Oral Answers to Questions
Frank Roy Excerpts(9 years, 9 months ago)
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David Mundell
I fully acknowledge that the hon. Gentleman has been a fervent campaigner on this issue—and, indeed, on employment—in his constituency, but I am sure that he welcomes the fact that over the past five years, under this Government, the number of jobseeker’s allowance claimants in his constituency has gone down by 842—some 27%.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
9. Unemployment in the Motherwell, Wishaw and Bellshill area rose again last month, with more than 500 young people now unemployed. Why has the Tory Work programme failed them?
David Mundell
I absolutely dispute the claim that the Work programme has failed them. The Work programme looks to help the most vulnerable people into work, and people have moved into work over the past five years in the hon. Gentleman’s constituency, where the JSA claimant count has come down by 1,403—some 39%. I am sure that even he welcomes that.
Scotland’s Place in the UK
Frank Roy Excerpts(10 years, 10 months ago)
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Rory Stewart (Penrith and The Border) (Con)
Thank you very much, Mr Deputy Speaker.
One thousand nine hundred years ago, Rome divided Britain with a wall. Britain is an island whose natural boundaries are the sea, and this wall split families and split tribes. Ever since that moment we have been debating this issue. These two fundamental principles for Britain are what we are debating today. They are in competition: are we divided nation against nation, or are we unified by culture and language? There is only one answer to that question, and it cannot be simply economics. If a relationship is going wrong—if a marriage is going wrong—the answer cannot simply be to say, ‘You can’t afford to break up because you are going to lose the house.” The answer has to be only one thing, which is, “I love you.” We in this House are struggling to express the nature of our love for Scotland. We are not very good, as politicians, at talking about emotions. We have become very bad at it, but we need to learn to do it, because otherwise a party that is trying to reduce, to shrink, to vanish will win.
What do we mean when we say, “I, as a Member of Parliament for an English constituency, love Scotland”? It would be personal to every single one of us. It could be that we love intellectual seriousness. I was paddling along in a canoe with the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) a few months ago, and I would really miss him from that canoe. People in the United Kingdom would miss Scotland for different personal reasons—Scotland’s egalitarianism, its intellectual seriousness, its sense of realism and its sense of humour. I would be very ashamed and embarrassed to be part of a country that did not have Scottish Members of Parliament here.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
The hon. Gentleman is an expert in foreign affairs. Can he tell the House how much stronger Scotland would be as an independent country in relation to the world?
Rory Stewart
There are two answers to that question. First, Scotland must of course embrace the potential of being part of the United Kingdom in foreign affairs. Secondly, the hon. Gentleman himself represents what is good about our political settlement. He sits on the Foreign Affairs Committee, so there is a Scottish voice on that Committee raising Scottish issues again and again, forcing us to focus on Scottish issues when we think about foreign policy, and that is something that we would deeply miss.
There is a great appeal to Scottish nationalism. We all feel it in our gut, and it is because the world is bewildering. People are angry. Some 85% of people in this country feel that politics is broken and 87% feel that society is broken. Our voters feel that Westminster is out of touch and that their lives have never been so complicated. Those are real feelings that we have to acknowledge and accept. But the answer to those problems is not to get smaller. When we face complexity and things that are bewildering in our everyday lives—when we feel angry or disappointed—the answer is not to get smaller, shut the door and pretend that we can shut those things out. The answer is to expand.
I have three suggestions on the lessons that we need to learn from Scottish nationalism. The first lesson is that it is not that Westminster is too far away: it is also that Edinburgh is too far away. The answer to the problems of our communities is to represent the issues of Argyll separately from the issues of Perthshire and the issues of the Borders. They are not the same issues. One of the great weaknesses in England, Ireland, Wales and Scotland is the lack of real localism. Whether talking to someone in Muthill struggling with planning or someone in Kelso worried about economic development in their area, we need to learn from Mitterrand in France in 1983—hyper-localism and mayors at a local level—and not try to fool the Scottish people by pretending that transferring power from Westminster to Holyrood will solve those human problems.
The second thing that we need to do—and this is true for the north of England as much as for Scotland—is not to pretend that London and the south of England do not exist. We need to accept that they exist, that they are a challenge, that they have huge potential, and that we need to make them work for us, not pretend that they are not there.
