(11 years, 12 months ago)
Commons ChamberIt is untrue to say that health inequalities widened under the Labour Government, but it is factually correct to say that inequalities are increasing in Scotland under the watch of Alex Salmond, Nicola Sturgeon and the Scottish Government. Health inequalities are increasing and educational opportunities are decreasing. People from working class backgrounds in Scotland are less likely to go to college or university than people from working class backgrounds in England and Wales. That is happening on the watch of the Scottish National party, not of the Tories or Labour, so will the hon. Lady please not lecture Labour Members on our record? She should focus more on her party’s record in government.
What Scotland do we want to create for future generations? We want it to be a successful country in which to bring up our children, but what role do we want Scotland to play in the world? I want Scotland not to isolate itself, but to engage with its partners in the UK to take on the big challenges of global poverty, to fight climate change, and to fight for justice and fairness in the world. What differentiates Labour Members and SNP Members? Labour Members did not come into politics because we wanted to fight poverty only in our constituencies or our country. We want to fight poverty and create opportunity not only in Glasgow and Edinburgh, but in Manchester, Birmingham and around the world. I do not believe we will do that by creating a border between Scotland and England. There is a vote on a UN resolution today on enhanced status for the Palestinian people, which will hopefully work towards a positive resolution by which we have an independent Palestinian state living side by side with Israel. I came into politics to fight for an independent Palestinian state and for self-determination for the people of Kashmir, not to break up my own country. I want to fight injustice in other parts of the world.
One big point is that we can make the positive case for Scotland economically, emotionally, socially and politically. The most successful aid agency in the world is headquartered in Scotland. It employs hundreds of people, has a budget of £7 billion, helps to save hundreds of thousands of lives every year, and lifts hundreds of thousands of people out of poverty every year, which demonstrates the collective strength of Scotland working in partnership. We are a key member of the UN Security Council not for power or prestige, but to fight tyranny and oppression around the world. I want Scotland to have its full voice in that process. We are a leading economy and country in the G8. A Scottish leader as Prime Minister worked with the G8 to stop a global recession becoming a global depression. Those are positive arguments for Scotland remaining part of the UK, not the negative arguments we get from the SNP.
On the quality of the debate, we will have heated debates and the usual Scottish politics spats between Labour and the SNP and others between now and the referendum—[Interruption.] If the hon. Member for Perth and North Perthshire wants to make an intervention, I am more than happy to take it. We are divided politically, but we do not want our country to be divided in the process. Whatever happens in the referendum and whatever decision Scotland makes, we must ensure that we come together in the best interests of Scotland and ensure that we fight and create a fairer, more equal country.
I apologise for not being in the Chamber at the start of the debate; I was in a Bill Committee.
My hon. Friend mentions the quality of the debate. Will that not be enhanced if the First Minister is straight with the Scottish people and if his arguments stay on the same track? The arc of prosperity used to mean Ireland and Iceland, but now it has moved on to the Scandinavian countries. Until we have a consistent and honest debate, we will not have a fair playing field.
I wholeheartedly agree with my hon. Friend. When the Minister systematically destroyed the hon. Member for Perth and North Perthshire on Britishness, he reminded me that, throughout the SNP’s existence, it has claimed it wants independence because England has never treated Scotland fairly, and because Scotland has never had a fair deal within the UK, but SNP Members imagine that everyone will treat Scotland fairly and work together to create a better country when it separates from the UK. That just does not stack up.
SNP Members make assertions on NATO and EU membership. The hon. Gentleman said today that the biggest threat to Scotland remaining part of the EU was from the UK, but he cannot guarantee that Scotland will remain a member of the EU if it chooses independence. We need facts rather than assertion. SNP Members say that Scotland will keep the pound and automatically have a seat on the Monetary Policy Committee; that the BBC will break up and Scotland will have better quality programmes; and that our credit rating and Royal Mail services will remain the same. They are assertions—not one of them is based on fact. The people of Scotland deserve better. Throughout the SNP’s existence, the answer to any question has always been “independence”, but now that the question is independence, it does not have the answers for the people of Scotland.
