(9 years, 9 months ago)
Commons ChamberI assure my right hon. Friend that I am personally committed to that good will, and the recent meetings that I have held with Alex Neil to discuss welfare matters, for example, have been extremely constructive. The Prime Minister is meeting the First Minister today, which I am sure will also be a constructive dialogue, and the Secretary of State is in almost constant dialogue with the Deputy First Minister, who has responsibility for constitutional matters. Scottish Government and UK Government officials also work extremely well together. I give my right hon. Friend the undertaking that we are committed to delivering not just the letter of the Smith commission proposals but the spirit of them.
The extensive income tax powers that are to be devolved to the Scottish Parliament will give Scotland the opportunity to make different decisions on taxation. The Scottish Labour party is committed to restoring the 50p rate of income tax for those earning more than £150,000 a year. Will the Minister join the Scottish Labour party in supporting that policy, putting some clear blue water between the Conservative party and the SNP, which refuses to support the restoration of the 50p rate?
(9 years, 9 months ago)
Commons ChamberQ1. If he will list his official engagements for Wednesday 14 January.
This morning, I had meetings with ministerial colleagues and others. In addition to my duties in this House, I shall have further such meetings later today.
Given the damaging uncertainty over future investment in jobs that the Prime Minister’s EU renegotiation strategy is creating in the business community, will the Prime Minister today give a guarantee that he will not support an out vote in any future in/out EU referendum?
Since I made the announcement that there should be an in/out referendum on Europe, the investment coming into Britain has gone up. There are regularly times when Britain is getting more inward investment than the rest of Europe put together.
(10 years ago)
Commons ChamberThere are, indeed, occasions when we should be grateful to the Scottish National party; they are few and far between, but this may, in the way the right hon. and learned Gentleman describes it, be one of them. It was not, of course, the Scottish National party that called the referendum; it was an agreement between Her Majesty’s Government here and the Scottish Government in Edinburgh—the Edinburgh agreement—that gave the basis for it to happen. It would be helpful for the SNP leadership to now make it clear that we have met the terms of the Edinburgh agreement, that the decision was fair, legal and decisive, and that, accordingly, we will not revisit the process.
As a Labour nominee to the Smith commission, may I welcome the Secretary of State’s constructive comments? In that spirit of constructive dialogue, as we approach the debate about further devolution will he consider bringing forward the public information campaign on the raft of tax powers that are to be transferred to the Scottish Parliament by 2016?
I wish the hon. Gentleman and his colleagues well on the Smith commission; he has a job of work to do, but he is very well qualified to do it. I will give consideration to his question about our public information campaign on the powers already coming from the 2012 Act.
(10 years, 7 months ago)
Commons ChamberThe nationalists are always very keen on telling us about their vision. In fact, if we were to use sterling without the central bank in the Bank of England, the relationship between Scotland and the rest of the United Kingdom would be like that between Panama and the United States of America. That is not a vision; it is a nightmare.
The Minister will be aware that there is nothing more important in a pensions system than—[Interruption.]
Order. Perhaps the House can calm down and the hon. Gentleman can actually have the advantage of free speech, which is what this House is about.
I am delighted by such a reception, Mr Speaker.
The Minister will be aware that nothing is more important as regards the certainty of a pensions system than clarity about the currency in which pensions are paid out and saved. Does he therefore agree that the lack of clarity from the Scottish nationalists about the currency that an independent Scotland would use is very damaging for Scots and their pensions?
Indeed. The future of the pensions industry and the security of pensions for Scots post-independence is one of the biggest risks that comes from that lack of clarity. It is quite remarkable that six months out from the independence referendum date, we still do not know what the nationalists are offering us by way of a currency.
(10 years, 9 months ago)
Commons ChamberThe debate has been interesting so far, particularly the contributions of Scottish National party representatives. There has been sound, fury and passion about what they see as the great differences between Scotland and the rest of the United Kingdom, but the danger is that the sound, fury and passion will obscure the reality of the SNP’s proposals to change the Union.
There is a rather peculiar notion at the heart of the nationalist case, which is that the economic and social union between the peoples of these islands should continue, but that the political Union should end. I will come back to examine what that peculiar notion means for Scotland, but the fact that the Scottish National party believes that economic and social union should continue—the White Paper is eloquent testimony to that desire—says something about how 300 years of partnership have brought the peoples of these islands closer together. That is not surprising: we have a shared language, notwithstanding the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) and others, as well as family ties, a shared currency, free trade and common trade unions across the United Kingdom.
Perhaps after I have made some progress.