The third thing is cultural links. It is a tragedy that the educational policy of the Scottish National party has made it more difficult for English students to study in Scottish universities and for Scottish students to study in English universities. We must reinforce the cultural links.
Finally, what we need is the human expression. On 19 July this year, I hope that 100,000 people will gather along that old Roman wall—English, Welsh, Irish and Scots—holding hands and linking arms across the border. Because in the end what matters is not the wall that divides us but the human ties that bind us in the name of love.
Oral Answers to Questions
Frank Roy Excerpts(11 years ago)
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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.
Oral Answers to Questions
Frank Roy Excerpts(11 years, 5 months ago)
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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.
The Secretary of State for Scotland (Michael Moore)
Against a tough economic backdrop of the deficit we inherited from the previous Government and the crisis in the eurozone, we are taking the measures necessary to create a rebalanced economy with sustainable public finances.
Michael Moore
I recognise the issue the hon. Gentleman raises on his constituents’ behalf, and others have done similar. I am very happy to meet him to discuss it further if he wishes. However, we want to ensure that we have an arrangement that helps those with disabilities, and others, to get into the workplace in a sustainable manner. [Interruption.]
Constitutional Law
Frank Roy Excerpts(11 years, 11 months ago)
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Michael Moore
I think that that is a reasonably easily understood anomaly. The French person, the EU national, who has made a commitment to living in Scotland is entitled to vote in a referendum there, just as they would be in the Scottish parliamentary elections. It is important that we show consistency on that front. I accept, however, that there is a range of opinion on this matter, and my hon. Friend has made his own point clearly.
On the issue of 16 and 17-year-olds participating in the referendum, respondents to our consultation were divided. I will return to that issue later.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
Will the Secretary of State confirm that, if this order goes to the Scottish Parliament and if that Parliament agrees to allow 16 and 17-year-olds to vote in the referendum, the matter will no longer need to come back to this House or to the other place?
Michael Moore
The hon. Gentleman highlights an important point. He is right to suggest that, if this House and the other place agree this order and it is passed, that will transfer responsibility for the referendum totally to the Scottish Parliament.
Following the respective consultations, a period of discussions between Scotland’s two Governments led to the signing of the Edinburgh agreement on 15 October. I will return to the other important elements of that agreement shortly, but first I want to deal with the order itself.
The order is made under section 30(2) and (4) of the Scotland Act 1998. It inserts a new paragraph 5A into part 1 of schedule 5 to the Act. Part 1 provides, among other things, that the Union of the kingdoms of Scotland and England is reserved to the UK Parliament. New paragraph 5A will ensure that the reservation does not apply to a referendum on independence, provided that the referendum meets the requirements set out. Those requirements are for a single-question referendum, on the subject of independence, to be held before the end of 2014, and without any other referendum provided for by an Act of the Scottish Parliament being held on the same day.
The order also makes provision in respect of public referendum broadcasts and free mailshots, which would otherwise be outside the legislative competence of the Scottish Parliament. Under the Political Parties, Elections and Referendums Act 2000—PPERA, as we know it —referendum campaign broadcasts can be made only by or on behalf of a designated campaign organisation. The order applies that provision of PPERA to an independence referendum. That means that the restriction in PPERA on who can make referendum campaign broadcasts can apply to the independence referendum.
The agreement in 2006 between the Secretary of State for Culture, Media and Sport and the BBC requires the BBC to broadcast referendum campaign broadcasts, as defined by PPERA. The provisions of the order mean that the BBC will have the same obligations and responsibilities in respect of independence referendum campaign broadcasts as it would have in respect of any PPERA referendum broadcasts. Under PPERA, each designated campaign organisation can send a mailshot to every elector or household without being required to pay the postage costs. That service is provided by Royal Mail and the costs are recovered from the Consolidated Fund. The order applies those provisions in PPERA to an independence referendum. It specifically provides that the cost to the Royal Mail of providing the service will be recovered from Scottish Ministers.
The section 30 order that we are debating today will enable the Scottish Parliament to legislate for a legal referendum. The Scottish Parliament has already considered the order and approved it unanimously. If the order is approved by both Houses of this Parliament, it will enable the Scottish Government to introduce a referendum Bill setting out the wording of the question, the date of the referendum and the rules of the campaign for the Scottish Parliament to consider. This devolution of power will ensure that the details of the referendum process itself are made in Scotland, in the Scottish Parliament. That is a principle of great importance to the devolution settlement. Furthermore, the approach here respects another key feature of devolution—namely, that once a matter is passed to the Scottish Parliament, it is for that Parliament to determine the details of the legislation that follows.