Scotland deserves a transparent and open debate. It deserves to know what Scotland will look like if it chooses independence. It deserves better than a First Minister and a Scottish Government simply asserting that independence will be whatever people want it to be. That is not good enough. The SNP cannot say to one audience that Scotland will have the Monaco taxes, but then say to another audience that we will have Scandinavian public services. It cannot say that Scotland will have none of the horrible welfare changes and reforms, but that it will have similar corporation taxes to Ireland. That does not add up and is not credible, and disrespects the people of Scotland.
(12 years ago)
Commons ChamberI absolutely agree with the right hon. and learned Gentleman. Some honourable former members of the Scottish National party, such as MSPs Jean Urquhart and Mr Finnie, agree with him and they could not reconcile their positions. Many SNP MSPs continue to sit in government in Scotland, however, despite being unable to reconcile those two positions.
7. What recent assessment he has made of the economy in Scotland.
The UK Government have reduced the deficit by a quarter and we are taking important steps to promote growth. Cutting corporation tax, accelerating infrastructure projects and establishing the funding for lending scheme are just some of the range of measures being implemented.
Does the Secretary of State agree with the recent assessment of the Institute for Fiscal Studies that in the event of a separate Scotland the economy will not be sustainable in the long term?
I quite agree with the hon. Gentleman. We will have much stronger opportunities if we continue as part of the United Kingdom than we will if we go our own separate ways.
(12 years, 1 month ago)
Commons ChamberAs I indicated in my statement, the Government are already objectively carrying out extensive analysis that will clearly set out the benefits of the United Kingdom, and of Scotland playing a part in it. The people of Scotland will be able to contrast that with the lack of clarity and of any substantive proposals, and the uncertainty, coming from the SNP.
I welcome the statement, but may I press the Minister yet again on what mechanism is in place for this House to have a view if the Scottish Government do not take the advice of the Electoral Commission—as they have already indicated will be the case?
The opportunity for Members in relation to the issue as a whole will be in the debate on the Order, and all hon. Members will have a vote on it. If the Electoral Commission’s proposals were to be rejected—and there has been no formal statement from the Scottish Government to that effect—the Scottish Government would have to be held to account for that by the people of Scotland, by politicians in this House and by the hon. Gentleman’s counterparts in the Scottish Parliament. I have faith in the people of Scotland. If they see the Scottish Government flagrantly rejecting proposals from the Electoral Commission, or any suggestion of trickery in the question, they will not look well on the perpetrators.
(12 years, 5 months ago)
Commons ChamberMy hon. Friend, more than most, understands the complexities of public spending in this country. I say to him, however, that our priority has to be to reduce the deficit, after which we can look at these issues again. I would also gently point out to him that within England there are quite large variations, and that the figure per head for spending in London is higher than in Scotland.
10. Given that the Scottish Government have had no discussions with either the Chancellor or the Bank of England about having a place on the Bank’s Monetary Policy Committee—which would be a committee of a foreign country—does the Secretary of State agree that this is another fanciful assertion that cons the Scottish people?
The hon. Gentleman is entirely right to highlight the fact that the Scottish Government are yet again making such assertions rather than producing detailed analysis and evidence, which is what this Government are determined to provide in this great debate. The Scottish Government seem willing and able to swap a good partnership for some kind of new dependency, and that is not right.
(12 years, 7 months ago)
Commons ChamberIt 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.
Lots of adjectives have been attached to the word “devo” with regards to the debate about the constitutional settlement in Scotland. Given that the Scottish National party supported it, then did not support it, then supported it again, then did not support it, then supported it again, could this be “devo-hokey cokey”?
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—
I have just about finished my speech, if the hon. Gentleman does not mind. I have had enough of Labour Members’ interventions, as they all tend to be on the same theme, but I thank him for his interest.
We will support the Lords amendments. It is in Scotland’s interests that the powers should be transferred, and we will continue to support the rest of the amendments.
