Edward Leigh
Main Page: Edward Leigh (Conservative - Gainsborough)Department Debates - View all Edward Leigh's debates with the Scotland Office
(9 years, 6 months ago)
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Mr Carmichael
I will take support anywhere I can find it, but I am not entirely sure that the hon. Gentleman’s remarks are germane to the matter that is before the Committee.
Amendment 89, which was tabled by the Scottish National Party, will facilitate a debate on the concept of full fiscal autonomy. I shall listen with interest to the hon. Member for Moray and others in their exposition of that, and I shall reserve my remarks on it until the end of this string of amendments, when I know I will be able to catch your eye, Mr Hoyle.
Sir Edward Leigh (Gainsborough) (Con)
New clause 3, which stands in my name, would deliver full fiscal autonomy, real home rule and a Scottish Parliament in control of everything save defence and foreign affairs. I am only a Back Bencher and I do not have the assistance of Government officials, so if the new clause is defective in technical detail, I apologise. If it were voted for tonight, however, it would establish a clear principle and a way forward.
The contention is clear: the new clause would deliver full fiscal autonomy. The Scottish Parliament would have full freedom to raise all taxes as it liked. It would not be restricted to fiddling around with bands; it would control all thresholds and all VAT dividends, and it would have full freedom to spend that money as it liked. That is what real Parliaments do, and that is why they are responsible.
The Scottish Parliament is constructed in a manner that is inherently conducive to the culture of grievance, and that would still be true even if the Smith commission proposals were adopted. The Scottish Parliament will raise only 50% of what it spends. Worse, under the 30-year-old, discredited Barnett formula, which even its conceiver condemned towards the end of his life, Scotland’s block grant will be based not on needs but on English levels of spending. No matter which tartan is chosen to clad the Scottish purse, the purse strings will still be controlled by England. That, I believe, has to change.
Following reports by the Office for Budget Responsibility and the Institute for Fiscal Studies, it has been said that Scotland faces a £7 billion black hole. Presumably, however, the SNP wanted independence in the next year. We cannot have an independent Parliament that does not have full fiscal autonomy, so let us have a real, informed debate about the figures.
Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)
When the hon. Gentleman uses the term black hole, does he mean a deficit? When people talk about the UK’s deficit, they say “deficit”. When they talk about Scotland’s deficit, they say “black hole”. Why the use of pejorative language?
Sir Edward Leigh
It can be referred to as a deficit. We have listened to the Institute for Fiscal Studies and the Office for Budget Responsibility, so now let us have an informed debate.
I want to make it clear, by the way, that I am not in favour of cutting Scotland loose. I am in favour of United Kingdom solidarity, and I am in favour of a new grant mechanism, if the need for one is proven. My aim is not to trap the SNP, call its bluff or reveal its timidity. I genuinely want to give the Scots what they want: the freedom to run their own affairs and not to blame others if things go wrong, but all within the buttresses and safety of the United Kingdom. I am a fervent Unionist.
Ian Blackford (Ross, Skye and Lochaber) (SNP)
Will the hon. Gentleman concede that Scotland has contributed more than the rest of the UK in tax per head of population in each of the last 34 years, and that Scotland with full economic powers would be able to deliver prosperity and social justice for the people of Scotland?
Sir Edward Leigh
The hon. Gentleman can vote for my new clause, if that is what he believes. That scenario is on offer tonight, and he can vote for it. As a No. 10 spokesman said helpfully over the weekend—it is not often that No. 10 spokesmen have supported my new clauses, but I am grateful to him—the new clause
“is the acid test for the SNP over whether they will back their own policy”.
A Labour party spokesman helpfully said over the weekend, “They can have full fiscal autonomy by 10 o’clock tonight if they want to vote for it.”
Mr Jacob Rees-Mogg (North East Somerset) (Con)
Those of us who have a Eurosceptic point of view, as my hon. Friend does, have always been very cautious about fiscal autonomy without monetary autonomy. Would his amendment also enable the Scottish Parliament to have monetary autonomy?
