Oral Answers to Questions
John Lamont Excerpts(2 weeks, 3 days ago)
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John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
The Parliamentary Under-Secretary of State for Scotland (Kirsty McNeill)
May I first pay tribute to the hon. Gentleman, my predecessor? I know that he will continue to represent his constituents assiduously from the Back Benches. Both the Secretary of State and I will be working closely with the Department for Transport and the Scottish Government to ensure that cross-border connectivity remains a top priority for this Government.
John Lamont
Extending the Borders railway line to Hawick and Newcastleton and then on to Carlisle will boost jobs, help the local economy and improve social mobility. The funding for the feasibility study was agreed by the last Conservative Government with the SNP Administration in Edinburgh, but the new Labour Government seem to have pushed this into the railway sidings. Will the Minister ensure that the funding for the feasibility study is released as soon as possible?
Kirsty McNeill
The UK Government are fully committed to the Borderlands growth deal. It will deliver economic growth for the south of Scotland and beyond, which is one of our key missions. The Scotland Office continues to work with the Department for Transport, the Scottish Government and Borderlands partners on the next stage of business case development for the Tweedbank-Carlisle corridor, and on feasibility options for the extension of the Borders railway line. Unfortunately, it is ultimately up to Transport Scotland and the Scottish Government to follow through on the delivery of this important project.
Oral Answers to Questions
John Lamont Excerpts(1 month, 3 weeks ago)
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John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
The trade union Unite has issued a joint letter from political leaders across the United Kingdom’s nations and regions opposing Labour’s cut to the winter fuel payment. That letter has been signed by every party at Stormont and by parties in Wales, and the Scottish Conservative leader Russell Findlay also signed it. Was the winter fuel payment even discussed at the Council of Nations and Regions?
Ian Murray
I thought that, with a full House, the shadow Secretary of State would have taken the opportunity to apologise for his Government not only crashing the economy, but leaving a £22 billion black hole. That is something this Government are determined to clean up. [Interruption.]
John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
The Secretary of State said at the weekend that the Labour Budget
“will herald an era of growth for Scotland”,
but what is going to grow? Is it the tax burden on hard-working Scots, the number of pensioners choosing between heating and eating because they have not got their winter fuel payments, or the number of Labour broken promises? Or will we get all three this afternoon?
Ian Murray
The hon. Gentleman had a second opportunity to apologise for the Conservative party crashing the economy, and the dreadful £22-billion black hole that we inherited, which was hidden from the Office for Budget Responsibility. I ask the shadow Secretary of State to reflect on that before he asks his questions. Of course, he will not have long to wait to find out, as the Chancellor will be here shortly.
John Lamont
There were no answers in that response. Not so long ago, the Secretary of State said that a national insurance rise would have “an enormous impact” on businesses. He also said that
“under Labour, National Insurance wouldn’t go up”.
Tax rises, economic damage and broken promises—are this Labour Government not just the same as the SNP?
Points of Order
John Lamont Excerpts(2 months, 1 week ago)
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The Secretary of State for Scotland (Ian Murray)
Further to that point of order, Mr Speaker. I know that colleagues from across the House will join me today in expressing our shock and sadness at the sudden passing of the right honourable Alex Salmond. He was a Member of this House for 25 years and of the Scottish Parliament for 11 years, and he was of course First Minister of Scotland for seven years. His impact wherever he served was profound.
My thoughts and sympathies are first and foremost with his family and friends and especially his wife Moira, who has already been mentioned. Members might not be aware that the Scotland Office brought Moira and Alex together; they met first as colleagues in that Department before marrying in 1981. My thoughts are also with those whose relationships with him had broken down in recent years and those who are finding this time difficult as they deal with a range of emotions.
It is no secret that some of his happiest periods as a politician were spent in this place, where he made alliances that may to some have seemed surprising. My thoughts today are particularly with the right hon. Member for Goole and Pocklington (Sir David Davis), who I know has lost a close friend, and with Alex’s SNP colleagues.
In the short period during which our careers in this place overlapped, I was always impressed with Alex’s formidable oratory and debating style. No Member from any part of this House was given an easy ride. He sat on the third Bench—where the leader of the SNP, the right hon. Member for Aberdeen South (Stephen Flynn) is today—during the passage of the Scotland Act 2016, chuntering and bantering in my ear every time I stood at the Opposition Dispatch Box. His love of lively discussion extended beyond this Chamber, and I was always keen to keep the topic on our shared passion for Heart of Midlothian football club, rather than constitutional matters.
It is impossible to overstate the impact that Alex had on Scotland and our politics. After half a century of involvement, from student activist to First Minister, whether you agreed or disagreed with his political objectives, there is no denying the rigour and commitment with which he pursued his goals. That commitment saw Alex lead the Scottish National party for a total of 20 years, taking it from a small political movement to the party of government in Scotland. In doing so, he secured a referendum on Scottish independence in 2014, an achievement that would surely have been scarcely believable for a student activist who joined the SNP in the early 1970s and perhaps even for the Alex Salmond who first led the party in the early 1990s.
As someone firmly on the opposite side of that debate, I know that the result of the referendum was a source of huge disappointment to Alex. It was testament to his conviction in the cause that he continued to campaign for Scottish independence with the same passion in Parliament, in the SNP, in the Alba party and in communities across Scotland throughout the past decade. He has left an indelible mark on Scottish politics and public life. I know that many in the independence movement and beyond will miss him. I once again send the deepest sympathies on behalf of the UK Government to all his family and friends at this difficult time.
