Scotland: Independence

Earl of Caithness Excerpts

Tuesday 24th June 2014 Lords Chamber

[The Earl of Caithness (Con)]

My Lords, despite all our discussions, both on previous occasions and today, I do not believe that we are any closer to realising the full impact that will occur in this country—and by that I mean the whole of the United Kingdom—and Europe, if there is a yes vote for separation. We have not fully analysed it, and I do not think it is possible to fully analyse it at the moment.

A number of problems have been raised that could occur in this debate. In fact the noble Lord, Lord Soley, prompts me to ask my noble and learned friend now: what is the legal situation should there be a narrow vote for yes to independence and then an immediate backtracking in Scotland and the removal of the SNP from power? Is there a provision where there could be a second referendum or is it a fait accompli that once there is a yes vote on the 18 September, that is it for ever and a day. I would be grateful if he could clarify that.

I am also grateful to my noble friend Lord Lang for his excellent report and for highlighting just what a difficult and bumpy road there is ahead of us in the event of a possible yes vote. My noble friend reminded us that today is the anniversary of the Battle of Bannockburn, which he said was primarily a Scots versus English battle. I remind the House that a lot of Scots fought on the English side. There was Comyn, the de Umfravilles, Macnabs and MacDowells. There were Highland clans fighting for the English. It was as much about a settlement of who should be the King of Scotland as between Scotland and England. My ancestors were involved in that battle and in the Battle of Flodden that my noble friend mentioned. At least we helped to win one of the battles we took part in. The point of that was to remind the House that Scotland was as divided then as it is now. As my noble friend Lord Lang said in his speech, the union in 1707 brought the peace and harmony that both countries really wanted.

There has been a mass of paperwork and many good government publications, but the fact remains that we in Scotland—in fact, we in the UK—do not know the full implications of what will happen and the effect of the independence vote. Only 14% of people in Scotland know what the current arrangements are between Holyrood and Westminster. Compound that with the Scotland Act 2012 and there is a huge information problem that the Government must try to address. In addition to the book that will arrive in everybody’s home about the independence vote, would my noble and learned friend consider whether there could be a small pamphlet explaining the powers of Westminster and of Holyrood now and what they will be? The fact is that under the 2012 Act the Scottish Government are allowed more tax-raising powers by secondary legislation without primary legislation—but not many people realise that.

There will inevitably be questions that are unanswered because the negotiations have to take place after a yes vote if there is one. We must recall that that is in marked contrast to the situation with regard to Europe, where it seems to be the policy that all the negotiations should happen before the referendum takes place. We would be much better served in Scotland had such a situation happened so that we had a clearer view of the likely implications, and the division of assets and liabilities. One would then be in a better position to put the cross on the paper.

I follow the noble Lord, Lord Kerr of Kinlochard, in regard to Europe. What does my noble and learned friend think the timescale might be if there is a yes vote? Could there be a negotiation for Scotland to become a member of the EU by the time separation day happens? If there is not time—I do not believe there is—England will find itself with a foreign country that is not part of the EU on its northern border. The effect of that on the north of England will be dramatic, as it will be on the south of Scotland. An artificial line that has occurred through history would have to be manned at all its border posts. How many roads would be closed so that that may be satisfactorily managed to avoid fraud? Let us recall that 23 million vehicles cross in both directions each year between Scotland and England. Some 15 million tonnes of freight move in each direction and there are 7 million rail passenger journeys. If there are to be border controls, that will impede the natural flow of trade within an area that at the moment is all united. It is therefore no wonder that the polls in the border areas show a higher percentage of people wanting to have a no vote and to stay in the United Kingdom than elsewhere in Scotland.

Will my noble and learned friend comment also on the draft Scottish independence Bill published on 16 June? Are the Government going to do a critique of it and are they satisfied on its legal accuracy?

There has been quite a movement of powers to Scotland following devolution, mainly with the Scotland Act 2012. All the major parties are saying now that there should be a further transfer of powers from Westminster to Holyrood if there is a no vote on 18 September. That has caused considerable upset in parts of England, from Cornwall to Northumberland. There is no doubt that there will have to be a constitutional convention to try to work out a better way in which the union can operate, because we are past the point of no return now. The Scots have driven us to this situation. Although I am in favour of transferring more tax-raising powers from Westminster to Holyrood, on this occasion it is time to make haste slowly, because this is a matter which, if it is not done correctly, could break up the United Kingdom in other ways that we have not envisaged at the moment. For that reason I support that part of the report of my noble friend Lord Lang in which he says that there ought to be a constitutional convention as soon as 18 September is past.