Sir Edward Leigh
As my hon. Friend made that point last week, I was waiting for it. If he will be patient for a moment, I will finish a couple of sentences and come directly to him, because this is the kernel of the matter.
Under my proposals, the Barnett formula would be scrapped and an alternative formula based on need would be created. In the modern world—in modern finance—we create formulas based on need.
John Redwood (Wokingham) (Con)
Does my hon. Friend agree that there will not now be the automatic application of the Barnett formula to solve all the many money issues between Scotland and the rest of the United Kingdom, but there has to be a fundamental renegotiation of the block grant and an attribution to Scotland of revenues by some formula? In practice, the whole financial settlement is in the melting pot anyway, so it will be very interesting to see how the SNP respond to his proposed further development.
Sir Edward Leigh
Absolutely; we are a united kingdom. For instance, Lincolnshire gets more money in its educational grant because of the sparsity factor. All these things can be worked out in a constructive manner between the United Kingdom Government and the Scottish Government so that there is a fair support mechanism based on need that takes account of issues such as declining oil revenues, the sparsity factor that I mentioned, declining heavy industries, or an ageing population. The grant should be determined by these matters, not by some ageing formula based on what the United Kingdom spends.
Mr Jim Cunningham (Coventry South) (Lab)
Is not the hon. Gentleman being very clever with his amendment because he is ultimately talking about an English Parliament and therefore a federal Government in future?
Sir Edward Leigh
My personal view, for what it is worth, is that if we are to create a sustainable Union we must, in effect, create full fiscal autonomy for Northern Ireland, for Wales, for Scotland and, ultimately, for England. This almost imperial Parliament would remain determining the support mechanisms to ensure safety. So, yes, in that sense I am a federalist.
Barnett is a gift to those who want to break up the Union. It is also incredibly expensive for the English, with £1,680 more a year spending per head in Scotland than in England because Scottish spending is inextricably linked to English spending. When that is cut, SNP Members quite understandably—I do not blame them for this; they are good politicians—can cry foul, as they did last week, and say, “The Scots people didn’t vote for austerity but it’s being imposed on us.” They can vote on every education and health measure, and say, “What you spend in England on health and education is going to determine what we spend.” We then get a crazy situation whereby if some taxes in Scotland are raised the grant will go down. This simply does not work. It is not a recipe for preserving the Union or for a sustainable future.
Mr MacNeil
The hon. Gentleman mentions the Barnett figures. He will of course point out, for completeness, that Barnett is only about two thirds of total spending. For further completeness, he will also point out, I am sure, that the Barnett figures for London and Northern Ireland are higher than those for Scotland.
Sir Edward Leigh
I do not want to get into a sterile debate about whether London subsidises Scotland or vice versa; I simply want to be fair and open. I am happy for Scotland to have all its oil. It can determine its oil policy and its level of taxation, and as the oil revenues decline, if they do decline, I am happy for the United Kingdom Government to step in and increase its grant.
Frank Field
Might not the hon. Gentleman be entering into this debate a note of unpleasantness that need not be there? Is it not in the interests of those of us representing English seats that whatever settlement is made for Scotland is durable, taking into account, at some stage, that it will have repercussions for how we settle the English question. Should not we approach this subject as generously as possible because we want it to succeed, not to fail? The more it succeeds, the more we answer the question when we get on to our own requirements for an English Parliament.
Sir Edward Leigh
I am grateful to the right hon. Gentleman, who has been a good personal friend of mine over many years, for summing up the situation. I am not trying to play party political games; I really want to be helpful. I want to create the durable settlement for which Scottish people voted: they want to stay part of the United Kingdom. They want to have that buttress if there is a catastrophic shock, as happened in 1929 and 2008, but they also want to run their own affairs.