However, our agreement does not just make the referendum legal and respect the devolution settlement. It also sets out the conditions that are necessary and that have been agreed between the UK and Scottish Governments for the referendum to be fair and decisive. In this context, it is important to consider the memorandum of agreement alongside the order. The agreement is a statement of political intent by Scotland’s two Governments. It commits us jointly to an approach to, and the delivery of, the independence referendum which will ensure that the proceedings are fair and that the outcome is decisive. With permission, Mr Speaker, I will therefore briefly describe that broader agreement.
At the heart of any fair referendum must lie a set of rules and processes that have the support of both sets of protagonists. For the outcome to be legitimate, both sides of the argument must have faith in all aspects of the referendum. That is particularly true when we are considering the future of our nation. The agreement therefore sets out the commitment of both Governments to the normal rules and procedures that govern referendums in the UK, as contained in PPERA. A core part of the PPERA process is the central role of the Electoral Commission. The two Governments have agreed that the Electoral Commission must review the proposed referendum question, and that its report will be laid before the Scottish Parliament. That process is under way. Since PPERA came into force, there have been three referendums held under that legislation.
Michael Moore
I pay tribute to the hon. Lady, who has made that point strongly not only on the Scottish Affairs Committee, but in other debates. I recognise that it is a sensitive issue. We must ensure that, as would be the case in any other referendum or election, those in the armed forces who have a connection to Scotland are aware of what it will take for them to vote in the referendum. There is a range of complexities in that, but the Scottish Government are aware of the issue and understand it. When they publish the legislation, there will be plenty of time for people in the Scottish Parliament, and those of us here who take an interest in the matter, to offer their views on the details.
Mr Frank Roy
May I point out to the Secretary of State that it is not only members of the armed forces who will be affected, but their wives and husbands? For example, people who are based in Catterick may have been moved there from Motherwell.
Michael Moore
The hon. Gentleman makes a valid point that reinforces the views of his colleagues, and I recognise that this matter is important to Members on all sides of the House. It will now be an issue for the Scottish Parliament to consider, and I am confident that in the political debate across Scotland the role of the armed forces and voting will be properly considered.
Scotland and the Union
Frank Roy Excerpts(12 years ago)
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Mr Clarke
That is an excellent point, and I am delighted that my hon. Friend makes it.
Last weekend, I was in a town centre of my constituency talking to my constituents and listening to their views, mainly on independence. I am bound to say that my experience was clear and unequivocal: there is no appetite in Scotland for a referendum, and people are curious to know why, if we insist on having one, we have to wait until 2014. They are worried about issues of concern to this House: unemployment, food prices, energy prices, petrol prices and much more. People are struggling to cope financially, and for many a referendum is a complete and utter waste of time and money, but that is the reality we face, so let us have the debate. Economies all over the globe are struggling with the worldwide downturn, so let us not pretend it is happening only in the UK. Of course some people want independence, and they are entitled to that view—I respect it, but disagree profoundly with them. When I visit schools in my constituency, I find that some pupils want independence, but the vast majority do not want to separate Scotland from the United Kingdom.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
When my right hon. Friend was out on the streets of Coatbridge on Saturday, how many people came up to him and said, “I would like an independent Scotland to join Schengen and to have the euro as my currency”?
Mr Clarke
My hon. Friend makes a good point. I cannot remember anyone saying that. I remember what I would describe as a great surge among my constituents against independence and them telling me to get down here and fight what they are opposed to: separatism.
Still talking about young people, I recently visited Cardinal Newman school in Bellshill—an important part of Scotland, represented by my hon. Friend and I —and spoke to a modern studies class. At the end, I asked about a subject that we did not touch on in our earlier discussion. I asked, “How many people here would reduce the voting age to 16 for the referendum?” Eight voted for, 22 voted against. I hope that the independent Electoral Commission will decide such matters, not those who have abused powers whenever they have had the opportunity.