I appreciate I am a blushing violet sitting here and you obviously did not quite see me, Mr Deputy Speaker. You are one of the few men who could say that they did not see me—even on this matter, but never mind!
I want to deal with the comments made by the hon. Member for Perth and North Perthshire (Pete Wishart) on this group of miscellaneous amendments. I think his comments are indicative of the fact that it does not matter how much devolution is given to Scotland or is agreed with the people of Scotland, it is never enough for a party that has only one ambition in this life, which is to separate Scotland from the rest of the United Kingdom. Such a party will continue to throw around the sort of parliamentary insults that the hon. Gentleman managed to put into his short contribution—such as “unambitious”. Frankly, it is not unambitious to provide the greatest transfer of powers to the Scottish people, and to give not just fiscal autonomy, which is a camouflage for independence, but fiscal responsibility to the Scottish Parliament.
I can see that you are getting agitated, Mr Deputy Speaker, because I may not be addressing the amendments, so let me deal with amendment 7, which is about health professionals. I have some concern about it. Although there is significant devolution of power, there is still cross-border traffic when it comes to health professionals. It was rational to say that this should have been a reserved power. However, it was yesterday’s statement by the First Minister that convinced me that this was probably the right way to go. We are now going to have not only the same Queen, the same currency and the same NATO, but, I hope, the same level of regulatory provision for health professionals, too.
I welcome the amendment, but I ask the Minister to convince me that there will be enough communication and consideration between the UK Government and the Scottish Government to ensure that we keep in sync health professional regulation between Scotland and the rest of the United Kingdom, so that people do not feel that they will get a different level of professionalism from the people they need to trust for their medical care according to whether they live north or south of the border.
My right hon. Friend is creating an important narrative for the link between the national health services in Scotland and in the rest of the United Kingdom. Does she agree that that probably explains how the Scottish National party ended up voting on the Health and Social Care Bill—because of the interlinked nature of the NHS between Scotland and the rest of the UK?
Order. The amendment refers only to leaving something out, which is all we are effectively debating. I have allowed some latitude, but I have to watch that we do not stray too far away from the amendment. I understand that the provisions affect Scotland and that hon. Members want to open up the debate, but we must try to stick to the amendments.
My hon. Friend raises a pertinent point, because although we hear demands for powers made by certain parties, no purpose is ever given for the devolution of those powers. It is a staggering omission that we know absolutely nothing about the future of stamp duty land tax, given that it is due to be devolved to Holyrood in just a few short years. We have heard about the lack of evidence provided for the devolution of other taxes, with the Institute for Fiscal Studies setting out convincing evidence in its “Green Budget” a few months ago that devolving corporation tax would involve a race to the bottom and be a very risky endeavour indeed.
My hon. Friend is being incredibly generous in giving way again. Is it not the case that the setting of corporation tax was devolved to Northern Ireland simply to allow it to equalise its rate with the rate on the other side of the land border to the south? Indeed, the First Minister of Scotland’s speech at the Institute of Directors yesterday, in which he said that he would use the taxation powers only to equalise the rates, highlights why corporation tax should not be devolved to Scotland.
The other implication of devolving corporation tax for it to be reduced to the levels that apply in the Republic of Ireland is that £2.6 billion would be lost from the Scottish block as a result. That would not be in the interests of economic growth, services, health or education in Scotland. As PricewaterhouseCoopers said in its report to Scottish Parliament’s Bill Committee on the Bill, the cut in corporation tax was only the 16th or 17th highest reason for companies investing in the Republic of Ireland, while most of the investment in the Republic of Ireland occurred when corporation taxes were not at the reduced level. The case for devolving corporation tax has therefore not been made. As we have seen in the past few days, with confusion over income tax policy and no rule on what debt levels a separate Scottish state would have, the First Minister’s plans for separation seem to be dissolving into yet another omnishambles.
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.