John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
Further to those points of order, Mr Speaker. On behalf of the Opposition, I would also like to pay my tribute to the right honourable Alex Salmond. As others have said, despite political differences, we were all shocked and saddened to hear the news on Saturday of Alex Salmond’s sudden passing. He and I were both elected to the Scottish Parliament in 2007, and although we disagreed on many of the big issues of the day, not least the question of independence for Scotland, we all respect his dedication to public service as a Member of the Scottish Parliament, a Member of Parliament and as First Minister of Scotland. He was passionate, formidable, impressive and hugely charismatic. Alex Salmond was undoubtedly a giant in Scottish and United Kingdom politics. My sincere sympathies go to his wife Moira and to his wider family, in particular his sister Gail, who lives in Hawick in my constituency in the Scottish Borders. My thoughts and prayers are with them all.
Mr Alistair Carmichael (Orkney and Shetland) (LD)
Further to those points of order, Mr Speaker. Alex Salmond was not just a parliamentary colleague of mine; for a number of years, when we lived in Aberdeenshire, he was also my own Member of Parliament. I confess that I never actually voted for him, but that did allow me to see, and hear from all those who dealt with him in the north-east of Scotland, that he was genuinely a byword for energy and commitment in representing the interests of his Banff and Buchan constituents.
It was not until I was elected here in 2001 that I got to know Alex personally. He and I both represented constituencies heavily dependent on the fishing industry, which was then facing an existential crisis, as cod stocks in the North sea collapsed. At that time, we all had to be experts in the spawning stock biomass of North sea cod, and Alex, with his natural head for figures, could sometimes leave everyone in the room breathless as he interrogated the so-called experts about the statistical basis of what they were proposing to do. The survival of a Scottish whitefish industry today is in no small part as a result of his efforts then.
It was also in that first Parliament that I met and got to know Alex’s wife Moira. I do not think it is speaking ill to say that Alex could divide a room; Moira, on the other hand, is someone about whom I have never heard anyone say a bad word. She has always been unfailingly warm and friendly. Her devotion to Alex was total and obvious to me from the first moment I met her. So it is to Moira Salmond today that my thoughts turn. I can hardly imagine the sense of loss that she must be feeling. To Moira and the rest of Alex’s family I send my condolences and those of my party as we mourn the passing of Alex Salmond—a man whose like we may never see again.
Draft Social Security (Scotland) Act 2018 (Disability Assistance) (Consequential Modifications) Order 2024
John Lamont Excerpts(2 months, 1 week ago)
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John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
It is a pleasure to serve with you in the Chair, Mr Efford.
As we have heard, the main purpose of the order is to make consequential amendments to UK legislation to ensure that recipients of the pension age disability payment—the Scottish Government’s devolved benefit that will replace attendance allowance—are treated in the same way as those in receipt of attendance allowance in respect of reserved benefits and for tax purposes. For example, receipt of pension age disability payment will passport a person to an additional amount in pension credit in the same way as attendance allowance does.
As proposed by the Scottish Government, the pension age disability payment will operate in a broadly similar way to attendance allowance. I am pleased that the Scottish Government and the UK Government have worked together to deliver the pension age disability payment. I know a little bit about the work to prepare this from my time in the Scotland Office, and I pay tribute to the officials in the room today who have done a huge amount of work behind the scenes to get us to this point. The credit for the hard work that has been done to deliver the order should rest with the officials, I would suggest, rather than any politician in this room.
I am happy to confirm that the Opposition will support the order today. However, although it is uncontroversial, there are questions about how the pension age disability payment might interact with reserved matters should the rules diverge from those for attendance allowance in the future. As with other devolved benefits, the Scottish Government have ruled out significant changes to the pension age disability payment eligibility rules until the process of moving attendance allowance claimants in Scotland over to the new benefit is complete. This is known as case transfer. I welcome it, and the Scottish Government intend to complete case transfer to pension age disability payment by the end of 2025. However, once case transfer is complete, it is possible that the eligibility criteria for the pension age disability payment could diverge from those for attendance allowance.
That point was highlighted at a recent meeting of the Scottish Parliament’s Social Justice and Social Security Committee. There was a discussion about the risk of divergence in terms of continued access to reserved passported benefits for pension age disability payment recipients. The DWP told the Committee that it would find a way to ensure that people receive their entitlements to reserved benefits. The Scottish Government’s Cabinet Secretary raised the possibility in future of making substantial changes to any of the disability benefits that would greatly increase the number of people who were eligible in Scotland who would not be eligible in the rest of the United Kingdom. In these circumstances, the Scottish Government would be asking the DWP to pay out benefits that would not be paid to people in a similar situation in England.
It would be for the UK Government and DWP to decide what to do. Has this been considered by the Minister and his DWP colleagues? Would extra capacity at DWP be required to handle such claims? Would there be another application form or type of assessment required to make a determination for such applicants? These are legitimate questions about how the two systems will match, so I would be grateful if the Minister could deal with them. I welcome the order and am happy to confirm the Conservative party’s support for it.
Oral Answers to Questions
John Lamont Excerpts(3 months, 2 weeks ago)
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John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
I, too, start by congratulating both Ministers on their appointment to the Scotland Office. I loved my time at the Scotland Office, and I know they will be very well supported by the Department’s excellent team of officials, some of whom are in the Box today.
Labour plans to end the winter fuel payment, taking money away from elderly people who have worked all their days. Age Scotland has said:
“At minimum, a quarter of a million pensioners in Scotland on the lowest incomes or living in fuel poverty will no longer receive this vital financial support over the winter months, while hundreds of thousands more on modest incomes are going to struggle”.
Labour has cut the winter fuel payment across the UK, and the SNP is doing Labour’s dirty work in Scotland. What does the Minister have to say to the 250,000 elderly Scots who are in poverty and struggling with the decisions of Labour and the SNP?
Ian Murray
I welcome the shadow Secretary of State to his new post.