Referendum (Scotland)
Frank Roy Excerpts(12 years, 2 months ago)
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David Mundell
My hon. Friend does the SNP extra credit by suggesting that its members have views on the issues she has set out. In recent weeks and months it has become apparent that despite campaigning for independence over many years—indeed decades—the SNP has no clear idea what an independent Scotland would look like. Now that the process issues are out of the way, it will be incumbent on the SNP to come forward with specific proposals for what an independent Scotland would look like.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
Will the Minister ensure that Scottish members of the armed forces and their families who find themselves based outwith Scotland during the referendum will be entitled to vote?
David Mundell
Scottish members of the armed forces and their families will be entitled to vote under the normal rules that apply to members of the armed forces.
Scotland Bill
Frank Roy Excerpts(12 years, 7 months ago)
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David Mundell
The amendment changes the title. If the hon. Gentleman is alluding to whether the Scottish Government, in their discussions on the Bill, put forward a requirement for further devolution of the Crown Estate, I can tell him that they did not. It was not a red line for the Scottish Government.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
Are any costs associated with the name change?
David Mundell
As far as I am aware, no costs are associated with changing the name from that proposed in the original Bill to the revised one.
Mr Bain
It is intriguing. We have several descriptions: “indy-lite”, “devo-plus”, “devo-max”. Various formulations for additional powers have been put out for public discussion. I think this is “devo-positive”. It will give the Scottish Parliament additional democratic legitimacy by enabling it to raise about 35% of what it spends—far more than at present—but without the race to the bottom with other countries or parts of the United Kingdom on tax rates, including corporate tax rates, which would be very damaging for growth.
Bob Stewart
Thank you, Mr Deputy Speaker. The amendments will certainly be welcomed by the Stewart Society, which I shall be speaking to in two weeks’ time.
It is absolutely right that Members of the Scottish Parliament should have responsibility for raising more money, and the amendments will help them to do that. I am also pleased that MSPs will be more accountable to the Scottish people. I fully support, as do most people in this House, the fact that the Scottish Parliament will have responsibility for health, education, transport and the police. I am very pleased with the amendments.
Mr Frank Roy
Would it not be a great shame if all these amendments were to fall because, for some bizarre reason, the people of Scotland decided to separate from the United Kingdom?
Bob Stewart
It would be horrific if that were to happen. The Opposition and the Conservatives are all Unionists in this regard. It would be a disaster if there were any kind of separation of our great nation. Scotland is much more powerful through being connected with the English, the Welsh and the Northern Irish.
I am delighted to end my speech here. My jokes have been cut short by the unkindness of the Deputy Speaker, who will not allow me—
Pete Wishart
What the Scottish people are hearing is a compelling case for Scottish independence, and the question will be put to them in a couple of years. The overwhelming majority of them will endorse and support it. We look forward to having that debate over the next couple of years, because we are absolutely confident that we will secure that overwhelming majority.
Mr Frank Roy
Will the hon. Gentleman tell the House what made the Bill a bad Bill, and what it is that now makes it a good Bill?
Pete Wishart
To be fair, this is a much better Bill now than it was a year ago. All the damaging economic powers that would have cost Scotland so much have gone. I am also glad that the UK Government have agreed with the Scottish Government on commencement powers, so that we will no longer be exposed to the damaging measure that would have had a massive and dramatic impact on Scotland.
Pete Wishart
I do not know whether the hon. Gentleman heard my exchange with the Minister, but this is to do with commencement powers. The agreement of the Scottish Parliament will now have to be sought before any tax-changing powers are brought in, which is right and appropriate. That will ensure that we do not go down any route that could damage the Scottish economy or the way in which the Scottish Parliament is funded.
I can see that you are keen for me to speak to the Lords amendments, Mr Deputy Speaker. We welcome the amendments. It is unfortunate that the hon. Member for Dundee West (Jim McGovern) is not here, but he will at last be able to refer to the Scottish Government as, well, a Government. The days of the Executive—and the unambitious Executives of the past—are finally at an end. The term “Executive” refers to boardrooms and golf clubs. It is Governments who run Scotland. As long as we are in charge, it is a Government, it will continue to be a Government and it will have the powers of a Government.
Mr Frank Roy
Will the hon. Gentleman confirm that his party voted for the Scotland Act 1998, which introduced the Scottish Executive?