It is a great pleasure to follow the hon. Member for Penrith and The Border (Rory Stewart), who has a great knowledge of everything historical and has driven the hon. Member for Dundee East (Stewart Hosie) out of the Chamber to hunt out not only his history books, but no doubt his horned helmet. If he can drive SNP Members out of the Chamber with such ease, he should speak here more often to ensure they disappear.
I, too, wish to concentrate on Lords amendment 18 and its proposed new clause, and that is for one simple reason: transparency. Transparency is the word that hits the new clause on the head, as the hon. Gentleman suggested. We need transparency because over the past few months, and indeed since the Scottish parliamentary elections in 2011, we have had anything but from the Scottish Government. We have had smoke and mirrors on tax, the constitutional settlement, the currency, visa arrangements and NATO—the list is endless. One of the most prevalent calls in Scotland in the debate on separation is for transparency on taxation, because that feeds into public services and the ordinary lives of everyone who lives in Scotland and, indeed, the other component parts of the United Kingdom.
My hon. Friend is making an excellent speech. Does he agree that there is a strong case for transparency from the Scottish Parliament on how money is spent, because we have not always had that?
I am grateful to my right hon. Friend for raising one of the key points on why we need transparency. The hon. Member for Penrith and The Border said clearly that transparency helps not only the Scottish people to determine how their money is spent and allocated, but the other component parts of the United Kingdom to see how money is spent in Scotland, which would be welcomed by everyone in this House. Indeed, we have not even had transparency on the Bill itself. The Bill has been called “a poison pill”, “a dog’s breakfast” and “dangerous” by the same party that voted for it, campaigned against it and will, no doubt, vote for the amendments if the House divides this afternoon.
We need transparency from the Scottish Government at every level on what they wish to achieve. In the past few months, we have heard the Scottish National party say in public—the records are available—that it would reduce fuel duty, reduce corporation tax to the level it is in Ireland, and will be in Northern Ireland, which is 12.5 %, and that it would reduce duties and business rates. I am not an expert on taxation systems or, indeed, on algorithms or mathematics, but it seems that that would lower every single tax in Scotland, so I pose the question, where would the money come from? There is only one place that it can come from, and that is public services, so, on the report that would come from the Secretary of State concerning those powers, I challenge the Scottish Government and the Scottish National party to tell us, with regard to every single tax that they wish to lower or decrease, where the money will come from and where the money will go.
Let us take corporation tax, which my hon. Friend the Member for Glasgow North East (Mr Bain) mentioned, and which is a complicated issue. I mentioned smoke and mirrors at the start of my contribution, and there has been a lot of smoke and mirrors from the Scottish Government on corporation tax. They have used the example of Northern Ireland, but there are two clear lessons from Northern Ireland.
As I said in an intervention, Northern Ireland wants corporation tax devolved to equalise its rate with the country on its land border to the south and ensure that it is not disadvantaged. That highlights two things: first, that the land border is important; and secondly that corporation tax levels, when they are lowered to such a drastic state as we have seen in Ireland, create an uncompetitive situation and a race to the bottom.
We cannot afford that race to the bottom in the United Kingdom, with its land border between England and Scotland, because it would create an environment in which the money that came out of the block grant—some £2.6 billion if the rate were equalised with Ireland’s at 12.5%—would have to come from public services.
The Scottish Government have yet to tell us which public services they would cut. The national health service already has far fewer nurses in Scotland than it did in 2007, and the Scottish Government have yet to tell us where the money would come from in terms of public services, so I should welcome the debate and the evidence that the hon. Member for Perth and North Perthshire (Pete Wishart) tells us we should have about corporation tax, because perhaps the Scottish Government could lay out that information, and the report under discussion, which would come back annually to the House until those taxation powers had been fully devolved, would be very welcome and could examine some of those issues.
