Scottish Government: Ultra Vires Expenditure

Lord Reid of Cardowan Excerpts

Thursday 9th March 2023 Lords Chamber

[Lord Offord of Garvel (Con)]

I thank my noble friend for pointing that out. The Scottish diaspora is large and international, but international engagement is mostly focused on trade and is done by the Department for Business and Trade. Trade is a reserved matter, but it is also legitimate for Scottish companies to promote their activities internationally, along with the cultural aspect we have talked about. They can legitimately do that within the machinery of the UK Government, and we must allow them to continue to do so. We are just making sure that we do not have a separatist agenda being promoted to countries that I have to remind that the United Kingdom is still united.

[Lord Reid of Cardowan (Lab)]

My Lords, the Scottish Administration are embarking on courses of action that are not only clearly ultra vires, but which have grievous implications for the rest of the United Kingdom. Indeed, one of them has already been questioned and opposed by the Prime Minister, quite correctly, but they continue to do so. Has the Minister had a chance to look at this daft bottle deposit scheme? Given that all three candidates for the SNP leadership, whatever we may think of them, have criticised that scheme—indeed, Kate Forbes has described its effect on the British retail industry as “carnage”—are the Government intending to allow that to go through or are they waiting for the SNP to ditch yet another policy?

[Lord Offord of Garvel (Con)]

This is one of a number of Bills coming down the track that we need to monitor quite carefully. We have already had the Gender Recognition Reform (Scotland) Bill, in respect of which we have pressed the Section 35 button—for the first time in 437 Bills—and now we have the bottle deposit scheme. The UK Government received notification of a formal exemption to the United Kingdom Internal Market Act on 6 March, whereas producers were given a deadline of 1 March to sign up for the scheme. That feels to me like building a house first and then applying for planning permission. What we need to do is emphasise the importance of the United Kingdom Internal Market Act. Whether you like Brexit or not, we were previously in a single market of 28 European states and we are now in a single market of the four countries of the UK. What all our businesses say to us is that they do not recognise borders, and given that 60% of Scotland’s trade is with England, we do not want different terms of trade in Scotland and in England. There are a number of things coming down the track in respect of which we have to remind ourselves that certain things are done better as one United Kingdom.