Devolved Governments: Public Expenditure

Lord Robertson of Port Ellen Excerpts

Thursday 20th January 2022 Lords Chamber

[Lord Foulkes of Cumnock]

To ask Her Majesty’s Government what discussions they have had with the devolved governments regarding monitoring of their public expenditure.

[Lord Robertson of Port Ellen (Lab)]

My Lords, on behalf of my noble friend Lord Foulkes of Cumnock—who is self-isolating, according to law—and with his permission, I beg leave to ask the Question standing in his name on the Order Paper.

[The Minister of State, Cabinet Office and the Treasury (Lord Agnew of Oulton) (Con)]

My Lords, the Chief Secretary to the Treasury is responsible for the Treasury’s relationship with the devolved Administrations and last met their Finance Ministers a week ago, on 12 January. The devolved Administrations provide the Treasury with information on their spending every month to support the management of the public finances. It is for the devolved Administrations to allocate their Barnett-based funding across their devolved responsibilities. They are accountable to their respective legislatures for their decisions.

[Lord Robertson of Port Ellen (Lab)]

My Lords, the Minister is aware, as he says, of the billions of pounds that are transferred to the Scottish Government under what is known as the Barnett consequentials, but does he know where it is spent? The Scottish Government seem remarkably reluctant to tell the Scottish Parliament and the Scottish people how that money is spent. What does he think of the fact that, at the moment, the Scottish Government are starving Scottish local authorities of money, thereby forcing them either to put up council taxes or cut services?

[Lord Agnew of Oulton (Con)]

My Lords, as I said in my opening Answer, the Scottish Government are accountable to their electorate and to the Treasury here for how they spend their money. They have had a very generous settlement in the SR—an additional £8.7 billion went to the devolved Administrations, of which £4.6 billion per year has gone to Scotland. I encourage the noble Lord to keep his scrutiny up.