We share tastes, preferences and of course a common popular culture, which is reinforced every Saturday night when the nation comes together to watch “Strictly Coming Dancing”, among other programmes. It is important to recognise that the White Paper is eloquent testimony to all that. The SNP wants to argue that all those matters can be retained in their current form, while the political Union disappears.
Why do nationalists, whose philosophy is based on a belief in difference, come to that conclusion? The answer is that 300 years of shared history cannot be washed away or forgone. When Alex Salmond says, as he recently did to James Naughtie, that he has a Scottish identity but also a British one, it is testimony to that, whether Mr Salmond believes it or not. He knows that the people of Scotland believe that there are mutual ties that bind us across these islands.
The hon. Gentleman should allow me to develop my argument a little further.
The SNP wants the political Union to end, but the social and economic union to continue. In those circumstances, the referendum will be about the best form of Government across these islands. That point was eloquently made by the hon. Member for Penrith and The Border (Rory Stewart). If economic and social union is to endure, as shown by the SNP’s White Paper, the question becomes one about how Scotland’s political interests are to be represented. The answer that Scots came up with 300, 400 or even 500 years ago was a Union. With John Mair of Haddington in the lead, they came up, in diabolically clever Scottish fashion, with a way to create a partnership between two countries of very unequal size. When we celebrate Robert the Bruce and William Wallace, we are saying that because Scotland entered the Union freely, we created a partnership and were not subordinated.
Will not the Scottish Government’s proposals lead to an incredible democratic deficit? At the moment, if people in Scotland do not like what the UK Government do, they can have their say through their MPs. In the new arrangement proposed by the SNP, any negotiations would be intergovernmental, and it would not be up to the people of Scotland but to the Scottish Government to see what could be extracted from negotiations with the UK Government.
My hon. Friend makes a good point. There is a very Scottish way of putting it: the nationalists want us to have our cake and eat it, but that is very difficult. When Alex Salmond claims that by Scotland leaving the political union, England would lose a surly lodger and gain a good neighbour—that is important, because it illuminates the nationalists’ view of the world—my response is very straightforward: how can you be a lodger in your own house? We built this house together, and it is ours as much as anyone else’s. That house has of course been refurbished; it is not unchanging. The biggest constitutional change in this country in 300 years was the creation of the Scottish Parliament. [Interruption.] The hon. Member for Na h-Eileanan an Iar does not like to be faced with facts—his speech was a fact-free zone—but the fact is that this is our house as well as that of the other peoples of the United Kingdom.
That is the basis on which this debate must proceed: how can one continue an economic and social union—the ties that bind us are accepted even by the nationalists—without political representation in the place where such social and economic decisions are made? The debate about the currency, interest rates and continuing social ties must proceed on that basis.
(10 years, 9 months ago)
Commons ChamberIndeed I will, because these are all things that we have achieved as part of the United Kingdom. It all demonstrates what is possible for Scotland as part of the United Kingdom. As for any question of debate, we have dealt with that already, but is it not remarkable that when Scottish National party Members could be answering questions, all they want to do is have a debate about the debate?
8. What discussions he has had with Ministers in the Scottish Government on the funding of pensions in Scotland after 2014.
Despite having published a paper specifically about pensions in September and the much vaunted White Paper in November, the Scottish Government have left many questions about pensions unanswered.
The hon. Gentleman will be aware that the UK and Scottish Governments have agreed that there will be no negotiation on any issues, including pensions, before the independence referendum in September.
The Institute of Chartered Accountants of Scotland published its first report on pensions in an independent Scotland before the publication of the White Paper, and we were told by the Scottish National party that the answers to our questions about pensions would be in the White Paper. This week the institute issued its response: the White Paper does not contain the answers that would give Scots certainty about their pensions. Is the Secretary of State aware of any intention on the part of the Scottish National party to answer the crucial questions about Scots’ pensions?
I am pretty certain that any answers that would come from the nationalists would not find favour with the people of Scotland, so I am also pretty certain that we will not be hearing much by way of answers in the future. The people will have heard what the Institute of Chartered Accountants of Scotland had to say, and they will now want to hear from the Scottish Government what their answer is, but I am not expecting to hear much.
(11 years, 6 months ago)
Commons ChamberI obviously cannot comment on the constituency details that the hon. Lady has brought to the Floor of the House today or on the full extent of the exchange yesterday. As I said to the hon. Member for Perth and North Perthshire (Pete Wishart) a few moments ago, we need to look carefully at how the measure is implemented. I would be happy to hear further details from the hon. Lady on that case.
