Devolved Powers in Scotland Debate

Full Debate: Read Full Debate
Department: HM Treasury
Tuesday 17th October 2017

(6 years, 6 months ago)

Westminster Hall
Read Full debate Read Hansard Text Read Debate Ministerial Extracts

Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.

Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Michael Ellis Portrait The Deputy Leader of the House of Commons (Michael Ellis)
- Hansard - - - Excerpts

It is a pleasure to speak under your chairmanship, Mr Hollobone.

I congratulate my hon. Friend the Member for Stirling (Stephen Kerr) on securing this debate, his first in this Chamber. Hearty congratulations are very much in order. The debate has provided an important opportunity for us to reflect on devolution within the United Kingdom and within Scotland, and to look ahead to a stronger Holyrood in the next few years as we exit the European Union.

As my hon. Friend highlighted in his speech, it has been just over 20 years since people in Scotland voted to support the creation of a Scottish Parliament with tax-varying powers on 11 September 1997. In just over a year from now we will celebrate a further anniversary, that of Royal Assent of the Scotland Bill in November 1998. The Scotland Act 1998 established the new Scottish Parliament and set out its powers as a legislature within the United Kingdom. Since the Scottish Parliament first sat in May 1999, it has truly come into its own. Devolution is clearly the right approach for Scotland. It is what the people in Scotland voted for and it ensures that decisions are taken at the right level.

The Scottish Government may choose their own path on key policy decisions. Of course, I cannot say that I agree with everything that the Scottish Governments do or have done since 1999. I do not agree, for example, with the SNP Government’s decision to make Scotland the highest taxed part of the United Kingdom, and I do not agree with how they chose to handle common agricultural policy payments in the past couple of years, but I do agree that it is their right to decide those things for themselves. It is up to the people of Scotland to make their own judgment of their Government in devolved matters.

Michael Ellis Portrait Michael Ellis
- Hansard - - - Excerpts

I am sorry, I do not have the time.

The SNP are failures—Ruth Davidson has the right ideas. Because of devolution, key decisions about Scotland can be taken in Scotland, while Scotland benefits from the pooling of risk and resources that comes from being part of a successful and historic Union. A powerful Scottish Parliament within a strong United Kingdom offers people in Scotland maximum security and opportunity, representing their interests in the world and allowing resources and risks to be shared effectively.

Devolution has also been shown to be flexible and responsive to changing needs and circumstances. Most recently, the Scotland Act 2016 ensured that the Scottish Parliament has a significantly greater say on matters including further taxation powers and welfare support in Scotland. The Scotland Act is now in the process of being implemented, with a number of its new powers already in force and the Scottish Parliament able to legislate and make choices on a range of new policy areas. The Scottish Parliament also has new powers, for example, to top up reserved welfare benefits or to create new benefits in devolved areas, should it decide to do so. Taken together with the existing powers of the Scottish Parliament, the Act creates an even more powerful and accountable Scottish Parliament within a strong United Kingdom.

That is what the people of Scotland voted for. The Scotland Act balances more decisions being taken in Scotland, closer to those they affect, with retaining the strength and security that comes from membership of the larger United Kingdom. The 2016 Act provides the Scottish Parliament with much greater tax-raising powers, which means that, from responsibility for raising around 10% of what it spends today, Holyrood will in future be responsible for raising more than 50% of what it spends. With new powers on welfare, the Scottish Government need to publish details of how they plan to support disabled people in Scotland, for example.

Enough of the grievance culture and the obsession with process; the SNP and the Scottish Government must use their powers to serve the people. The Scottish Parliament has unprecedented flexibilities on income tax—to set income tax rates and thresholds for earned income, including the ability to introduce new tax bands—so it is most unfortunate, and I suspect that many in the Chamber who represent seats in Scotland will be dismayed, that that power is being used to hike income tax on Scots in their constituencies and throughout Scotland. It is vital that the new powers are used to the greatest benefit in Scotland. I have heard much concern this afternoon about that not being the case from those on the Conservative Benches, who are rightly concerned that it is not the case.