Public Finances: Scotland

Liz McInnes Excerpts

Wednesday 3rd February 2016 Commons Chamber

[Liz McInnes (Heywood and Middleton) (Lab)]

On 8 June 2015, the Financial Secretary said:

“We have agreed to aim to finalise the fiscal framework by the autumn, alongside the passage of the Scotland Bill through Parliament.”—[Official Report, 8 June 2015; Vol. 596, c. 1012.]

1 believe he meant autumn 2015, not autumn 2016. Some would say even the latter is looking hopeful. The First Minister, on 14 December 2015, raised expectations of a Valentine’s day agreement, following a meeting with the Prime Minister. However, that is only 11 days away now and somehow I doubt there will be an agreement among the hearts and flowers.

Since July 2015, the Joint Exchequer Committee has met eight times. Press releases have been published after each meeting, giving a summary of the broad topics discussed but without going into any great detail. My hon. Friend the Member for Edinburgh South (Ian Murray), the shadow Secretary of State for Scotland, has consistently asked that greater details of those meetings be published in the interests of transparency and democratic accountability, yet both the Scottish and UK Governments have refused to publish papers and minutes from the meetings. The opacity of the negotiations has allowed both Governments to exploit them for political purposes. It is disappointing that the Joint Exchequer Committee appears to want to conduct business behind closed doors.

That is not just the opinion of the Labour party. Witnesses appearing before the House of Lords Committee on Economic Affairs were concerned about the lack of information on the progress of the fiscal framework. Some felt it possible for information to be provided, for instance on points of disagreement and on the timetable for conclusion. That is an important point: if points of disagreement were made available, everyone would be able to see the main sticking points.

I call on the SNP in this House to play its part in bringing forward the deal and to be open about the sticking points in negotiations with the Government. I have relatives in Scotland. They passed on to me SNP election literature that they received. It states:

“The SNP will play a constructive role in Westminster and bring ideas forward in a positive spirit.”

Now is the ideal opportunity for the SNP to fulfil its election promise to my relatives and to the people of Scotland, by supporting Scottish Labour MSPs who voted today to increase income tax to escape Tory cuts to Scotland’s public services.