George Kerevan (East Lothian) (SNP)
May I thank the hon. Gentleman for the spirit in which he is presenting his argument? I also heard his speech on Second Reading and agreed with the analogies he drew with Ireland. If we are to move to a form of, as the hon. Gentleman describes it, benign fiscal freedom for Scotland, surely that requires a degree of transition, given the scale of the UK deficit and the unique circumstances post-2008. Therefore, the issue of division between us is the transitional arrangements, not the issue of fiscal freedom itself.
Sir Edward Leigh
I hear what the hon. Gentleman says and nobody is suggesting that, even if my new clause 3 were passed tonight, full fiscal autonomy would start immediately. Of course there has to be a discussion and, inevitably, if oil revenues are declining, there has to be some sort of support mechanism from the United Kingdom Government. I say to SNP Members that they can have this new clause. Parliament is a democratic Assembly. I do not want to overplay my importance—I suspect the Whips might ensure that my new clause is defeated—but this is an historic opportunity to give full home rule to, and to establish that principle for, Scotland, which is what the Scottish people want.
Sir Edward Leigh
The hon. Gentleman is now going to tell the Committee that he supports my new clause.
Mr MacNeil
We seem to be very happy with the hon. Gentleman’s new clause at the moment, but he talks about support mechanisms as though they are unique to Scotland. Will he concede that the UK has itself been reliant on support mechanisms since 2001 and that it has not raised the taxes to match its expenditure since then?
Sir Edward Leigh
I am afraid we are getting into the historic arguments of who is to blame: is it the UK Government? The Scottish Government face a fundamental problem, in that spending is 20% higher but tax revenues are, inevitably, lower. That is a fundamental problem that SNP Members have to—[Interruption.] Well, I have lost them there—fair enough.
We can have that debate, but let us not get too bogged down on that. They want independence; they can have it—[Interruption]—full fiscal autonomy.
The fact is that the SNP’s capture of all but three of the Scottish seats is an even greater victory than Sinn Féin’s in Ireland in the 1918 general election. Then the Unionists managed to secure 22 of the 105 Irish seats. We have to listen: this is actually a very serious issue.
Sir Edward Leigh
I will make a bit more progress, because I want to get to my hon. Friend the Member for North East Somerset (Mr Rees-Mogg). He has been very patient, and I will get to him eventually.
Like then, everything is different now. What will happen if Smith stays? Can we sustain a permanent settlement that prevents Scotland from setting the initial threshold for income tax or from changing universal credit? What will happen when the Scottish Conservative party promises in its election manifesto to cut taxation? How credible will that be if it affects the block grant available from the United Kingdom? All these issues have to be discussed.
Under the Smith proposals, universal credit will remain a reserved matter. Holyrood will be able to vary the frequency of payments and the way it is paid, while the power to vary the remaining elements of universal credit remain reserved, but I would ask why. I have read the Smith commission. Why?
John Redwood
Universal credit has been reserved because if Scotland decided to make it more generous, the issue would arise of how it would pay for that. What we find with fiscal independence is that we have to delegate both sides of the equation—the raising of the money and the spending of it—and then it can decide how much it wants to spend.
Sir Edward Leigh
Full fiscal autonomy results in full responsibility. That is what real Parliaments do.
Responsibility for bereavement allowance, bereavement payment, child benefit, guardian’s allowance, maternity allowance, statutory maternity pay, statutory sick pay and widowed parent’s allowance will all remain reserved and administered by the Department for Work and Pensions. Why? The Smith commission further proposes a complex system for sharing responsibility for income tax. Why? That is all affected by an oscillating block grant. As I have said, how can SNP Members promise lower taxes in an election or higher spending unless they are masters of their own fate?
