Oral Answers to Questions

Martyn Day Excerpts

Tuesday 19th March 2024 Commons Chamber

[Nigel Huddleston]

If I am hearing correctly, the Labour Front Benchers are announcing fundamental changes to policy that they have not yet costed. They did not object, as far as I am aware, to any of the measures required to support households and businesses during the pandemic, which necessitated increases in taxation. We are now reducing the level of taxation because we have turned a corner. They did not support that. It is interesting that they say one thing but then do not take action. I think they need to explain to their constituents why they failed to support the tax cuts last week.

[Martyn Day (Linlithgow and East Falkirk) (SNP)]

4. What assessment he has made of the potential impact of the Spring Budget 2024 on levels of block grant funding for Scotland.

--- Later in debate ---

[The Chief Secretary to the Treasury (Laura Trott)]

As a result of decisions at the spring Budget, the Scottish Government are receiving around £295 million in additional funding in 2024-25 through the Barnett formula.

[Martyn Day]

According to the Commons Library, the Government have cut the Scottish Government’s capital funding by 16% in real terms from 2022-23 to 2024-25. The Institute for Fiscal Studies forecasts that there will be a further 16% cut by 2029. After 14 years of austerity, inflation and covid, can the Minister tell me why the Chancellor is taking a hammer to our Scottish public services?

[Laura Trott]

The hon. Gentleman is aware that the block grant has been going up in real terms. He will also be aware that the Scottish Government can switch resource to capital—unlimited amounts, if they choose to do so. He will also be aware, I am sure, that the Scottish Government can borrow up to £400 million of capital each year if they so wish.