the UK to work each day.

The strong ties between Scotland and the north-east are clearly illustrated by the work of the “Borderlands” initiative. As a Member of Parliament for Dumfries and Galloway and the Scottish borders, I am keen to encourage that close cross-border work. We must bring more closely together the strategic interests on both sides of the border.

[Sir Alan Beith]

Can I count on the Minister’s backing in ensuring that the policy put forward by the Chief Secretary to the Treasury and the Transport Secretary to prepare for the dualling of the A1 goes ahead?

[David Mundell]

The right hon. Gentleman is a powerful advocate of the dualling of the A1 to the border. It was not clear from his contribution that the A1 in Scotland is not dualled to the border; he might have wished to give that impression. However, he makes a strong argument for his proposition. He also made a strong point about cross-border services. Many of my constituents gratefully receive hospital treatment in Newcastle, and they do not want additional bureaucracy to block that. Although the NHS works on a devolved arrangement in Scotland, it is a shared institution and people do not want it to be separated.

The hon. Member for Sedgefield powerfully made the point about the border effect, which can be seen in the case of not only Canada and the US, but Austria and Germany. Creating a border will have an impact on trade. Hon. Members might be aware that our SNP friends have a pick ’n’ mix approach to comparisons with Scotland. Sometimes it is Norway, sometimes Finland, and sometimes Lithuania; today it was Lichtenstein—tomorrow, who knows? What we do know is that Scotland is better off within the United Kingdom. The only way to keep the benefits for trade and the labour market, the UK pound and cultural links is for Scotland to vote no in the referendum. That is why the UK Government will do everything we can to make a positive case for a strong United Kingdom with Scotland as an integral part.

Scotland’s Place in the UK

David Mundell Excerpts

Thursday 6th February 2014 Commons Chamber

[Pete Wishart (Perth and North Perthshire) (SNP)]

It is a pleasure to follow the hon. Member for West Aberdeenshire and Kincardine (Sir Robert Smith), and may I congratulate the hon. Member for Glasgow North East (Mr Bain) on ensuring we have this important, but all too short, debate today? May I also say to hon. Members that I will not be taking any interventions? Members of the other parties will get 90% of the time so it is only fair to the people watching this debate that they get the opportunity to hear from the other side.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

On a point of order, Mr Deputy Speaker. Can you confirm that next Tuesday the SNP is in control of Opposition business in this House and that it has not tabled a motion to discuss independence for Scotland?

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. That matter is on the record and certainly does not need my confirmation.

Oral Answers to Questions

David Mundell Excerpts

Wednesday 5th February 2014 Commons Chamber

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

2. What recent discussions he has had with Scottish local authorities on changes to housing benefit.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

In recent months, I have met every local authority in Scotland, and most of them twice, as part of an ongoing dialogue with local authorities and other stakeholders in Scotland on what the impact of welfare reforms and the challenges of implementation have been for them, their services and their tenants.

[Dr Whiteford]

The Minister will therefore know that 80% of the households in Scotland affected by the bedroom tax are the home of someone with a disability. He knows that there is a mismatch between the available housing stock and the needs of tenants, and he knows that Scottish MPs, including Government Back Benchers, voted overwhelmingly against this policy. Will the Government now lift the legal restrictions on discretionary housing payments to allow the Scottish Government to mitigate the impact of this nonsense of a policy?

[David Mundell]

What I do know is that the hon. Lady has a brass neck. She is a member of the Scottish Affairs Committee, but fails to take up her place. This issue was debated in detail yesterday and if she had been present she would know that the Scottish Government already have the powers to take measures if they genuinely believe there are concerns with welfare policies.

[Mr Alan Reid (Argyll and Bute) (LD)]

I am pleased that the Government listened when I pointed out the problems that withdrawal of the spare room subsidy, also known as the bedroom tax, would cause for tenants on islands and in remote parts of the mainland. I am delighted that the Government have given more than £400,000 to Argyll and Bute council to help affected tenants, and I hope that that generous allocation will continue in future years.

[David Mundell]

I commend the hon. Gentleman for pointing out the specific issues raised in island communities and by rurality generally, and that is why the Government have provided additional discretionary housing payments for rural areas.