What are the objections to full home rule? What are the real objections to full fiscal autonomy, apart from the fact that we appointed a Lord Smith—with lots of no doubt very worthy people—to produce a report, which has been overtaken by events? We are told that full fiscal autonomy will result in tax competition within the Union. What is wrong with that? That is what keeps the American states vibrant and competitive with one another and continually innovating. Do we not insist that our taxes in Britain compete with those of Europe? We are told that tax competition would create downward pressure on taxes. Well, I am sorry about that. Why should the Scottish Parliament not be able to lower or raise air passenger duty? It can do whatever it likes. I know it has had that power and it will be allowed it under Smith, but if that power is allowed, why not powers for other things?
On Second Reading, my hon. Friend the Member for North East Somerset said that a single currency requires fiscal and monetary union, with the implication that that is proved by the Greek experience. Surely he is not suggesting that the Scots are Greeks, or that the Scottish economy is as different from England’s as Germany’s is from Greece’s. No; Scotland can thrive with full fiscal autonomy because Scotland has the will and the skills to do so. It has universities, research, manufacturing, logistics, light manufacturing, oil and gas, food and drink and a flourishing creative sector. [Hon. Members: “Hooray!”] Vote for my new clause.
Mr Rees-Mogg
I agree with all the wonderful things my hon. Friend has been saying about Scotland, which are so clearly and self-evidently true. The point I was trying to make is that if a country has fiscal autonomy and issues debt in a currency other than its own, it may well get squeezed in the way seen not only in Greece, but in Italy and Spain, and in countries across Asia during the Asian financial crisis in the 1990s. For a country to have fiscal autonomy without its own currency is a recipe for economic failure. To go back historically, the same was true of the gold standard in the 1930s.
Sir Edward Leigh
That is a very fair point. I agree that that is a matter for debate. I have already made the point that Scotland’s situation is very different from that of Greece. I am actually suggesting that we remain a United Kingdom, with a sharing of the national debt. Nothing is more debilitating in this whole debate than saying, “That bit of the national debt is yours, or this bit is mine.” We are back to the same dreary arguments about who is responsible for spending and when. My hon. Friend makes a serious point. If we achieve full fiscal autonomy, which I believe is inevitable—whether it happens now or in five years time, it will happen—the Scottish Parliament and the Scottish Government will have to act responsibly and live within their means. I have confidence that they will do so.
Alex Salmond (Gordon) (SNP)
I can feel the sap rising at various points in the hon. Gentleman’s speech. When he said that Scotland is where Ireland was in the early years of the last century, I felt obliged to check the record, because last week he said we were
“where Ireland was in the 1880s.”—[Official Report, 8 June 2015; Vol. 596, c. 965.]
We seem to have advanced 20 years in a week. Does that mean that in a week’s time, we will be where Ireland was in the 1920s?
Sir Edward Leigh
That is an amusing point, but the right hon. Gentleman knows exactly what I am trying to say. This is a very serious point; it is not just a debating point. We have a responsibility to learn from history. What I was saying last week, and what I believe, is that we were wrong to abolish the Irish Parliament, wrong to delay granting Catholic emancipation, wrong not to listen to Gladstone in the 1880s, and wrong not to implement full home rule at the outset of the great war. We were wrong, wrong, wrong and wrong again. We need to have an element of statesmanship and vision in these affairs. The right hon. Gentleman, with all his debating skills, can laugh at what I say, but I assure him that I genuinely believe in what I am trying to do.
Stephen Gethins (North East Fife) (SNP)
The hon. Gentleman is highlighting many wrongs. Does he think that Irish independence was wrong?
Sir Edward Leigh
If we had granted home rule in the 1880s or implemented the home rule Act in August 1914, it is very probable that Ireland would have remained in the Union or become a dominion. Of course I regret the fact that Ireland chose to break free. There was a tragic civil war. That will not happen in Scotland, but the history of Ireland is one of tragedy and missed opportunities. Nobody is suggesting that we will go down that route with Scotland, but let us learn from history and try to be creative in these matters.
Mr Stewart Jackson (Peterborough) (Con)
I am a little puzzled. Just for the record, will my hon. Friend confirm that he is not equating the subjugation of the Irish and the tragic history of Ireland from the Norman period right through to the 20th century with Scotland, which, as part of the United Kingdom, is a modern, liberal democratic country with a successful economy?