During the inheritance statement a few weeks ago, the Chancellor set out how the current Government are fixing the foundations and trying to clear up the dreadful legacy left by the Government of which the hon. Gentleman was a member. The Chancellor did not want or expect to make these decisions, but they had to be made to try to get the finances in balance and to make sure that we can fix the foundations to deliver on our manifesto. That is the legacy of the previous Government and, as I said in my previous answer, the SNP has made a mess of the public finances over the last 17 years. As we saw in the Scottish Parliament yesterday, the SNP has one hell of a mess to clear up, and it is Scottish pensioners and the Scottish people who will pay the price.
John Lamont
Labour is taking a leaf from the SNP playbook by refusing to take responsibility for its own actions. This is happening because of choices made by this Labour Government that have been passed on by the SNP in Edinburgh. Labour’s election slogan was all about change and, under this Labour Government, pensioners do not seem to have any change to spare. A woman called Lesley told Age Scotland that the winter fuel payment
“is literally a life saver for us.”
Another person, Brian, told Age Scotland:
“I would freeze without it, or go hungry.”
Is this the change that Labour meant—taking money away from struggling pensioners?
Ian Murray
There seems to be no recognition or apology from the shadow Secretary of State for the legacy his party has left this Government to try to clear up. We knew about the massive overspend in public services by the previous Government, and the audit the Chancellor did in her first weekend in office revealed the £22 billion black hole. These things have to be fixed. We did not expect or want to make such tough decisions, but we have had to make them to fix the foundations of our economy.
John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
The Rosebank oilfield will provide more than £6 billion of investment in UK-based businesses. The Jackdaw oilfield will cater for the energy needs of 1.4 million UK households. This Labour Government are jeopardising all that investment, energy and jobs by dropping the UK Government’s opposition to the judicial review, which aims to block these vital energy projects. Can the Secretary of State seriously tell the 90,000 people whose jobs rely on oil and gas in Scotland that the future of this crucial industry is secure under Labour, when it is his Government’s policy to oppose all new developments?
Ian Murray
I thank the shadow Secretary of State for his question, but he should stop scaremongering, given the 90,000-strong workforce in the North sea. Oil and gas will be with us for decades to come. The Finch decision, to which he refers, was something that this Government had to consider very carefully. The Secretary of State has started a consultation on consenting, which will affect Jackdaw and, indeed, Rosebank, and that should conclude within the next six months.
Constitutional Law
John Lamont Excerpts(7 months ago)
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The Parliamentary Under-Secretary of State for Scotland (John Lamont)
I beg to move,
That the draft Scotland Act 1998 (Increase of Borrowing Limits) Order 2024, which was laid before this House on 17 April, be approved.
I am grateful for the opportunity to debate this order, which is the result of collaborative working between the two Governments in Scotland and upholds the 2023 fiscal framework agreement. This order will increase the Scottish Government’s cumulative capital and resource borrowing limits to reflect inflation. The order is made under sections 67 and 67A of the Scotland Act 1998, which set out the amounts that can be borrowed under section 66. We are making this order with the Treasury’s consent, as required in those sections.
Scotland Act orders are a demonstration of devolution in action, and I am pleased to say that the Scotland Office has taken through more than 250 orders since devolution began. The 2023 agreement set out that the annual limits for capital and resource borrowing will increase in line with the Office for Budget Responsibility’s GDP deflator forecast at the time of the Scottish Government’s draft budget. The United Kingdom Government agreed, in the 2023 agreement, to amend the Scotland Act to increase these limits as necessary.
Angus Brendan MacNeil (Na h-Eileanan an Iar) (Ind)
What are the spending limits on the UK Government? Is it not the case that the UK Government have balanced their books in only 11 years since 1945, and have paid back only about 1.7% to 2% of the debt accrued, if that? It is entirely erroneous to try to put shackles on the Scottish Government and what the Minister often calls the most powerful devolved Parliament in the world. Scotland should be going in the same direction as any normal country, and towards independence.
John Lamont
This Conservative Government have prudently managed this country’s finances, unlike the Scottish Government, who continue to slash frontline public services across Scotland, despite a record-breaking block grant from the UK Government. Those spending choices were, of course, made by the SNP, rather than the UK Government. This order will increase the resource-borrowing limit by £29 million, from £1.75 billion to £1.78 billion, and the capital-borrowing limit by £50 million, from £3 billion to £3.05 billion. The exact figures are set out in the order we are considering. The timing of this order gives the Scottish Government certainty over the cumulative borrowing limits for the 2024-25 financial year. It is important to note, however, that the Scottish Government still remain accountable to the Scottish Parliament and the people of Scotland in how they choose to use these increased borrowing powers.
Angus Brendan MacNeil
Is it not a fact that had the recent blood scandal happened only in Scotland, the Scottish Government would not have had the means to do anything that might be asked of them, because of all these spending restrictions and the handcuffs put on them by Westminster? Are these real-world events not another reason that the Scottish Government should not be a hostage of the UK Government, as they or any Scottish Government are under the devolved set-up?
John Lamont
The hon. Member and his hon. Friends on the nationalist Benches continue to obsess about independence, but he seems to forget that the people of Scotland had their say back in 2014 and voted in record numbers to remain part of a strong United Kingdom. I suggest that SNP Members focus on delivering for frontline services in Scotland by supporting our NHS, schools and transport networks and get on with the day job of governing Scotland, rather than talking perpetually about referendums and independence.
In summary, the order amends UK legislation to increase the cumulative borrowing limits of the Scottish Government ahead of the next financial year. In doing so, the UK Government uphold their commitment to the 2023 agreement and deliver for the people of Scotland. It is positive to see both Governments working together. On that note, I commend the order to the House.