[Fiona O'Donnell (East Lothian) (Lab)]

3. What discussions he has had with his ministerial colleagues on increased national insurance costs for public bodies in Scotland resulting from the introduction of the single-tier pension.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

Ministers in the UK Government and Scottish Government are in regular dialogue on issues relating to funding public bodies in Scotland. This Government believe that pension reform is essential because people are living longer and we all need to save for retirement.

[Fiona O'Donnell]

Scottish councils are struggling to protect local services, because the Scottish National party Government are not fully funding the council tax freeze. Will the Minister, unlike the SNP, stand up for Scottish councils and make representations to relevant ministries to protect Scottish councils from this budgetary time bomb?

[David Mundell]

I note what the hon. Lady says. I am due to meet the Convention of Scottish Local Authorities and will ensure that her comments are on the agenda for that meeting.

[Dame Anne Begg (Aberdeen South) (Lab)]

It would be useful if the Minister, in his discussions with COSLA, pushed for a statutory override that would help companies in Scotland to manage the move to single-tier pensions, because that will have an effect when they are not able to opt out of the state earnings-related pension scheme.

[David Mundell]

The hon. Lady is the Chair of the Work and Pensions Committee and we take her comments very seriously. I will ensure that they are also part of the discussions with COSLA.

[Katy Clark (North Ayrshire and Arran) (Lab)]

4. What change there has been in average household energy bills in Scotland since May 2010.

--- Later in debate ---

[Mr Ian Davidson (Glasgow South West) (Lab/Co-op)]

5. How many cases of non-payment of the minimum wage have been detected in Scotland since 2010; how many such cases have been prosecuted; and how many employers have been named and shamed for non-payment.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

While there have been no prosecutions or naming and shaming of businesses for non-payment of the minimum wage in Scotland since at least 2007, a revised scheme came into effect on 1 October 2013 making it simpler to name and shame such employers. I urge anyone with information about such an employer to use that scheme.

[Mr Davidson]

I note that the Minister did not tell us how many instances of non-payment had been detected. At a time of economic difficulty, it is a scandal that people are being exploited by being paid less than the national minimum wage. The policing of the Act ought to be much strengthened, then there ought to be vigorous prosecutions and harsh punishments, and there certainly ought to be naming and shaming. Will the Government agree to co-operate with any investigation that the Scottish Affairs Committee—with its full complement of members, I hope—conducts into this matter?

[David Mundell]

I recognise that the Committee has done much valuable work in this area, and of course we will continue to work with it. In Scotland, prosecutions are a matter for the Lord Advocate, but I am sure he will have heard the hon. Gentleman’s contribution this morning.

[Mr Philip Hollobone (Kettering) (Con)]

13. What representations has the Scottish Office made to the Chancellor of the Exchequer about increasing the national minimum wage to £7 an hour, and what effect does the Minister think such an increase would have on living standards in Scotland?

[David Mundell]

I agree with the Chancellor when he said:

“I believe Britain can afford an above-inflation increase in the minimum wage so we restore its real value for people and we make sure we have a recovery for all and that work always pays.”

[Mel Stride (Central Devon) (Con)]

6. What assessment his Department has made of recent developments in the job market in Scotland.

Oral Answers to Questions

David Mundell Excerpts

Wednesday 18th December 2013 Commons Chamber

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

With your permission, Mr Speaker, before I answer that question, may I draw the House’s attention to the fact that Saturday 21 December will be the 25th anniversary of the Lockerbie bombing? That remains the single largest loss of life ever in the United Kingdom, with 270 people perishing on that fateful evening. I am sure that the thoughts and prayers of the whole House will be with the community and with those who lost friends and family on that day. Much of the focus over the past 25 years has been on the perpetrators, but the friends and families of the victims and the community of Lockerbie deserve our respect and admiration for the formidable way in which they have coped with 25 years of unprecedented global attention.

The national minimum wage is one of Government’s key policies to support the low paid, and it is UK wide. On 1 October, the adult minimum wage increased to £6.31 per hour. We have also increased the income tax personal allowance to £10,000, taking 224,000 Scots out of income tax altogether and benefiting 2.2 million Scottish taxpayers.

[Mr Bain]

I am sure that the whole House will commend and agree with the Minister’s remarks about Lockerbie.

In his subsequent answer, the right hon. Gentleman omitted to say that prices had risen more quickly than wages in 41 of the 42 months he has served as a Minister in this House, that low pay was on the rise in Scotland and that the value of the national minimum wage had declined in real terms under this Government. When are he and the Business Secretary going to do something concrete to deal with all that? Or is he just going to sit on his hands while the cost of living crisis in Scotland gets worse by the day?