Sir Edward Leigh
I am absolutely not. I do not want to overplay the analogy. As a fervent, almost romantic Unionist, I believe that Scotland has benefited enormously from being in the Union, which has been a Union based on trust and shared responsibility. I would not in any way suggest that the Scottish people have suffered in the same way that the Irish people suffered in the 18th century. If I gave that impression, I apologise, because that was not my aim at all. The only point I was trying to make was that we have to realise, in these debates, when there is a certain inevitability. If we know that full fiscal autonomy is going to come, it is better to have a serious discussion now on how to achieve it.
Sir Edward Leigh
I must finish soon, because I am going to weary the Committee, but I do give way.
Ian Blackford
An important point has been made about opportunity. It is a real sadness that Scotland has lost a net 2 million people through migration over the past 100 years. One reason why we want powers over our economy is so that we can grow Scotland and ensure that we do not see tens of thousands of our young people being educated in Scotland and then emigrating and contributing to countries abroad. We need to grow the Scottish economy. That is why we need the powers over our economy.
Sir Edward Leigh
Most of them seem to come down here and run us, but there we go. They have done very well and we have benefited.
Danny Kinahan (South Antrim) (UUP)
As one of the only Irish or Northern Irish people here, I am glad to hear the hon. Gentleman confirm that he sees Northern Ireland as part of the Union. I accept that many of the Scots came our way. We see ourselves very much as part of the Union. I am concerned that we are moving forward before we have thought not just about Northern Ireland, but about Wales. We need a convention so that we know where we are going. I am concerned that we are going to put ourselves into a form that we cannot come back from. In Northern Ireland today, we have very nearly got ourselves into a totally dysfunctional Government that we cannot come back from. I am nervous that we are going too far, too quickly.
Sir Edward Leigh
Again, that is a very fair point. I do not mind having conventions, but we, as politicians, have to decide what we want. We should decide the principles and then, once we have decided, by all means employ distinguished people such as Lord Smith, accountants, tax lawyers and so on to work out how it is done, but let us not just push this into the long grass and have a convention of the great and good lasting for years with wall to wall lawyers. Let us, in this House, decide what we want.
This is an historic opportunity to cut through the negativity of the £7 billion black hole doomsayers. Give Scotland control of its oil revenues and taxes and let it decide its own priorities on encouraging exploration and how to tax it as the oil runs out. Then we will be one Union, based on solidarity and need. The UK subsidises Northern Ireland to preserve peace. Why should we not, on the basis of need, subsidise Scotland? I am very happy with that. Are we not brothers and sisters in this Union? Should we not help each other, if needed? Our principles should not be the politics of fear, but the statesmanship of hope.
New clause 3 delivers what I think Scotland wants: power to run her own affairs, but with the consolation of knowing that there is a secure foundation stone against catastrophic shocks, such as those in 1929 and 2008. I wish for there to be solidarity on pension liability and national debt, and for it to be shared. We should not be saying “This is your bit of debt.” We should say that it is our debt. To ensure peace and security, we should share a single defence and foreign policy; not a division based on the auld alliance of the times before James I and VI rode south, but the Union that has given us 400 years of shared identity and prosperity. Those who want slowly to leak this power and that function are setting a trajectory, however slowly, towards independence.
Stewart McDonald
There is one part of the hon. Gentleman’s amendment, which he may well be coming on to, that did strike me as slightly curious: the part on keeping treason reserved. Is there a modern day William Wallace or Mary Queen of Scots in our midst that means he sees the need to keep that power reserved?
Sir Edward Leigh
I took advice from the Clerks. All right, I will surrender treason if they want, particularly to the right hon. Member for Gordon (Alex Salmond). [Laughter.]
The Smith commission itself admits:
“A challenge facing both Parliaments is the relatively weak understanding of the current devolution settlement.”