John Lamont
I am grateful to hon. Members for their important contributions to the debate. A number of Members expressed surprise that we are having this debate. I am surprised by their shyness and reluctance to come to the mother of Parliaments to debate this important matter. We are here on behalf of our constituents to talk about how additional resource will be allocated to people in Scotland. We should all welcome that rather than being slightly uncertain about it. I am certainly relishing the opportunity to talk from the Dispatch Box about the additional resource that the people of Scotland, including those in my constituency, will get.
Alison Thewliss
The Minister is talking about additional resource, but he cannot deny that there has been massive inflation in construction costs as a result of Brexit, covid and his previous Prime Minister. In that spirit, will he address the problems that have been caused by his Government, and will he commit to the extra £25 million needed for Windmillcroft Quay, the Citizens Theatre and the Govanhill baths in Glasgow, which have all seen huge inflation in construction costs?
John Lamont
I am grateful to the hon. Member for making that point, and I will come to some of the allegations made about Scotland’s budget shortly.
The hon. Member for Glasgow South made a number—[Hon. Members: “Edinburgh South!”] My apologies. The hon. Member for Edinburgh South (Ian Murray) made a number of points about how annual limits are calculated. Annual limits are calculated in accordance with the 2023 agreement and are based on the OBR’s GDP deflator forecast at the time of the Scottish Government’s draft budget. I can confirm that the GDP deflator used to calculate the new limits for this order was 1.677%.
Let me respond to the other questions asked by the hon. Member for Edinburgh South. Some £1.76 billion of the national loans fund long-term loan remains outstanding and counts against the £3 billion statutory limit, including the £300 million borrowed in March 2024. I will write to him on his other points. He made a general point about the levels of Government debt, but we should not forget that the reason we have such significant debt is the huge interventions that the Government made to support jobs and communities during the pandemic. Had we not made those interventions to support jobs, including in the hon. Member’s constituency of Edinburgh South, many people would be out of work and many more businesses would have struggled to survive the pandemic. If he and Labour Members are now saying they were opposed to those interventions, I think our constituents would want an explanation of why they would not want a Government to make those types of interventions to help during a pandemic. From my experience of my own constituency, I know that the furlough scheme, for example, and the huge amount of additional support that went in to support businesses were very much welcomed, but Labour Members now seem to be opposed to those things.
The hon. Member for Edinburgh East (Tommy Sheppard) suggested that this agreement has in some way been imposed on the Scottish Government. That is just not the case: it is a great example of both Governments working together, both at an official level and at a ministerial level. Again, the two Governments in Scotland working collaboratively to deliver for the betterment of our country is something that all of our constituents would expect to see, and would very much welcome.
Tommy Sheppard
All I am trying to establish is whether the UK Government are telling us that the quantum of these borrowing limits is to be agreed between the UK Government and the Scottish Government, or whether in law, that figure is determined by the UK Treasury. Which is it?
John Lamont
I could not be clearer that this is an example of both Governments working together to agree what is in the best interests of Scotland. It is now for the Scottish Government to decide how they use those additional spending and borrowing powers.
A number of hon. Members have suggested, both in speeches and in interventions, that the UK Government have in some way cut the capital budget for Scotland. The SNP has cut its own budgets by wasting so much taxpayers’ money on failed projects in Scotland. [Interruption.] Hon. Members scoff from a sedentary position, but the SNP spent more on trying and failing to build two ferries than it claims it would cost to set up a whole new state when it is proposing an independent Scotland. They have also suggested that the UK Government have cut Scotland’s overall budget, but Scotland’s block grant is at a record high. However, the SNP Scottish Government have hugely cut local government funding, which is impacting frontline services the length and breadth of Scotland—that is the cut that SNP Members should be talking about. A spokesman for the Convention of Scottish Local Authorities said that the SNP’s last budget was
“not a good budget for Scottish local government”.
I could happily put SNP Members in touch with that spokesperson, but I suspect that they are already in touch with that person, given that those were the words of an SNP councillor. Even their own side are complaining about the level of funding that the SNP is giving to local councils across Scotland.
To conclude, this order demonstrates the continued commitment of this United Kingdom Government to work with the Scottish Government to deliver for the people of Scotland and maintain a functioning settlement for Scotland. On that basis, I commend it to the House.
Question put and agreed to.
Resolved,
That the draft Scotland Act 1998 (Increase of Borrowing Limits) Order 2024, which was laid before this House on 17 April, be approved.
Business of the House (Today)
Ordered,
That at this day’s sitting, the Speaker shall put the Questions necessary to dispose of proceedings on the Motion in the name of Secretary Mark Harper relating to the High Speed Rail (Crewe - Manchester) Bill: Instruction (No. 3) not later than 90 minutes after the commencement of proceedings on the Motion for this Order; such Questions shall include the Questions on any Amendments selected by the Speaker which may then be moved; proceedings on that Motion may continue, though opposed, after the moment of interruption; and Standing Order No. 41A (Deferred divisions) shall not apply.—(Penny Mordaunt.)
Oral Answers to Questions
John Lamont Excerpts(7 months, 2 weeks ago)
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Richard Thomson (Gordon) (SNP)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
I am in touch with Home Office Ministers regularly to discuss immigration matters that affect Scotland. This Government have youth mobility schemes agreed with 13 countries and we remain open to new arrangements with our international partners, including individual EU member states.
Alyn Smith
I have to say that I am bemused by that answer. I will never shake in my view that Brexit was an act of gross harm against the next generation, particularly in Scotland, where we rejected it. But we are where we are, and the EU has offered the UK a comprehensive youth mobility scheme up to the age of 30 for four years. That strikes me as a fantastic deal. Scotland wants to do it, so why is the Minister so keen to hold Scotland back? But my actual question is: is he as delighted as I think he must be that the Labour party completely agrees with him?