[David Mundell]

The hon. Gentleman is simply wrong. The October 2013 adult minimum wage rate is around 27% higher in real terms compared with the consumer prices index and about 15% higher in real terms compared with the retail prices index than it was on its introduction in 1999.

[Mark Menzies (Fylde) (Con)]

Does the Minister agree that the best way to tackle low pay in Scotland is to get the economy growing and to create more job opportunities?

[David Mundell]

I absolutely agree with my hon. Friend, and I hope that Opposition Members will welcome today’s announcement that employment is up and unemployment is down in Scotland. We are not complacent, but we are on the right track.

[Mr Frank Roy (Motherwell and Wishaw) (Lab)]

12. Low pay is a scourge that is now affecting thousands of families throughout Scotland. Would those families best be helped by giving them a decent living wage or by introducing a tax cut for millionaires?

[David Mundell]

The Government support the concept of the living wage, where employers can afford to pay it and where it is not introduced at the cost of jobs. It is something to be encouraged.

[Stewart Hosie (Dundee East) (SNP)]

The UK Government’s attitude to the living wage was encapsulated by the Under-Secretary of State for Business, Innovation and Skills, the hon. Member for East Dunbartonshire (Jo Swinson) earlier this year when she said:

“There is no recognised definition of a national living wage.”—[Official Report, 10 June 2013; Vol. 563, c. 211W.]

She went on to explain that the Government had therefore made no assessment of its consequences, were it to be introduced. Should not the Government move quickly to introduce a living wage for their employees, wherever they might be based in the UK, rather than hiding behind the vacuous argument that it is too difficult to calculate, given that we know it will be £7.65 an hour in Scotland and £8.80 in London next year?

[David Mundell]

It is never a surprise to hear the Scottish National party mention London in the same breath as Scotland. As I said to the hon. Member for Motherwell and Wishaw (Mr Roy), the Government believe that the living wage is a concept that should be supported, where employers can afford it and where it is not introduced at the cost of jobs.

[Margaret Curran (Glasgow East) (Lab)]

May I associate myself with the Minister’s remarks about the terrible tragedy of Lockerbie?

Low pay is one of the reasons that people are using food banks in Scotland today. I wish nothing personal towards the Minister, but I am disappointed that the Secretary of State did not answer this question himself, because we know that the Secretary of State has recently begun to struggle with some of the details of his brief. Let me see whether the Minister can do any better. Will he tell the House what the percentage increase in the number of people using food banks in Scotland in the past year has been? Given that it is Christmas, I will offer him a hand. Is it (a) 100%; (b) 200%; (c) over 400%?

[David Mundell]

What the hon. Lady omitted to tell us was that under her Government the increase in people using food banks was 1,000%. Our Government are concerned about people needing to use food banks in a moment of crisis in their lives. We support the development of food banks and those who operate them, and I was very proud to open the food bank in Peebles in my constituency. But to pretend that these crises are of this Government’s making and that they have not been going on for a continuing period is to mislead the House.

[Margaret Curran]

The Minister should know that the increase in the past year has been 435%, which is more than 34,000 people, including more than 10,000 children, using food banks in Scotland. Those are shameful figures and all Members of this House should pay attention to them. He has refused to be drawn on why this is happening. Citizens Advice, the Trussell Trust and the Child Poverty Action Group are all saying that this Government’s policies are driving people in Scotland to use food banks. Are they all wrong?

[David Mundell]

Of course the hon. Lady does not acknowledge the 1,000% rise in the use of food banks under the last Labour Government. We want to look at, and understand, why there has been an increase in the use of food banks. That is why the Department for Environment, Food and Rural Affairs has committed to an extensive study on the use of food aid across the United Kingdom, and she will be able to read that when it is published.

[Mr Philip Hollobone (Kettering) (Con)]

3. What estimate he has made of the number of illegal immigrants in Scotland.

--- Later in debate ---

[Mr Mike Weir (Angus) (SNP)]

6. What assessment he has made of the effect of energy prices on consumers in rural areas of Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

I know from my own constituency that rural consumers face particular challenges on energy bills. The Minister of State, Department of Energy and Climate Change, my right hon. Friend the Member for Sevenoaks (Michael Fallon), who is responsible for energy, is working with all interested parties to obtain more secure and affordable off-grid supplies. I am due to meet the Office of Fair Trading early in the new year to discuss the matter.

