Devolution and the Union

Margaret Curran Excerpts

Thursday 20th November 2014 Commons Chamber

[Angus Robertson]

No, I will not take an intervention.

The Scottish Government have set out their approach to delivering progress. They propose maximum self-government within the Union. Others would describe this as devo-max, as we have heard already, home rule or perhaps even federalism. The SNP and the Scottish Government argue that further devolution should be underpinned by clear principles. It must respect the sovereignty of the people of Scotland and enhance the financial and democratic accountability of governance in Scotland. As part of this, the Scottish Parliament should have the ability to devolve power further to local communities and authorities. It should transform the ability of the Scottish Parliament and Government to meet the challenges they face and, in particular, enable Scotland to be a more prosperous country, to be a fairer and more equal society, and to have a stronger voice in the EU and internationally on matters within devolved competence. It should be equitable and transparent in its approach to resources, risks and rewards, including arrangements for Scotland to have access to taxes raised in Scotland with transitional or residual transfers of resources based on the current Barnett formula.

The Scottish Government have set out their proposals for extending self-government in Scotland consistent with those principles to deliver full fiscal responsibility for the Scottish Parliament with all tax revenues being retained in Scotland. The Scottish Parliament should have policy responsibility for all taxes unless there is a specific reason for a continued reservation. In particular, the Scottish Parliament should have full autonomy for income tax, national insurance, corporation tax, capital gains tax, fuel duty, air passenger duty and inheritance tax. The Scottish Parliament should be responsible for all domestic expenditure, including welfare, and should make payments to the UK Government for reserved or shared services. The Scottish Parliament should have a sustainable framework for public finances, including the necessary borrowing powers and an agreement with the UK Government on the overall approach to public finances. Our view is that as a part of any agreement the Barnett formula should continue to be used to determine Scotland’s resources.

[Margaret Curran (Glasgow East) (Lab)]

Following on from the logic of the hon. Gentleman’s argument, may I ask that his party respect the Smith commission when it reaches its conclusions next week?

[Angus Robertson]

We are respectful of the Smith process and I await the outcome of the commission. I look forward with great optimism to its proposals being those for which we would all wish.

Scotland should get the financial benefits as well as having the tools to manage the risks of its new responsibilities, and the Scottish Government’s responsibility for all welfare policy and administration should be devolved. As a priority, that should involve all working-age benefits. In the meantime, the roll-out of universal credit and the personal independence payment in Scotland should be halted to ensure that the practical ability to devolve individual benefits is not compromised.

Employment and employability policy, including responsibility for setting the minimum wage and all employability programmes, should also be devolved. Equal opportunities and the equality policy should be devolved. I could go on, because there are many further powers that should be devolved, and that is not just the view of the Scottish National party. The public have been asked about them in a range of academic studies and a series of polls, and it is important that Members are aware of the strength of feeling on these matters.