What a glorious understatement!
“This is not surprising”—
its report further concedes—
“given what is a complex balance of powers.”
A complex balance of powers has been created and I do not think there is a single Member of Parliament who actually understands what is going to happen under Smith. We need to move to a more federal arrangement whereby the four nations have broadly equal powers. Scotland, Wales and Northern Ireland should have devolved legislatures, with the English MPs at Westminster deciding the same for England, then acting as a pan-European Parliament alongside MPs elected from the devolved countries as well.
The Prime Minister promised Scotland
“the strongest devolved Government anywhere in the world”
and the Scottish people rejected full independence. I suspect that they want full home rule. But will those who have argued for full fiscal autonomy now vote for it, or will they vote for further delay or deeper fudge? Will they go on blaming the United Kingdom Government for what goes wrong, or have the courage to grasp what they say they want? Full fiscal autonomy is inevitable.
Pete Wishart
I am not going to give way again, because I know a lot of people want to get in and I want to make some progress. These issues are all important, but tonight is Scotland Bill night and these are the sorts of things we are considering.
Unfortunately, the hon. Member for Nottingham North is not in his place—[Interruption.] He is here—well, perhaps he wants to take his place. We are always very grateful for the concise way in which he puts his wide range of views. He is always interesting to listen to and is always innovative and creative. Again, we give him a lot of congratulation on the way he so rapidly went through his constitutional tour de force. The hon. Gentleman talked about his new clause 8, and I was particularly attracted when he invited the Scottish Parliament to take a proportional share of Members of the House of Lords as part of his long-term constitutional reform. With a deal of candour may I say to him that the House of Lords is perhaps the most absurd, ridiculous legislature in the world? It is bloated beyond redemption and the last thing that place needs is more Members. What it needs is total abolition, and that cannot come soon enough.
The hon. Member for Gainsborough has put forward his helpful new clause 3. As the hon. Member for Christchurch rightly identified, it has got quite a bit of attention, and not only today—we have done nothing other than debate this for the past few weeks and months. If we swapped the three words “full fiscal autonomy” with the word “independence”, we would see that we have been having this debate for the past four, eight, 15 or 20 years. The same themes seem to be revisited when we talk about full fiscal autonomy or independence, and it is the same adversaries: the Scottish National party, and the old amigos of Labour and Conservatives getting together to tell us once again how we are too poor, too wee, too unimaginative, not just to have independence, but to run ourselves fiscally within the United Kingdom. What next? Where do we go to? Can we not run local authorities properly without being too wee, too poor or too unimaginative? [Interruption.] I see that the hon. Member for Edinburgh South does not want to intervene but I give way to the hon. Member for Gainsborough.
Pete Wishart
Sorry, I was expecting a bit more of a substantial contribution from the hon. Gentleman, and I am almost disappointed we did not get some more fulsome prose from him. I thought he made quite a good case for his new clause, but I say ever so gently to him that we favour our amendment, because it is the way we should be doing this. It seeks to give time for the Scottish Parliament to progress towards full fiscal autonomy. If we suppose Government Members are right that there is this huge deficit that we keep hearing about again and again, surely they should be working with us, through a fiscal framework, to work towards full fiscal autonomy. Surely what should happen is a process that starts by giving us the important early new powers—powers over the minimum wage, national insurance contributions and welfare. There is a process of moving towards this. If they are right about that, what is wrong with working with us to try to achieve and secure it? Surely that is how we should be doing this. As I have said, the themes are the same; oil and gas is a burden and a curse with independence, as it is with full fiscal autonomy. It is as though they have learned absolutely nothing, because these were the very themes put to the Scottish people during the general election campaign. I am not trying to speak for the Scottish people, but on the doorstep I was hearing that there is a tiredness and a deep despondency among the Scottish people at being told that they cannot do something, that they are in such a diminished position that we cannot take responsibility. That argument does not work any more. We have been through a process of national self-definition, of finding ourselves and of ensuring that we try to do something different.