[Mr Weir]

I thank the Minister for that answer. As he is well aware, rural consumers who are off the grid are often forgotten in arguments over energy prices. The energy company obligation is supposed to be technologically neutral, but the major energy companies will not include LPG or oil boilers in their schemes, which is surely discriminatory. Will he press his colleagues in the Department of Energy and Climate Change to ensure that such boilers are included in ECO schemes?

[David Mundell]

I am happy to do that. The hon. Gentleman has championed the issue of off-grid supplies, and I suggest that we hold a round table, as we did on rural fuel, with DECC and interested Scottish MPs to discuss that and other issues.

[John Thurso (Caithness, Sutherland and Easter Ross) (LD)]

Is my right hon. Friend aware of the particular difficulties in remote rural areas, where there is no access to main supplies for both gas and oil? Will he commend the concept of heating oil clubs, such as the one I am promoting in Landward Caithness? They have done much to depress that cost. What can the Government do to assist?

[David Mundell]

The Government are keen to support oil clubs like the one in Landward Caithness. I am sure that the issues that concern the hon. Gentleman’s constituents will be ably discussed at our proposed round table in the Scotland Office with DECC and Scottish MPs.

[Anas Sarwar (Glasgow Central) (Lab)]

14. Why do the SNP, the Tories and the Liberal Democrats all agree that the price should go on the energy bill and the tax bill and that the energy companies should be let off scot-free?

[David Mundell]

We believe that something should be done about the mess in the electricity industry that the hon. Gentleman’s party left behind. That is why we are seeking to move people on to lower tariffs, that is why we are rolling back green levies, and that is why we are encouraging competition. What his party offers is a gimmick and a con.

[Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)]

7. What assessment he has made of the interim report by Sir Ian Wood on the future regulation of oil and gas extraction in the North sea.

Written Ministerial Question (Correction)

David Mundell Excerpts

Monday 16th December 2013 Written Statements

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

I regret to inform the House that a written answer I gave on 28 October 2013, Official Report, column 321W, to the hon. Member for Nottingham East (Chris Leslie) needs amendment. The hon. Gentleman asked the Secretary of State for Scotland what costs were incurred by his Department’s estate in respect of (a) gas and (b) electricity supply in the 2012-13 financial year.

The answer said that the costs incurred by the Scotland Office in the 2012-13 financial year, in respect of (a) gas was £6,876.40 and (b) electricity was £110,804.98, which includes £47,744.96 for Whitehall Standby Distribution System standing charges.

The figure for gas charges was correct. However, the figure given for electricity costs also included the charges for the Whitehall Heating System and the Standby Distribution System. The Whitehall Heating System supplies hot waters to Departments for central heating. The Standby Distribution System would supply electricity to Departments in the event of a power failure.

The correct answer to the hon. Member’s question is:

The costs incurred by the Scotland Office in the 2012-13 financial year, in respect of (a) gas was £6,876.40, and (b) electricity was £28,205.52. The charges for the Whitehall Heating System and the Standby Distribution System amounted to £82,599.46.

The overall costs of energy supplies provided in the original answer are not changed by this amendment.

Oral Answers to Questions

David Mundell Excerpts

Wednesday 26th June 2013 Commons Chamber

[Jim McGovern (Dundee West) (Lab)]

1. What recent discussions he has had with Ministers in the Scottish Government on blacklisting in Scotland.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

I regularly meet Scottish Government Ministers to discuss a wide range of issues. I commend the work of the Scottish Affairs Committee on investigating the deplorable activity of blacklisting. The Committee’s final report will be given careful consideration by the Government when it is published.

[Jim McGovern]

I thank the Minister for his response. Perhaps the most ridiculous case of blacklisting that I am aware of is that of the late great Dundonian, Mr Syd Scroggie. He lost a leg and the sight in both his eyes serving his country during the second world war. He found himself on a blacklist. What was his crime? He had written to The Scotsman newspaper to commend the then Dundee district council for buying a portrait of Nelson Mandela. Will the Minister liaise with the Scottish Government to ensure that the odious practice of blacklisting is wiped out?

[David Mundell]

When the Scottish Affairs Committee report is published, I will undertake to discuss its recommendations with the appropriate Scottish Government Ministers.