John Lamont
The hon. Member and the SNP continue to obsess about Brexit and the decision of the United Kingdom to leave the European Union. This Government are absolutely committed to offering young people opportunities to travel around the world during their education, as demonstrated through our association with the Horizon scheme and through the Government’s Turing scheme.
Anne McLaughlin
The youth mobility scheme would allow young people in my constituency of Glasgow North East and across Scotland to participate in youth exchanges, work, study and travel across Europe. The Minister got to do that. Is his message to my constituents that this freedom was for the likes of him, but not for the likes of them?
John Lamont
The UK Government currently operate 13 successful bilateral youth mobility schemes with international parties. The countries with which we already have arrangements include Andorra, Australia, Canada, Hong Kong, Iceland, India, Japan, Monaco, New Zealand, San Marino, South Korea, Taiwan and Uruguay. [Interruption.] SNP Members may scoff at these countries, but these countries are offering unique opportunities for Scots to travel internationally and to learn, as many of us did as well.
Richard Thomson
Anyone in Scotland watching this will be incredibly disappointed with the responses that we have had from the Minister to date. In March 2021, the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) said on BBC Scotland that young people were not reaping the benefits of Brexit. I do not often agree with my constituency neighbour in the south, but he was absolutely right then and he is still absolutely right now, is he not?
John Lamont
The biggest obstacle to opportunities for young people in Scotland is the SNP Government. By restricting the number of places for Scottish students at Scottish universities so heavily, the Scottish Government seem intent on driving young people out of our country.
Kevin Foster (Torbay) (Con)
Having been involved in running a number of our youth mobility schemes, I am fairly familiar with the concepts that they involve, such as capped numbers; reciprocity—the idea that we do not have a large flow one way without it happening the other way; limited terms; no access to the welfare system; and the fact that people cannot take dependants with them given their temporary status. Will the Minister assure me that we will maintain the position that we had under the former Prime Minister, Boris Johnson, that we will do this where it is in the UK’s economic interest and where we know that the main drivers of issues such as immigration abuse do not exist? That is why we have the schemes that we do with Australia, Canada and New Zealand, and why we should maintain that open approach.
John Lamont
I pay tribute to my hon. Friend for his work in this area and his continued interest in it. The Government have made it absolutely clear that we have no plans to agree an EU-wide youth mobility scheme for the reason that he has highlighted, but we are open to negotiating with individual member states individual arrangements that suit the United Kingdom and Scotland.
Liz Twist (Blaydon) (Lab)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
This Government have demonstrated their commitment to supporting households across the United Kingdom and in Scotland with the cost of living, with a £108 billion package of support—one of the largest in Europe. Inflation is now at 3.2%, which is less than half its recent peak, and is expected to fall to its 2% target one year earlier than expected.
Liz Twist
According to the Scottish Parliament’s own research as well as the Fraser of Allander Institute, the Scottish Government’s child poverty targets for 2023-24 are not set to be met. Given the dereliction of their net zero targets and the widening attainment gap, does the Minister agree that the Scottish Government have given up on governing and given up on the future of Scottish children?
John Lamont
I agree with the hon. Member: the SNP gave up governing in Scotland a long time ago thanks to its continued obsession with independence and referendums. The UK Government remain committed to supporting households across Scotland, demonstrated through our 6.7% increase in working age benefits, our maintaining the triple lock for 12 million pensioners and our cut to national insurance.
Michael Shanks (Rutherglen and Hamilton West) (Lab)
I wish Humza Yousaf well for the future, but after his year in office, nobody in Scotland is better off, and that is coupled with our having a Prime Minister who is clinging on to power. Child poverty is up. Life expectancy is falling. NHS waiting lists are up. Drug deaths are up. Homelessness is up. Economic growth has flatlined. Is it not the inescapable truth that Scots have been failed by two Governments for far too long? Does the Minister agree that what Scotland needs now is to be rid of both these distracted, incompetent and hopelessly out-of-touch Governments?
John Lamont
I certainly agree that the SNP Government have not been focused on the day job. They have been neglecting Scotland’s schools, NHS and transport network. They have not been getting on with the day job, but the harsh reality is that whoever is elected to replace Humza Yousaf as First Minister will still have the same obsession with independence and referendums.
John Stevenson (Carlisle) (Con)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
The Government’s assessment is that our internal market is the essential basis on which businesses are able to trade freely across the United Kingdom, minimising red tape and maximising opportunities. In Scotland, 60% of outgoing trade is with the rest of the United Kingdom—more than with the rest of the world combined.
John Stevenson
The internal market is beneficial for all parts of the United Kingdom. It is, however, more important to those areas where there is a border. Does the Minister therefore agree that the internal market should be very helpful in maintaining and developing economic activity in the borderlands area, and will he consider a second borderlands growth deal, which would certainly help the area on both sides of the border?
John Lamont
My hon. Friend is absolutely right: the UK’s internal market is essential to promoting economic activity, ensuring that businesses in the borders—in my constituency, in Carlisle and beyond—benefit from frictionless trade with the rest of the United Kingdom. The borderlands growth deal, which includes a £265 million investment from the UK Government, was signed in July 2021, and is developing a range of projects to further boost economic growth.
Angus Brendan MacNeil (Na h-Eileanan an Iar) (Ind)
When the BBC has the headline on its webpage, “Why has Ireland got so much surplus cash?” is it not clear that the reality is that independent Ireland is more successful in the European and world markets than Scotland, trapped in the UK? Ireland has a surplus of £8.6 billion to spend on its society. The UK has a deficit and cuts, which are hurting people. Will the Minister remind us of the size of the UK deficit?