The smoke and mirrors continues, because the First Minister of Scotland, Alex Salmond, when he was in London yesterday, no doubt met his London SNP colleagues to discuss these issues. In his speech to the Institute of Directors he suggested that, with the powers in the Bill transferred to Scotland, income tax levels in Scotland would not be changed. One of the key points here is that the Scottish Parliament has powers to reduce or to increase income tax in Scotland by 3p, but the Scottish Government chose not to maintain HMRC’s systems to enable that, so we are left with the Scottish Government and, indeed, the First Minister jumping up and down like little children, demanding powers—
Order. I have given the hon. Gentleman some latitude, but I am sure that he is coming back to the debate which we are having here about the importance and relevance of the report.
I will be coming back to the report this very second, because it is about transparency, and what we have had quite clearly from the Scottish Government is a complete lack of transparency. I hope that the report allows us some, because when the Bill receives Royal Assent, we will have a Scottish rate of income tax, the devolution of stamp duties, the devolution of landfill tax, the power to create new taxes and the power to borrow of many billions of pounds—borrowing powers, incidentally, which the Scottish Government did not want but have planned to use. So it is quite important that the report comes back.
With this amendment, the Lords have done a good job of enabling us to see where the new taxes will go. I certainly welcome it and will support it later this afternoon.
(12 years, 7 months ago)
Commons ChamberMy hon. Friend is entirely right. While it is clear that the Burmese regime is making some steps towards greater freedom and democracy, we should be extremely cautious and extremely careful. We want to see the further release of political prisoners, we want to see the resolution of ethnic conflicts and we want to see that democratisation process continue. That is why we are pushing across Europe for the suspension of sanctions, excluding the arms embargo, which should stay, rather than for the lifting of sanctions. We now have support for that position from most other leading European countries, and I hope that we can deliver it. That would be the right thing in demonstrating to the regime that we want to back progress, and it would also strongly support what Aung San Suu Kyi has said is the right approach.
8. My constituents are angry that the Prime Minister’s priority in the Budget was to give a £40,000 tax cut to millionaires. Will he tell the House how much collectively, as a result of the reduction in the top rate of income tax, his Cabinet will be better off?
(12 years, 9 months ago)
Commons ChamberAs I set out in my opening remarks, the hon. Gentleman has had the opportunity this evening to place all his concerns on the record. I undertake to ensure that a transcript of tonight’s proceedings is conveyed to all the relevant parties that have been discussed, including Scottish Enterprise, the Scottish Government, Sir Peter Housden, the Information Commissioner, and the current head of the civil service, Sir Bob Kerslake, so that everyone who has an interest in the matter can read the points that the hon. Gentleman has raised. However, the Scotland Office is unable to take forward further investigations. Indeed, it would be inappropriate to do so while a criminal investigation and civil court proceedings are taking place. As I have said, he has used the important opportunity of an Adjournment debate to place his concerns on the record.
Order. I think that the Minister has concluded his speech.
Question put and agreed to.
(12 years, 11 months ago)
Commons ChamberI recognise the full ambit of the First Minister’s many responsibilities and I do not believe that such a submission would have been made without consultation with the Scottish Government.
I think we are getting to the crux of some of the issues. I would never agree with what the coalition Government are doing to public sector pensions in Scotland, but the Scottish National party did put in a report to the Hutton review that was far more draconian than what the Government are proposing. The SNP may be trying to say to the House that this was done by an agency, but why did the Scottish Government not contribute a proposal to the review?
The hon. Gentleman makes a valid point. It reinforces what all of us who are aware of day-to-day Scottish politics know, which is that the SNP Government in Scotland speak with one word but their deeds are quite different.
I return to what I was discussing before the interventions. The Government accepted Lord Hutton’s recommendations in full and can reassure the House that the reformed public—
I have already set out all the additional money that the Scottish Government have received since the budget settlement last year from which they could have made these choices. Sometimes, choices are difficult, but the Scottish Government prefer to pretend to people that they are on their side while not being willing to take difficult decisions.
You are talking about choices that the SNP Scottish Government will make and one of the big choices they made was to cut capital spending far faster and far further than your own Government.
Order. The hon. Gentleman is referring to the Minister and should refer to him as the Minister or “he”. “You” means the occupant of the Chair, and this is nothing to do with me, fortunately.