Pete Wishart
One of the first things we did when we came into government, back in 2007, was to ensure that we were a Scottish Government. If it looks like a Government, walks like a Government and quacks like a Government, it is a Government. We will continue to be that Government. The days of the unambitious Labour-Liberal Executive have now gone, and thank goodness for that.
We welcome the amendments, and I look forward to discussing the others and finding out why the Labour party has changed its mind on—
David Mundell
As I have already explained, on 21 March the Government announced a package of measures in the Bill, and supporting non-legislative arrangements, to ensure that the Bill would operate in a fair and sustainable way to benefit Scotland and the rest of the United Kingdom. That announcement followed productive discussions with the Scottish Government.
I hope that it does not prove career-limiting for him if I pay tribute to Bruce Crawford MSP, the Cabinet Secretary for Parliamentary Business and Government Strategy in the Scottish Government, who has worked closely with me and with the Secretary of State on the dialogue that has been taking place about the Bill. Mr Crawford and his officials have always engaged constructively in discussions on the Bill, and, even on occasions when we have not agreed, we have always conducted those discussions in an orderly and proper fashion. I am most grateful to Mr Crawford for the way in which he dealt with the legislative consent motion in the Scottish Parliament, securing a unanimous outcome. There was no dissent from any member of the Scottish National party.
Following the agreement announced on 21 March, changes were made to both the finance and non-finance provisions in the Bill. Since its introduction in November 2010, it has been subjected to detailed scrutiny in the United Kingdom and Scottish Parliaments. In Westminster, it has passed successfully through its Commons and Lords stages, and has returned to the Commons today for further consideration. In Holyrood, not one but two Scotland Bill Committees have taken evidence and reported to the Scottish Parliament. I pay tribute to my colleague David McLetchie MSP, who experienced the pleasure of serving on both those Committees. I think that his expertise could rightly be said to be beyond that of Members of this House and the other place, in that he has a true understanding of the Bill and all its ramifications. I also pay tribute to the other MSPs who served on both Committees for their work in dealing with the reports, and subsequently passing the legislative consent motion tabled by the Scottish Government in favour of the Bill.
We have gone further than ever before in working with parties in Scotland and across the United Kingdom to deliver a Bill built on cross-party consensus. We have carefully considered and, when appropriate—that is, when a case based on evidence has been properly made—taken on board the views of the Scottish Government and the Scottish Parliament. We are pleased that we have reached agreement and can make progress with the Bill.
The package of measures announced on 21 March meets the tests that the Government set for changes in the Bill package. They are based on evidence, maintain the cross-party consensus that supports the Bill, and will benefit Scotland without detriment to the rest of the United Kingdom. The amendments in this group are part of those changes. Lords amendments 2, 5, 6, 17 and 26 would remove clause 7, clause 12, schedule 2, clause 13 and clause 26.
Lords amendment 2 would remove clause 7. As it stands, section 33 of the Scotland Act 1998 allows for only a Bill, rather than a single provision of a Bill, in the Scottish Parliament to be referred to the Supreme Court in its entirety on questions of legislative competence. That means that implementation of the whole Bill would be delayed if the matter were referred to the Supreme Court pending a decision of that court. The Government’s intention in pursuing the limited reference procedure contained in clause 7 was to prevent unnecessary delays on Bills the majority of whose provisions were considered to be within the legislative competence of the Scottish Parliament.
The Scottish Government expressed the fear that the clause could have the potential to introduce unintended consequences and delay to the enactment of legislation in the Scottish Parliament. As a result of our discussions with the Scottish Government, we agreed that the clause could be removed. The Scottish Government accept that that will mean that in future, as at present, only a full Act of the Scottish Parliament can be referred to the Supreme Court, even if only a single provision raises competence issues. I should make clear that the provision in the original Bill was intended to be helpful to the Scottish Government. However, they decided that they did not want that helpful measure to be included, and as a result we agreed to remove it.
Lords amendments 5 and 26 would remove the clause on insolvency and the related provision in schedule 2. Clause 12 would return exclusive legislative competence to the UK Parliament in relation to all aspects of the winding up of business associations. It is intended to ensure that the rules on corporate insolvency are consistent on both sides of the border. The UK Government continue to believe that it is important to take into account the view of stakeholders that, when appropriate, Scottish insolvency procedures should be in step with those in the rest of the UK. Our discussions with the Scottish Government have provided us with assurances that we can address those concerns without amending the devolution settlement in this respect.