[Mr Brian H. Donohoe (Central Ayrshire) (Lab)]

As someone who has been blacklisted three times in the past, I can tell the Minister that it is an obnoxious way of going about business. Will he ensure that legislation is put in place to ensure that people like me and many others in Scotland do not have to face such a practice in future?

[David Mundell]

The Government take this matter very seriously. As the hon. Gentleman will know, legislation is already in place in the form of the Employment Relations Act 1999 (Blacklists) Regulations 2010. We await the Scottish Affairs Committee report to see whether it proposes any further measures.

[Katy Clark (North Ayrshire and Arran) (Lab)]

The practice has clearly been going on for decades, and the law is not working. Has the Minister looked at the legislation to see whether further action is required to ensure that we bring the practice to an end?

[David Mundell]

We have looked at the regulations, which were brought in by the previous Government. We very much respect the work of the Scottish Affairs Committee and if it finds that the current legislation is not working, we will of course look at the matter.

[Mark Menzies (Fylde) (Con)]

2. What steps the Government have taken to fulfil their pledge to campaign to keep Scotland as part of the UK.

--- Later in debate ---

[Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)]

3. Which Department is responsible for promoting in Scotland the UK Government’s policies on supporting home buyers; and if he will make a statement.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

The Government are providing wide-ranging support to help people buy their homes. That support includes the UK-wide Help to Buy mortgage guarantee scheme, which is led by the Treasury and opens in January 2014. The Treasury has also worked with the Bank of England to implement the funding for lending scheme.

[Mark Lazarowicz]

Next year, home buyers in Scotland will have the opportunity to access the Scottish Government’s shared equity scheme, the Scottish Government’s mortgage guarantee scheme and the UK Government’s mortgage guarantee scheme. That may sound like a surfeit of riches, but it is leading to confusion, even now, about the best way to access these schemes. Why do the Government not take more action to ensure that there is a close relationship between what the Scottish Government are doing and what the UK Government are doing to make sure that the benefits of these schemes do not go to second home buyers, buying houses of up to £600,000 a year, as the people who need them are first home buyers and people on modest incomes?

[David Mundell]

The hon. Gentleman will be pleased to know that we are working closely with the Scottish Government in relation to their equity scheme, which is equivalent to, but not the same as, the equity loan scheme available in England. The Home to Buy mortgage guarantee scheme will be available in Scotland, and we are working with the Scottish Government to ensure that there is a communications plan so that potential home buyers in Scotland fully understand how all the schemes work and how they relate to each other.

[Ann McKechin (Glasgow North) (Lab)]

As my hon. Friend has just pointed out, the capital limit on the mortgage guarantee scheme of the UK Government is £600,000. This is hardly designed for those on low and modest incomes. Would the money not be better spent on providing social housing, which is badly needed across Scotland?

[David Mundell]

I would have thought that the hon. Lady would welcome the 10% increase in loans to first-time buyers in Scotland in the first quarter of 2012. The limit of the scheme reflects house prices across the United Kingdom, and I believe that it is fair and equitable.

[Neil Carmichael (Stroud) (Con)]

4. What assessment he has made of the potential effect on Scotland of the outcome of the recent negotiations on reform of the common agricultural policy.

--- Later in debate ---

[Pete Wishart (Perth and North Perthshire) (SNP)]

6. What discussions he has had with the Secretary of State for Work and Pensions on the allocation of additional funds to local authorities in Scotland for discretionary housing payments.

[The Parliamentary Under-Secretary of State for Scotland (David Mundell)]

Earlier this month my right hon. Friend the Secretary of State for Scotland and I met the Secretary of State for Work and Pensions and Lord Freud, the Minister for welfare reform, to discuss information received from local authorities in Scotland on this matter.

[Pete Wishart]

The Minister will of course know that some 80% of affected households in Scotland contain a disabled adult, yet they get only a paltry 6.5% of the total budget. Instead of concentrating on his pathetic scaremongering “project fear”, will he concentrate on the real fears of real Scots under this Tory-led Government?

[David Mundell]

What I am concentrating on is the real concerns of local authorities in Scotland. That is why the Secretary of State and I have met every single local authority in Scotland to discuss the specific concerns they have in relation to welfare reform, and we will meet the Convention of Scottish Local Authorities at the end of July to discuss the outcome of those discussions.

[Mr Frank Roy (Motherwell and Wishaw) (Lab)]

7. What recent assessment he has made of the performance of the economy in Scotland.