But the lower paid are being hit in every other way. They are being hit by higher VAT, the higher fuel price and everything else. Their living standards are falling.
Lord Hutton’s report also firmly rejected the claim that public sector pensions were gold-plated. It seems to me that the answer is not to attack public sector pensions, but to take action to try to help private sector pensioners. Unfortunately, however, previous attempts by Government to persuade people to opt out of state pensions, and the state second pension, into private pensions, and the mis-selling that went on, have undermined confidence in private pensions, especially among those on lower incomes. If the Government really want to do something about pensions, they should think about how they can encourage people in private occupations to save for their pensions.
For many years, we have been debating the future of pensions and how to encourage people to save more, but increasing contributions by such a large amount at a time when family budgets are under so much strain may well reduce the number of people who save for the future. There is a real chance that many will feel unable to make the larger contributions and will fall out of pension schemes, which could be a disaster for both the future of the schemes and the public purse. My hon. Friend the Member for Carmarthen East and Dinefwr (Jonathan Edwards) cited the results of an FBU survey, which suggested that 27% of people could fall out of their schemes. In his autumn statement, the Chancellor threw petrol on the flames of public sector discontent by casually introducing the idea of regional pay, which, if implemented, would have a serious impact on Scotland, Wales, Northern Ireland and the north of England.
I have a tremendous amount of respect for the hon. Gentleman, but will he tell us what were the SNP’s proposals to the Hutton review, so that we can make an objective assessment of its position in relation to that of the coalition Government?
I was about to deal with the position of the Scottish Government. They have taken positive action to help to protect household budgets by, for example, freezing council tax for the rest of the parliamentary term, increasing the Scottish living wage to £7.20 an hour for all staff for whom they are responsible, and committing themselves to imposing no compulsory redundancies. In contrast to the Westminster Government, the Scottish Government have sought to focus on protecting Scottish household budgets.
The amendment tabled by the Labour party referred to the devolved Administration. In Scotland—
(13 years, 8 months ago)
Commons Chamber4. What assessment he has made of recent trends in levels of employment in Scotland.
8. What assessment he has made of recent trends in levels of employment in Scotland.
Although the final quarter of 2010 saw falling unemployment and rising employment in Scotland, helping people into work remains a key priority for this Government.
Gross domestic product in the economy has contracted by 0.6%, confidence is being shattered by the increase in VAT, unemployment is rising, with the full effect of public sector job losses to come, and employers all over my constituency are really concerned that the banks are getting away scot-free while they are being hit the hardest. Does the Secretary of State have any plans at all for growth in order to get jobs back into the Scottish economy?
In a compendium of issues, the hon. Gentleman forgets to mention the role that his own Government played in the management of the economy up until last May. Our overriding priority is to get a path to sustainable growth, and that means stabilising the economy, which is what the deficit reduction plan is about, and ensuring that we support businesses by reducing tax, maintaining interest rates lower than they would otherwise have been and helping businesses to access finance. We have a real programme of action, unlike the previous Government.
(13 years, 8 months ago)
Commons ChamberReciprocal arrangements work across a variety of jurisdictions. Of course a health scientist trained in Scotland could work in England. We have a separate NHS, which has developed differently from the NHS in the rest of the UK in the past 10 years—that seems to have escaped hon. Members in the debate. It has new professions that require different regulation.
I have given way enough—I did not want to spend so much time on this, but I have been generous in giving way to several Labour Members. [Hon. Members: “Give way!”] Go on, then.
I am very grateful to the hon. Gentleman for giving way, even at the second attempt. Does he agree with the NHS in Lothian, which covers my constituency, and the Health Professions Council, which gave written evidence to Holyrood when the Scotland Bill Committee sat? It stated:
“We observe that there is a widespread consensus that a consistent UK-wide approach to the regulation of health professions is both appropriate and beneficial to professionals and the public.”
Why does the SNP differ from that approach?
I have no doubt that that is exactly what was said, but the only evidence taken by the Calman commission was from two royal colleges, which talked only about doctors.