John Lamont
I am very clear that Scotland is better served by being at the heart of a strong United Kingdom. The spending figures of the Scottish Government are very clear, in terms of their dependency on Scotland being part of the UK to support vital public services like the NHS, schools and the transport network.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
Water quality policy is devolved in Scotland. The Scottish Government are responsible for biodiversity in rivers and streams in Scotland, not the United Kingdom Government. It is for the Scottish Government to take action in this vital area.
Mr Sheerman
Is it not the truth that Scottish waters, streams and rivers are purer and cleaner because the Scottish people rejected the privatisation of water and, led by Scottish Labour, made sure that we had Scottish water in the public realm and delivered clean water for everyone?
John Lamont
The hon. Member is absolutely wrong. According to a recent report, untreated sewage has been released into Scottish waters and seas more than 58,000 times over the past five years, but only 4% of sewage overflows in Scotland are required to be monitored, unlike in England and Wales, where nearly 100% are monitored, thanks to the efforts of this Government. Unlike this Government, the Scottish Government and Scottish Water are failing to take tough action to monitor sewage overflows and protect our very important waterways.
Jerome Mayhew (Broadland) (Con)
Oral Answers to Questions
John Lamont Excerpts(9 months, 2 weeks ago)
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Stephen Morgan (Portsmouth South) (Lab)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
We prioritised bringing inflation down, which is the key to reducing cost of living pressures. We delivered on the Prime Minister’s promise by more than halving it. In addition, the UK Government supported households with a package worth £104 billion—or, on average, £3,700 per household across the United Kingdom, including in Scotland.
Alex Cunningham
Families in my homeland are reeling from the cost of living crisis, as both the Tory UK Government and the SNP Scottish Government have jointly loaded them with the highest tax burden in 70 years. Does the Minister agree that it is time both Governments stopped going round in circles, left the dance and cleared the floor for Labour Governments to sort out their sorry mess?
John Lamont
I do not agree with the hon. Gentleman’s conclusions. Thanks to this Government, 2.4 million workers in Scotland benefited from £340 back in their pockets thanks to the national insurance cuts in January. However, I do agree with him in not agreeing with the SNP Government’s approach to tax, making Scotland the highest-taxed part of the United Kingdom.
Rachel Hopkins
Scottish rail fares are set to rise by 8.7% next month. This eye-watering fare hike will hit Scots hard during a cost of living crisis and push Scotland’s rail service into a spiral of decline. Does the Minister agree that we need affordable fares to help people through the cost of living crisis and encourage more people to travel by train?
John Lamont
I certainly agree that we should do all we can to encourage people to travel by train. The Scottish Government’s approach to ScotRail might discourage that. I am happy to meet the hon. Member to discuss that further.
Stephen Morgan
Recent findings from the Trussell Trust have revealed that 32% of people claiming universal credit in Scotland have fallen into debt because they could not pay essential bills. Does the Minister agree that the people of Scotland and the people of Britain should not be made to pay for SNP and Tory failures?
John Lamont
In 2021-22, there were 1.7 million fewer people in absolute poverty after housing costs than there were in 2009-10, including 400,000 fewer children. This Government are certainly taking lots of action to address poverty, and particularly in-work poverty. But I agree that making Scotland the highest-taxed part of the UK does not help with that.
John Stevenson (Carlisle) (Con)
Does the Minister agree that putting up taxes as the SNP is doing at present will do nothing to help with the cost of living? Does he further agree that if it continues on that trajectory, more and more Scots will want to leave and come to places such as Carlisle, where of course they will be very welcome?
John Lamont
Due to the SNP’s tax rises in Scotland, anyone earning more than £28,867 will pay more income tax than those living in England. From my own experience representing a Borders constituency, I see increasing evidence of people choosing to live south of the border rather than in the high-tax Scottish jurisdiction. In my discussions with science, technology, engineering and maths businesses, I find that they are finding it increasingly difficult to recruit in Scotland because of the aggressive high-tax policies of the SNP.
Ian Murray (Edinburgh South) (Lab)
Regardless of what the Chancellor announces today, we are in the highest tax-raising Parliament in history, which is a consequence of the Minister’s Government’s failure over 14 years. Ordinary hard-working Scots did not cause this economic crisis—the Government did—but they are being made to pay for it. There have been 25 Tory tax rises since the last election, and the average family is much worse off as a result. Does the Minister agree with the Institute for Fiscal Studies that even after today’s Budget the overall tax burden on working people will still reach record levels?
John Lamont
Clearly, I will not speculate on what the Chancellor will announce shortly. I remind the hon. Gentleman that 2.4 million workers in Scotland have benefited from £340 going back into their pockets thanks to the changes to national insurance that have already been announced.
In relation to the hon. Member’s wider points about the tax burden, we should not forget the huge interventions that the Government made to support workers, families, communities and businesses during the pandemic. As a consequence, we are having to repay that, but that saved jobs and many businesses from going under during the covid pandemic.
Ian Murray
Regardless of what the Chancellor says today, working people will still be paying a much higher tax burden at the end of this Parliament, and it will reach record levels. Shockingly, the tax burden in Scotland is even higher. Anyone in Scotland earning more than £29,000 a year will pay more income tax after the SNP voted for yet another tax rise on working people. That means we are in the absurd position in Scotland of the SNP raising taxes on nurses and teachers while opposing Labour’s plan for an extended windfall tax on the oil and gas giants. We even hear that the leader of the Scottish Conservatives threatened to resign last night on potentially another U-turn from the Chancellor on the windfall tax. Does the Minister accept that the best thing to happen now would be for this circus to be brought for an end and for the Prime Minister to call the election?