Let me make clear to Scottish National party Members that the UK Government have removed the clause on the understanding that the Scottish Government will consider the modernisation measures for the devolved areas of winding up in Scotland that were introduced into the reserved insolvency procedures in 2009 and 2010, and have provided assurances that future changes made by the UK Parliament or Ministers in that area will be considered in a timely fashion by the Scottish Government in their area of competence.
Lords amendment 6 seeks to remove clause 13. The clause deals with the regulation of health professionals, to which the right hon. Member for Stirling (Mrs McGuire) has already alluded. Since Royal Assent to the Scotland Act 1998, the regulation of any health professionals not regulated by the legislation listed in schedule 5 has fallen within the legislative competence of the Scottish Parliament, but although the Scottish Parliament has had the power to introduce separate legislation in respect of the regulation of health professionals, it has chosen not to do so.
During our discussions with the Scottish Government, they raised some concerns about the clause. They pointed out that the delivery of health care is, on the whole, devolved to Scotland. However, they gave us clear assurances that they would work closely with us to ensure that consistent regulatory regimes apply to all health professionals. I assure the right hon. Member for Stirling that it is on the basis of those assurances that the UK Government are content to continue to develop policy in relation to the regulation of health professionals with the Scottish Government.
Mr Frank Roy
Does this not prove that some things should be done on a UK-wide basis rather than on the basis of a separate Scotland?
David Mundell
During consideration of the Bill in the House of Commons and by the Committees of the Scottish Parliament, I was not aware of a single piece of evidence suggesting that the regulation of health professionals would benefit from not being carried out on a UK-wide basis. In fact, it has been pointed out that health professionals are a relatively mobile group who may want to move to and from jobs in Scotland and England, and who would therefore not benefit from separate regulation.
David Mundell
As I said earlier, the Scottish Government have given assurances that although there will not be a relevant clause in the Bill, they will work with the UK Government to ensure that there is a uniform approach to the regulation of health professionals. I think that those remarks are consistent with the First Minister’s statement yesterday that he intended to align taxes in Scotland with those in the rest of the United Kingdom if Scotland became independent. In fact, if Scotland became independent, there would be no difference on virtually any matter.
Lords amendment 17 would remove clause 27. The Government included that clause to provide UK Ministers, concurrently with Scottish Ministers, with a power to implement international obligations in devolved areas. That would have allowed UK Ministers to implement international obligations on a UK basis, where it would be more convenient to do so. Both Governments acknowledge the importance of ensuring that all of the UK’s international obligations are fully implemented across the UK in a timely fashion. The UK Government are willing to remove this clause on the understanding that Scottish Ministers will ensure that any international obligations that fall within their responsibility are implemented on time. We have made clear to Scottish Ministers that the Government would be prepared to use their existing powers of direction under section 58(2) of the Scotland Act 1998 if we were to have concerns about the implementation of international obligations within the remit of Scottish Ministers.
Let me make it absolutely clear that the Government have not conceded on the principle of re-reservation, as the Scottish National party suggested during our earlier debates on this Bill. The Bill does not make devolution a one-way street. Clause 14 re-reserves the regulation of activities in Antarctica.
Mr Bain
Thank you, Mr Deputy Speaker. The hon. Lady tempts me to make future tax policy. However, the point she makes is that corporation tax is better levied and raised at UK level, and that is what we shall be defending in the debates on these amendments and the debates in the coming months.
The agreement between the UK Government and the Scottish Government provides that borrowing limits will be reviewed regularly, ahead of UK spending reviews by the Joint Exchequer Committee, and a consultation will be initiated on the Scottish Government being able to issue bonds. The annual reports will allow Members of this House and the Scottish Parliament both to scrutinise the detailed arrangements made by Her Majesty’s Revenue and Customs and the Scottish Government in the run-up to implementation and the first five years following the commencement of operation of the new fiscal powers, and to permit any remaining issues—such as the precise interpretation of the definition of a Scottish taxpayer, as raised by my hon. Friend the Member for Glasgow North (Ann McKechin) in Committee—to be resolved before the tax powers become active in April 2015. It is also our view that the reports will provide an opportunity to scrutinise arrangements made at Holyrood on the workings or replacement of stamp duty land tax. We welcome the new commitments on giving consideration to bond issuance by the Scottish Government, and the additional capacity that such borrowing powers will provide to the Scottish Government to make capital and infrastructure investments, which are vital for Scotland’s economic competitiveness.