Tommy Sheppard
May I deal with this point, and then take an intervention? I have not been in this job long, but I am surprised—I expect I will be surprised by various things over the next five years—to find such a passionate and eloquent exposition from the Conservative Back Benches of a position with which I agree. I suspect that there is little else on which the hon. Gentleman and I would agree. On this point, he makes his case very well. However, I wonder whether there is an element of mischief at the back of his mind. Perhaps he believed the propaganda from his own Front Bench several weeks ago that we were weakening in our commitment to full financial autonomy, and he thought that he might embarrass us in this debate today. I must reassure him that we are not lukewarm and our commitment is not weakening. In fact, we like the idea so much we have brought our own amendment before the Committee. I am intrigued at the suggestion that all we need to do is vote for it—
Sir Edward Leigh
I am completely sincere. I believe that the case for full fiscal autonomy is unanswerable in logic.
Tommy Sheppard
I am pleased to hear it. I therefore expect the hon. Gentleman to vote for our amendment later.
Tommy Sheppard
Why do we not do a deal? I will try to ensure that all my colleagues vote for the hon. Gentleman’s amendment, if he makes sure that all of his party do as well. Perhaps we can have it sewn up by 10 o’clock this evening. The strange thing about this debate so far—
Sir Edward Leigh
This is very important. The hon. Member for Dundee East (Stewart Hosie) made an absolute commitment that he would vote for my new clause. I will press it to a Division and at 10 o’clock I expect to see the hon. Member for Edinburgh East (Tommy Sheppard) in the Lobby.
Tommy Sheppard
If the new clause is moved, the hon. Gentleman will see me there, for sure. I hope that I will see him in the Lobby to vote on our amendment.
The interesting thing about the debate so far is that the case has not been made against full fiscal—
Ian Murray
It is wonderful. We are now being accused of voting not with the Tories, but with the Tory Front Bench, while SNP Members troop through the Lobby with the most right-wing Conservatives. It is incredible. The hon. Gentleman is not listening to the answer, although he insisted on the intervention. If he was so keen on full fiscal autonomy before he tabled amendment 89, he could have just signed new clause 3, tabled by the hon. Member for Gainsborough.
Sir Edward Leigh
My amendment gives what SNP Members say they want straight away, whereas their amendment is a bit of a fudge and slightly kicks the matter into the long grass. It is a bit like St Augustine saying, “Let me stop sinning, but not quite yet.”
Ian Murray
The SNP position can be summed up with the words, “What do we want? Full fiscal autonomy. When do we want it? We’re not quite sure.”
David Mundell
I do not accept the hon. Gentleman’s argument. A £10 billion shortfall in spending in Scotland would affect every school, every hospital, and every family by £5,000. I am not going to countenance that, and I am not going to support any amendments that would promote it.
We have had a lengthy discussion on full fiscal autonomy.
David Mundell
I will. [Hon. Members: “Oh!”] I will take my hon. Friend’s intervention because he proposed an amendment.
Sir Edward Leigh
Let me be quite clear: those of us who propose full fiscal autonomy and the scrapping of the Barnett formula are also arguing that there should be a block grant based on Scotland’s needs and not on England’s spending, so that there is a real Parliament making real decisions, which is what the Scottish people want.
David Mundell
I have noted what my hon. Friend has said. At times today, I am sure that he will have been an honorary member of Team 57.
I want to make very clearly a point that echoes the evidence I gave to the Select Committee chaired by the hon. Member for Nottingham North (Mr Allen). I regard a Scottish Parliament as a prerequisite of a United Kingdom. There will not be a United Kingdom if there is not a Scottish Parliament. I can understand why there is a lot of debate about the exact wording, and I will continue to listen to it, but I am absolutely clear that without a Scottish Parliament there will not be a United Kingdom, and that it is not sustainable to argue about lots of preconditions on that basis.