John Lamont
As I said, I will not speculate on the contents of the Budget. But when the election comes, Scotland’s voters will have a clear choice: a party who will stand up for Scotland’s place in a strong United Kingdom, or the Scottish National party, who wants another referendum. I am unclear what the Labour party has to offer.
Mr Alistair Carmichael (Orkney and Shetland) (LD)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
We want all farmers to get a fair price for their products. The Government have committed to tackling contractual unfairness in the agrifood supply chain. We will use the powers in the Agriculture Act 2020 whenever necessary. At the National Farmers Union conference, the Prime Minister announced that the UK Farm to Fork summit will be an annual event. That will help to strengthen joint working by Government and external partners to support a prosperous agrifood sector.
Mr Carmichael
The Minister should be aware that his colleagues in the Department for Environment, Food and Rural Affairs have recently concluded a consultation on contractual relationships in the fresh produce industry. At a time when 23% of dairy farmers doubt that they will continue in business into 2025, will he impress on his colleagues in DEFRA and the Department for Business and Trade that urgent action is needed in relation to that consultation?
John Lamont
As the son of a Borders farmer, I completely understand the invaluable work that farmers and crofters do to put food on tables across Scotland and the United Kingdom. This Government will continue to support the agriculture and food production sector. Scotland Office Ministers regularly attend the inter-ministerial group for environment, food and rural affairs, along with representatives from the devolved Administrations. This group oversees how changes to price, supply and trade affect our markets. We will continue to take whatever action is necessary support that important sector.
Cat Smith (Lancaster and Fleetwood) (Lab)
Richard Graham (Gloucester) (Con)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
The Government are firmly committed to supporting Scotland’s marine energy sector to grow. Around 80% of tidal stream contracts awarded through contracts for difference in the last two rounds will be deployed in Scotland. In addition, Horizon Europe selected two Scottish-based UK tidal stream developers to deliver projects in Orkney. They will lead construction on two £17 million projects, funded by the UK Government’s financial guarantee.
Richard Graham
The Minister knows that successive Energy Ministers have hugely helped the development of the marine energy sector in Scotland, as elsewhere in the United Kingdom. Does my hon. Friend agree that there is an opportunity in the next round of the renewables auction to allow for wave technologies alongside tidal stream technologies? Will he encourage the Scottish Government to speed up approvals of sites to get great green energy projects started as soon as possible in Scotland, as elsewhere?
John Lamont
I am grateful for that important question. The Government are undertaking analysis of the technology pipeline available for contracts for difference auction round 6 against our legal obligation to ensure that the auction round is competitive. We are considering the appropriate parameters for all technologies, including tidal stream and wave energy. The final parameters will be published in the budget notice this month, ahead of the auction round opening.
Dave Doogan (Angus) (SNP)
The Seastar tidal farm off the coast of Orkney is set to be the largest tidal energy farm anywhere in the world, and it was supported by EU funding through the European Marine Energy Centre. This comes after Edinburgh University’s report found that the UK Government could save hundreds of millions of pounds by bringing forward the development of tidal by years, if it worked more closely with its EU partners. It is clear that the EU’s role in this in Europe and around Scotland is very important, so if Scotland is better together with anyone, is it not better together with the EU and its investment in tidal?
John Lamont
What a load of nonsense. Scotland is much better served by being part of the United Kingdom, and we will continue to support all renewable energy sectors, including tidal.
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
The Parliamentary Under-Secretary of State for Scotland (John Lamont)
The Government recognise the invaluable job that all NHS workers do; I see that every day of the week in my constituency in the Scottish Borders. That is why the Secretary of State for Health and Social Care has written to the Scottish Government about working together to reduce patient waiting times. We continue to be open to exploring that further.
Jamie Stone
I have a lady constituent who suffers from a rare and dangerous condition called subglottic stenosis. Only one clinic has the expertise to treat the condition, and it is in London, yet our local health board is refusing to refer her. It says that it can offer another treatment, but it is thought to be less safe and possibly not very effective. What steps are the Government taking to ensure that patients, regardless of which side of the border they live on, get the best possible treatment?
John Lamont
I am regularly reminded, particularly as an MP for the Borders, of the need for healthcare to benefit people on either side of the border, particularly through cross-border working with the NHS. Local people in the Borders often get treatment faster and more easily because of that. Sadly, the hon. Member has highlighted a real problem with Scotland’s NHS, thanks to the mismanagement by the SNP Government in Edinburgh, particularly in rural health services. He has identified a very distressing case for his constituent and I am very happy to write to the Scottish Government, along with him, to raise the case with them.
Theresa Villiers (Chipping Barnet) (Con)
Scotland
John Lamont Excerpts(11 months ago)
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John Lamont
We are also supporting pensioners by maintaining the triple lock. The basic state pension, new state pension and pension credit standard minimum guarantee will be uprated in April 2024 by 8.5%, in line with the average earnings growth between May and June 2023.
[Official Report, 9 January 2024, Vol. 743, c. 65WH.]
Letter of correction from the Under-Secretary of State for Scotland, the hon. Member for Berwickshire, Roxburgh and Selkirk (John Lamont):
An error has been identified in my closing speech. The correct response should have been:
John Lamont
We are also supporting pensioners by maintaining the triple lock. The basic state pension, new state pension and pension credit standard minimum guarantee will be uprated in April 2024 by 8.5%, in line with earnings growth in the year to May-July 2023.
Cost of Living in Scotland
John Lamont Excerpts(11 months, 1 week ago)
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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.
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The Parliamentary Under-Secretary of State for Scotland (John Lamont)
It is a pleasure to serve with you in the Chair, Ms Vaz. I begin by congratulating the hon. Member for Glasgow East (David Linden) on securing this important debate on the cost of living in Scotland. The United Kingdom Government fully recognise the challenges and pressures facing households due to the higher cost of living. We are have taken decisive action to protect struggling families, with the largest support package in Europe.