The requirement to make annual reports will also show the strength of the financial powers being devolved by the Bill. The Scottish Consolidated Fund will have sufficient balance to ensure cash flow on the devolution of these new tax powers and to manage any excessive in-year volatility of tax receipts. It will also meet differences between forecast and out-turn receipts on income tax allocated to the Scottish Government at the beginning of the relevant fiscal year.
Mr Frank Roy
Presumably the safeguards that my hon. Friend just spoke about will not be there if Scotland separates from the United Kingdom. Is that the case?
Mr Bain
Indeed, one of the benefits of being part of the United Kingdom is that we enjoy a fiscal union in which there are significant fiscal transfers from the UK level to Scotland. The evidence published in January 2010 by my right hon. Friend the Member for East Renfrewshire (Mr Murphy), when he was Secretary of State for Scotland, indicated that in the 20 years running up to 2008, fiscal transfers of about £75 billion had taken place. That is the Union dividend; that is the benefit that Scotland has obtained from remaining part of the United Kingdom, and we will defend that in the debates in the coming months.
These powers to meet any differences between forecasts and actual receipts of income tax rise to a cumulative limit of £500 million and permit an annual increase in capital investment of up to £230 million per year, subject to a cumulative limit of £2.2 billion from the national loans fund, the Public Works Loans Board or commercial banks.
We welcome the fact that the Scottish Government have not persisted with their demands on the devolution in the Bill of corporation tax or excise duty, which would not be in the interests of the people of Scotland at this time. Finally, may I say that we offer our support for this amendment and the others in this group?
Rory Stewart
Thank you, Madam Deputy Speaker. I am happy for us to discuss Scottish history later.
We are discussing transparency, which is exactly what Lords amendment 18 relates to—explaining to this Parliament, to the Scottish Parliament, to the British people and to the Scottish people what we are doing with their money. Transparency is crucial because money is at the heart of this. On the one hand, the Scottish National party uses money to fight for separation through fantasies about oil. On the other hand, English nationalists, who are equally to blame for what is happening to the United Kingdom, focus on money to attack Scotland. This is the wrong thing to do.
Lords amendment 18 matters because it should, we hope, put those arguments aside. There are those who imagine that we are going to wreck the United Kingdom because we are worried about free eye tests, prescription charges or tuition fees. For goodness’ sake, let us, in line with Lords amendment 18, see the money. What we will see is that we are spending every year in transfer payments to Scotland half of what we are spending on the war in Afghanistan, if we include the debt and veterans costs. The reason why we need to move beyond this is that the kind of borrowing enshrined in the clause and amended in Lords amendment 18 is the borrowing that made us great together.
The very economics that underlie that notion of borrowing came south from Edinburgh with Adam Smith and the enlightenment. The very same borrowing on the basis of the United Kingdom meant that Scots and English were able to fight together at Waterloo and win. The very borrowing enshrined in clause 37 is what allowed us to create the national health service together. The very borrowing enshrined in clause 37 and amended and made transparent in Lords amendment 18 is what allows us to flourish today. I urge the House to vote for Lords amendment 18 because it enshrines the principle of togetherness.
Mr Frank Roy
The hon. Gentleman spoke of a possible history debate with the hon. Member for Dundee East (Stewart Hosie). We invite the hon. Member for Penrith and The Border (Rory Stewart) to come to the Floor of the House, because I am sure that the debate is one that the whole House would like to hear, and no doubt we know who the winner would be.
Rory Stewart
I thank the hon. Gentleman very much indeed.
Having been a little rhetorical, I will return to the measures set out in the new clause proposed in Lords amendment 18. I congratulate the example set by my hon. Friend the hon. Member for Milton Keynes South in the moderation of his tone. The conduct of the Ministers in this regard, which has been praised by the hon. Member for Dundee East (Stewart Hosie)—he is now leaving the Chamber to research in his history books—shows exemplary co-operation and is an example of why the United Kingdom Parliament works so well. The moderate voices of the hon. Member for Milton Keynes South and the shadow Minister show that separation is unnecessary. The correct praise for the Scottish National party for its successes shows the successes of autonomy, not of separation and independence. If we can get the principles of transparency correct and the exact details of Lords amendment 18, the sinews of the Union, the point-by-point, sometimes dry legislative amendments that allow us to work together and avoid what the Scottish National party wishes to push us into—a black-and-white solution of either fatal inertness or still more terrible activity—we will instead, through a voice of passionate moderation and amendments of this sort, keep together the Union that made us great and will make us greater still.
