Scottish Independence Referendum

Debate between Lord Lang of Monkton and Lord Dunlop

Tuesday 14th March 2017 Lords Chamber

[Lord Dunlop]

The UK Government and the Prime Minister could not be clearer: we do not think there that should be a further referendum on independence, for all the reasons that the noble Lord and others have given. Even at this late stage, the Scottish Government can and should take that referendum off the table.

[Lord Lang of Monkton (Con)]

My Lords, should we not remind the First Minister of Scotland that the Prime Minister is Prime Minister of Scotland as well as of the rest of the United Kingdom and that the worst possible way to help her get the best deal for the United Kingdom and for Scotland within it is to attack her at the outset of these important negotiations?

[Lord Dunlop]

I very much agree with my noble friend. The Prime Minister will work tirelessly to secure the best possible deal for the whole UK and, as she has said, for every part of it. This is a time to work together to that end, not to sow division and difference.

Brexit: Scotland

Debate between Lord Lang of Monkton and Lord Dunlop

Thursday 15th September 2016 Lords Chamber

[Lord Dunlop]

The noble Lord will know that the SNP has announced a listening exercise in Scotland—and if it were listening, I think the first thing that it would do would be to take “indyref 2”, as it is known in Scotland, off the table. It is absolutely clear from all the recent opinion polls that the majority of Scots do not want it. Just as important is that business does not want it either, because businesses can see that it is damaging to investment and the economy. So I totally agree that it should be taken off the table.

[Lord Lang of Monkton (Con)]

My Lords, does the Minister agree that, even if an independent Scotland eventually gained access to the European Union by meeting the deficit requirements—which at present it cannot conceivably meet—and being able to afford the premium, it would be giving up an open export market in England that takes 50% of its exports in favour of a market in Europe that takes only 15%?

[Lord Dunlop]

My noble friend is absolutely right. Scottish exports to the EU are 15% and Scottish exports to the rest of the UK are 64%. Over the summer, the Secretary of State and I held a huge number of engagements with stakeholders across Scotland—I think that there were 53 in total—and the clear message from business is of the importance of the UK’s single market.

Scotland’s Fiscal Framework

Debate between Lord Lang of Monkton and Lord Dunlop

Wednesday 24th February 2016 Lords Chamber

[Lord Dunlop]

I absolutely understand what the noble Lord is saying. That is why we have sought a deal that is fair to Scotland and to the rest of the UK.

[Lord Lang of Monkton (Con)]

My Lords, I compliment my noble friend on his modesty on leaving out of the Statement the one line in which the Secretary of State for Scotland in another place complimented him on his invaluable contribution to these matters. I welcome the fact that the conclusion of the negotiations has been reached, at least to the extent that it now enables the legislation to pass into law once it has finished its progress through this House and, at long last, bring the Scottish Government to a degree of accountability for their actions before the Scottish people. My noble friend referred to the review to take place in five years’ time. Can he confirm that when that review is produced by this independent body, it will be implemented without any further interruption or interference by either the Scottish Government or the UK Government?

[Lord Dunlop]

Once the review is complete, it will be for the two Governments to reach an agreement. However, I need to say to my noble friend that this is a very significant act of devolution. In future, more than 50% of the Scottish budget will be financed from taxes that are raised in Scotland, and that is a major development.

Devolution

Debate between Lord Lang of Monkton and Lord Dunlop

Thursday 2nd July 2015 Lords Chamber

[Lord Dunlop]

I am sure that noble Lords in this House and others outside it will come forward with proposals. The Government will engage with those proposals and will be happy to discuss them.

[Lord Lang of Monkton (Con)]

My Lords—

--- Later in debate ---

[Lord Lang of Monkton]

My Lords, reflecting on the fact that the unbalanced form in which the Scottish Parliament was created was in fact the product of the deliberations of a constitutional convention, I welcome my noble friend’s caution on these matters. They may sound simple and easy to set up, but they may create many more difficulties along the line. However, I urge him to reflect on the importance of consultation: this should be carried out during a reflective period of calm when the House is not subject to a constant flow of devolutionary measures that have not been properly considered and have to be rushed through this House. A period of calm reflection is surely the best way forward.

[Lord Dunlop]

I can only agree with my noble friend that consultation is a key element in any proposals that come forward. Since January, when we tabled the draft clauses for the Scotland Bill, we have been consulting and we will continue to do so.

Scotland: Block Grant

Debate between Lord Lang of Monkton and Lord Dunlop

Monday 15th June 2015 Lords Chamber

[Lord Dunlop]

My Lords, the noble Lord may well be right that the SNP Government will seek to continue to blame the United Kingdom Government, but the people of Scotland would certainly blame the UK Government more if we landed them with a £10 billion funding gap, costing every family in Scotland £5,000 in higher taxes or spending cuts. That would be the price of full fiscal autonomy. The Government cannot support such a plan because we do not believe that it would be good for Scotland. We want a balanced settlement fair to all parts of the UK and our priority is to deliver the Scotland Bill, which will make Holyrood one of the most powerful and accountable devolved Parliaments in the world.

[Lord Lang of Monkton (Con)]

My Lords, I congratulate my noble friend on the way in which he managed to imply fairness to a block grant calculation system that bears no relation to, or has any connection with, any needs assessment relating to the other parts of the United Kingdom. Can he tell the House how he expects the no-detriment principle enshrined in the new Scotland Bill to apply in a way that does not inhibit the viability of individual parts of the United Kingdom from pursuing policies and expenditure that depart from the UK norm?

[Lord Dunlop]

I thank my noble friend for that question. The simple overarching principle is that neither Scotland nor the rest of the United Kingdom should gain or lose financially as a direct consequence of implementing the Smith agreement. There are two aspects to this. First, at the point of devolution, the tax and spending block grant adjustments made to reflect the transfer of powers should of themselves leave funding for Scotland and the rest of the UK unchanged. Secondly, post devolution, both the UK Government and the Scottish Government should bear the risks and reap the rewards of their own policy choices. That will strengthen fiscal responsibility and accountability. How these principles work in practice must be discussed and agreed by the UK Government and the Scottish Government, but the fact that the principles are agreed by all five of Scotland’s political parties is a helpful starting point.