13. The Secretary of State will be aware that by far the largest single part of the welfare budget goes on pensions, including the state pension, pension credit and related pensioner benefits. What discussions has he had with the Scottish Government about how pensions would work in a separate Scotland?
The hon. Gentleman raises a hugely important issue which will be one of the big questions that we ask in Scotland as we build up to the referendum next year. The security and the scale of the United Kingdom allows us the solidarity of common provision across the United Kingdom, and we have the means to pay for that, even in difficult economic times, as we have had recently. We have not seen or heard anything from the Scottish National party or their supporters about how they would do that in an independent Scotland.
(11 years, 8 months ago)
Commons ChamberNot for the first time I am confused by the SNP position. On some occasions, it states that it wants to have the same immigration rules as the rest of the UK so it can be in a common travel area; on other occasions, such as this, it says it wants uncontrolled mass immigration. Which is it?
13. Scotland’s proud history of research, innovation and discovery is inextricably bound up with the success of the United Kingdom. Does the Minister agree that the only sure and certain and the best way to ensure that Scotland remains a leader in world-class research is for Scotland to remain in the United Kingdom?
I absolutely agree with the hon. Gentleman. He will be aware that Scottish universities and research institutes receive £436 million from UK research councils—roughly 13% of the overall scientific research funding. [Interruption.]
(11 years, 10 months ago)
Commons Chamber4. How many people in Scotland will be affected by the Government’s plan to limit the uprating of in-work benefits to 1%.
9. How many people in Scotland will be affected by the Government’s plan to limit the uprating of in-work benefits to 1%.
Yesterday the Department for Work and Pensions published an impact assessment for the Welfare Benefits Up-rating Bill, which states that about 30% of all households will be affected by the measures contained in the Bill.
I thank the Minister for that answer. Even after changes to tax allowances, a single-earner household with children in my constituency will be £534 a year worse off by April 2015. With that priority in mind, does the Minister still believe that the Government should go ahead with their priority of a £2,000 a week tax cut for millionaires?
What I believe is that the Government should continue to work to sort out the mess in the economy that the hon. Gentleman’s Labour Government left behind. The measures announced yesterday will save £5 billion and he and his colleagues have not given any answers as to where they would find such savings if they did not implement those changes.
(11 years, 10 months ago)
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I have to disagree with the hon. Gentleman, because if we do not understand the causes of this crisis and articulate them clearly and properly, we cannot take effective action. We have seen his own Government in previous generations throw money at problems but with no, or negligible, impact. Until we understand what is driving this crisis, there is absolutely no point flinging words around Westminster Hall.
The fact that 50% of people claiming food parcels are working is—
Will the hon. Member give way?
No, I will not give way again, because the quality of the last intervention by the hon. Member for Glasgow Central (Anas Sarwar) left quite a lot to be desired.
I do not doubt that the hon. Gentleman will have a higher quality of intervention, but I will not give way at this point, simply because I am conscious of time. Clearly, I have some things to say in this debate and I want to get through them in the time allotted.
The other 50% of the increase in demand for food parcels is from people whose benefits have been delayed or who are having problems with the administration of the benefit system. There is no doubt that the dramatic increase in the demand for emergency support is a consequence of the recession, and the increased numbers of people who face sudden unemployment, or cuts in their working hours or real-terms cuts in their wages. However, demand has also been increased by the austerity measures—the response to the recession by the Government—and the disproportionate hit that people on low incomes, particularly those who wholly or partially depend on benefits to keep them above the breadline, have had to bear in the raft of financial cuts that we have seen during the last two years.
The changes to the benefit system have placed greater restrictions on people, and the stringent time limits on some benefits—such as employment and support allowance, and housing benefit—will only make that problem worse. Experts are warning that the real bite of these measures is still to come.
Aberdeenshire was part of the pilot scheme for the work capability assessment. I am already seeing people at my surgeries who have been assessed as fit to work who are simply not fit for work, and whose precarious health has been further jeopardised and damaged by very difficult engagement with the benefit system. Those left without entitlement are increasingly falling back on financial support from their unpaid family carers, who themselves are often in very tight financial circumstances. These are families who are finding themselves having to rely on emergency support.
The other emergency support in our social protection system, which I debated with the Minister a week ago, is the social fund. As I am sure Members are aware, the social fund currently provides crisis loans and community care grants; it is very much the last safety net of the social protection system. It will be abolished next year, with responsibility for its functions being devolved to Scotland. However, it is important to acknowledge that the Department for Work and Pensions has been managing back the social fund to its 2005-06 level, despite the increasing demands on it, and the money being devolved next year will represent a cut of about 50% on the 2009-10 level.