Fairness and Inequality

Debate between Jacob Rees-Mogg and Russell Brown

Tuesday 11th February 2014 Commons Chamber

[Mr Brown]

Let me just mention one or two other things. The hon. Member for Suffolk Coastal (Dr Coffey) has left the Chamber, but she spoke about paying down debt. In case the House has forgotten, when we came to power in 1997, there was 43% debt, and we paid down debt as we progressed over the years to 37%.

The hon. Member for Aberconwy spoke about taxation. I do not have a problem, as he has, with a 50p income tax rate, but I do have a problem with value added tax. Our colleagues in the SNP need to be absolutely clear and honest with the people of Scotland: if Scotland achieves independence on 18 September and becomes a full EU member state, the people of Scotland will be looking at VAT on food, children’s clothing, and books and newspapers. That is fact.

The SNP is very good—and I have heard this a couple of times this afternoon—at comparing other small nations with Scotland. It is keen to mention Sweden, and all too often it mentions Norway, but the problem is that they have Conservative Governments. I do not know if that is what it wants in an independent Scotland.

[Jacob Rees-Mogg]

Will the hon. Gentleman give way?

[Mr Brown]

I would be more than delighted to do so.

[Jacob Rees-Mogg]

I think that a Conservative Government for Scotland is being a little optimistic.

[Mr Brown]

I am absolutely delighted that I allowed the hon. Gentleman to intervene. I have no wish to see that either.

The one thing that the SNP does not tell the people of Scotland is just how high taxation is in those countries that they are keen to mention and with which they make comparisons. It cannot run away from that.

On how the devolved Governments have operated in the UK until now and their record on increasing fairness and tackling inequality, the Welsh Labour Government, even in tough times, have worked to protect the most vulnerable in Wales from the Tory Government with Jobs Growth Wales, which will create over 16,000 jobs for young people in Wales, and the £35 million boost to the pupil deprivation grant in the next year. The same cannot be said for the SNP Government in Scotland. A recent report by the Joseph Rowntree Foundation noted that cuts by the UK Government and the Scottish Government in England and Scotland have meant that the most deprived local government areas receive £100 a head less in funding. Professor Arthur Midwinter of Edinburgh university recently concluded that

“the SNP’s budget strategy adds to the austerity agenda”.

I made a similar point in an intervention, as £l billion has been removed from anti-poverty programmes since 2008. Analysis by the House of Commons Library shows that cuts to the most deprived areas in Scotland are greater than those for the least deprived.

On local government and the underfunding resulting from the council tax freeze in Scotland, this is a debate about fairness and equality, so let me share with the House what we have seen as a result of local government being badly underfunded. Some of the poorest and most vulnerable people in our communities—those who need social services or who have to pay for services—have seen an increase in the cost of services or, if those services were free, charges have been introduced. That hits the poorest and most vulnerable the hardest.