In total, Government support across the UK to help households with higher bills has been worth £104 billion, an average of £3,700 per household, including households in Glasgow and across Scotland. The UK Government reacted quickly to protect energy consumers, maintain continuity of supply and stabilise the markets, when unprecedented increases in wholesale energy costs from mid-2021 caused significant volatility in energy retail markets. The energy price guarantee and the energy bill support scheme covered around half of a typical household energy bill over winter 2022, and by the end of June 2023, had saved a typical household around £1,500. Businesses across the UK have also received support through the energy bill relief scheme and the energy bills discount scheme.
Wholesale energy prices have now significantly fallen, with the average annualised household energy bill in quarter four of 2023 falling from EPG level of £2,500 in 2022, to £1,834 in 2023, under the Ofgem price cap. The price cap will increase by 5% to £1,928 in the first quarter of 2024, and is expected to fall back to around £1,800 for the rest of 2024.
Hon. Members will be aware that tackling high inflation remains a core priority for the Prime Minister and the UK Government. At its peak, inflation was 11.1%, and that hit families and businesses alike. We remain committed to the challenge, and the latest Office for National Statistics data shows that we have reduced inflation to 3.9%, which is good news for everyone in Scotland and across the UK. When inflation is low, it helps people and businesses to better plan their spending and investments. In turn, that helps the economy to grow by creating jobs and prosperity, which is a key priority for the Government.
Christine Jardine (Edinburgh West) (LD)
So many of my constituents are concerned about the cost of living and how they are going to afford it. Age Scotland says that 50% of people over 50 in Scotland have seen their standard of living decrease. Does the Minister agree that the answer is not constitutional change, but a change of Government?
John Lamont
The hon. Member will have heard about the measures that the UK Government have put in place to support all households with the rising cost of living, including the older groups that she identifies. As Members of Parliament, we all recognise the challenges that our constituents face with rising bills, but what they do not need is the reopening of the constitutional debate in Scotland. They do not need independence for Scotland; they want both of Scotland’s Governments to focus on the challenges that households face not just in her constituency in Edinburgh or in my constituency in the borders, but across Scotland.
This Government passionately believe that the best way to improve living standards in the long term is to get more people into higher-paid jobs, which is why it is so encouraging to see the employment rates in Scotland. The number of payrolled employees in Scotland hit a record high of 2.45 million in November 2023, and the unemployment rate remains below the UK average. This includes the area represented by the hon. Member for Glasgow East, Glasgow city, where the number of people in employment has increased by nearly 18,000 pay-rolled employees since the start of the pandemic to a new record high of over 275,000.
It is not just about getting people into work, but about ensuring that it pays to work. That is why the Government will increase the national living wage by 9.8% to £11.44 an hour and increase the national minimum wage by 14.8% to £8.60 an hour, benefiting around 200,000 people in Scotland. However, we recognise that short-term cost of living pressures remain and particularly impact on vulnerable groups. In addition to UK-wide support for all households, the Government have deployed specific, targeted financial support and tailored interventions to help those most in need. For example, around 680,000 low-income and vulnerable households in Scotland have received additional support through the cost of living payment scheme, with millions more households also benefiting in other parts of the country.
John Lamont
As you have already pointed out, Ms Vaz, we are expecting votes shortly. I am keen to cover the key points in response to the points already made during the debate, so I am not going to give way.
In the constituency of the hon. Member for Glasgow East, around 21,200 means-tested cost of living payments have been made to date, with about 18,200 individuals already eligible for disability payments. Nearly 12 million pensioners across the UK have received additional financial support of up to £600 to heat their homes over the winter. We are also supporting pensioners by maintaining the triple lock. The basic state pension, new state pension and pension credit standard minimum guarantee will be uprated in April 2024 by 8.5%, in line with the average earnings growth between May and June 2023. We have also introduced new local housing allowance rates, which will come into force in April this year. That will help to boost those who are most in need, with more than 92,000 households in Scotland £800 better off per year as a result.
Overcoming the cost of living pressures facing our communities requires collective action from us all in Government, which is why we have provided the Scottish Government with the necessary levers to play their part. The UK Government have topped up the record block grant from the previous spending review with an additional £2.4 billion as a result of the decisions taken across three fiscal events. The Scottish Government receive about 25% more per person than equivalent UK Government spending in other parts of the United Kingdom, and that translates into about £8.5 billion more per year on average. The renewed Scottish fiscal framework, as agreed by both Governments, provides the Scottish Government with greater certainty and enhanced budget management flexibility to meet the expectations of devolved public services and local communities.
It is also important for us to remember the tools the Scottish Government have at their disposal under the devolution settlement. As well as control over local taxes and most rates and thresholds of income tax, the Scottish Government have responsibility for stamp duty land tax and landfill tax. About a third of their budget is self-funded, so they have significant control over their income generation and spending. Although this is a matter for the Scottish Government, I encourage them to use the tools and levers at their disposal to complement the existing cost of living support delivered by this United Kingdom Government.
I am confident that the measures that the UK Government have put in place have helped millions of people across the length and breadth of this country, including in Scotland, to deal with the cost of living pressures—[Interruption.] I have no idea why SNP Members find this so funny. My constituents are feeling the cost of living crisis, and yet SNP Members come here, barrack Government Members and laugh at a subject that is very difficult for many households in the Scottish Borders and, indeed, across Scotland.
We cannot be complacent, which is why this Government remain vigilant to any future challenges that risk diminishing household budgets. As the Prime Minister said, inflation is the real cause behind the increasing living costs, and our responsible plan for controlling inflation and reducing debt is working.
Question put and agreed to.