Oral Answers to Questions
Frank Roy Excerpts(12 years, 10 months ago)
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Michael Moore
As ever, the goings on at the Bone household breakfast table are a thing of national interest, and we look forward to further updates in due course. I think that when the hon. Gentleman’s son gets a chance to meet the First Minister, he will be delighted by the conversation that he has, but the important point that we should know is that the First Minister wants to make England separate from Scotland; we do not.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
On public expenditure, the Secretary of State will know that not one ounce of UK steel is being used to build the new Forth road bridge. Is it not shameful that 29,000 of tonnes of steel can be shipped 12,500 miles from Shanghai but not 33 miles from Lanarkshire?
Michael Moore
The hon. Gentleman’s commitment to Lanarkshire and to the steel industry is absolutely understood and well known, and his anger is understood, too. It is a matter that was of course devolved to the Scottish Government, and it is for them to answer his very difficult question.
Scotland Bill
Frank Roy Excerpts(13 years, 9 months ago)
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Mr Weir
Much to my surprise, I support what the hon. Member for Dunfermline and West Fife (Thomas Docherty) has said. He made a good case, as it would be sensible to devolve this function to Scotland, although he ruined it a bit by making a totally unnecessary attack on the Scottish Government, who have supported the railway industry throughout Scotland and put a great deal of money into upgrading it and opening new lines and stations.
Mr Weir
No, thank you.
The hon. Member for Dunfermline and West Fife talked about the Glasgow airport rail link. I would be interested to see whether that proposal appears in Labour’s manifesto with full details of how it is to be funded, and what Labour is going to cut in order to do so, given the cuts that are coming in the Scottish budget because of Labour’s economic mismanagement and the incompetence of the current UK Government.
Mr Weir
No, thank you.
Scotland has a good record on rail and will continue to invest in rail and build up the rail system. This proposal would give the Scottish Government the opportunity to get a different franchise arrangement should they wish to do so. It would be up to them to decide on the franchise, but it would provide flexibility. We support the new clause, notwithstanding the totally unnecessary attacks on the Scottish Government by the hon. Member for Dunfermline and West Fife.
Mr MacNeil
I take the right hon. Gentleman’s point, but the realpolitik of the situation would make that highly unlikely. It is far more likely that something that the Scottish people did not want would be foisted on them.
Mr Frank Roy
Does the hon. Gentleman agree that if his new clause won the day, there would be a far greater possibility of two time zones?
Mr MacNeil
I would ask the hon. Gentleman whether he prefers the possibility of a time zone that the Scots do not want being foisted on them to having two different time zones in the UK. I would prefer the Scots to be able to control their own time zone to the possibility of something being foisted on them, so that they had the same power as the Northern Ireland Assembly in Stormont and the people of the Isle of Man.
Mr Frank Roy
Does my hon. Friend agree that the only way to have two time zones in the United Kingdom is to vote for the new clause?
Fiona O’Donnell
Absolutely; I could not have put it more simply. My headache immediately disappears and we have clarity.
There are some questions that I would like the hon. Member for Na h-Eileanan an Iar to address. First, has he spoken to Microsoft or other PC manufacturers about their systems and whether they would be able to cope with this change? Has he considered the implications for travel? It is possible that I could leave my constituency and be in this place before I had left. I wonder how the Independent Parliamentary Standards Authority would respond to time travel and thinking that I came to this place in a Tardis. We have already heard about television and radio schedules. These are serious concerns, and they are the implications of what he is asking for. We might get the 10 o’clock news at 9 o’clock or 11 o’clock, we might know the results of the national lottery draw in Scotland before it is made in England. I have seen SNP Members holding their heads in their hands as we put forward these various possibilities, but if the hon. Gentleman is going to push the Committee to vote on this matter, he has to consider the ramifications.
Let us be clear about this: the SNP is no good in government in Holyrood, is no good in government in local authority areas, and in this Chamber it is putting forward a most ridiculous proposal that I hope the Committee will oppose.