(10 years, 11 months ago)
Commons ChamberWe will look carefully at the report, but as I said earlier, we are making some very difficult decisions in the context of an escalating welfare bill at a time of real financial stringency. However, we have been looking carefully across Scotland at how this is being implemented. My right hon. Friend the Under-Secretary and I have met or talked with all the councils in Scotland and the main housing associations. We have put additional resources into tackling the spare room subsidy issue and will go across the country again to listen to people, as we will do for the rest of the year.
2. What recent assessment he has made of the performance of the rural economy in Scotland.
Scotland’s rural economy remains a key focus for the Government. In addition to our support for the economy as a whole, we have, among other things, abolished the fuel duty escalator, provided funds for rural broadband and set up the coastal communities fund.
I thank the Secretary of State for that answer. Many of my constituents are expressing concern that a privatised Royal Mail will try to wriggle out of its universal service obligation to deliver mail to every house and collect from every postbox in the country every day at a fair, affordable price. Will the Secretary of State assure my constituents that the Government will never abandon the universal service obligation or allow a privatised Royal Mail to water it down in any way?
The legislation is clear. We have legislated for a six-day universal service obligation and only an affirmative resolution of the House could change that. I highlight to my hon. Friend the fact that the Government have ended the rural post office closure programme. We have introduced a groceries code adjudicator and cut income tax bills for low and middle-income families throughout rural Scotland and the rest of the country. No Government have ever done more for the rural economy in Scotland. We are committed to a stronger economy and fairer society in all parts of the UK.
(11 years, 2 months ago)
Commons ChamberOrder. There is far too much noise in the Chamber. The House must and will hear Mr Alan Reid.
Superfast broadband is very important for the economy of rural areas. The Government’s target is 90% coverage by 2015, but in the highlands and islands, Highlands and Islands Enterprise’s target is only 75% coverage in each local authority area by December 2016. Will my right hon. Friend meet me to discuss how we can get this target up to something comparable to the rest of the country?
My hon. Friend is right to champion this cause, and it is very important indeed that we get superfast broadband as far across the UK as possible, and particularly in the highlands and islands. However, he might wish to wait for further announcements from the Government in the next day or so.
(11 years, 4 months ago)
Commons ChamberFirst, I join the hon. Lady in her concern about the future for the families affected by that hugely significant administration of Scottish Resources Group. She and others has been working tirelessly on the issue, and we will work with her and the Scottish Government to see what we can do to support the families and communities affected. She raises the issue of track access, which I will be happy to discuss with her further.
I congratulate the Government on cancelling Labour’s planned fuel duty increase and introducing an island fuel duty discount in the Budget, which means that fuel duty on the mainland will be 13p a litre cheaper than it would be under Labour and 18p a litre cheaper on the islands. A Labour Government would have destroyed the Argyll and Bute economy. I congratulate the Government on supporting the rural economy, unlike the Labour party, which did not care and wanted to increase fuel duty by 18p a litre. [Interruption.]
(11 years, 6 months ago)
Commons ChamberI absolutely agree that it is essential that we have a competitive business environment, and our corporation tax proposals go right to the heart of that. We want to continue to rebalance and strengthen the economy and take it away from the terrible cliff that we came to under the previous Government.
10. I thank the Under-Secretary for organising the fuel summit in Glasgow, at which it was revealed that the island fuel duty discount could go up to 7p or 8p a litre while remaining in the Treasury budget of £5 million. Will my right hon. Friend the Secretary of State lobby the Chancellor to increase the discount to 7p or 8p in the Budget, so that the full budget is spent to the benefit of island motorists?
It was important to have that summit to discuss all the key issues and to emphasise how that fuel discount has provided for people in island and remote communities. My hon. Friend has made a strong case for the Budget and I am sure that the Chancellor will have heard it.
(11 years, 9 months ago)
Commons ChamberThe hon. Gentleman makes a very fair point and I shall certainly take it up on his behalf and add to his efforts with the company. I will be happy to meet him in due course to discuss it further.
8. What steps the Government are taking to widen access to superfast broadband in Scotland.
(11 years, 11 months ago)
Commons ChamberOn a personal level, I agree that the hon. Gentleman has consistently supported Scots and other GB Olympians and Paralympians—although that has not always been the tenor of contributions from all in his party. As my right hon. and learned Friend the Member for North East Fife (Sir Menzies Campbell) said, the term “Scolympian” did not exactly get carried high after the First Minister coined it. The hon. Gentleman’s point about legacy is important, but with the Chief Secretary and others we have already been working closely with the organisers of the Commonwealth games to ensure that they are a fantastic success. The London Olympics have created a great platform from which to do that.
5. What recent discussions he has had with his ministerial colleagues on the Government contracting services to post offices in Scotland.
Ministerial colleagues and I regularly discuss issues regarding post office services in Scotland and we recognise the importance of maintaining the network. That is why the Government have committed funding of £1.34 billion to secure its long-term future.
The Post Office has delivered Driver and Vehicle Licensing Agency services—including car tax renewal—well for many years, and it is trusted and supported by the public. Does the Secretary of State agree that the DVLA contract should not simply be handed over to the cheapest bidder, and that when deciding to whom to give the contract, the high quality of service delivered by the Post Office for many years should be given a high weighting?
May I put my hon. Friend’s question in context? We ended the compulsory closure programme that we inherited from the Labour party, which saw 5,000 post offices close over a seven-year period, including more than 400 in Scotland. We are investing in the post office network to ensure that it is sustainable. As the hon. Gentleman will know, the DVLA contract must be conducted under EU procurement rules, and it is about not only the cost but other important criteria such as customer service and security of supply. We will ensure that all those objective tests are met.
(12 years, 4 months ago)
Commons ChamberThe hon. Gentleman should reflect carefully on the case he is trying to make. Perhaps, in a rare moment of generosity, he would welcome the fact that since the spending review, we have announced £1 billion of further spending allocations to the Scottish Government. We are continuing to create the conditions for sustainable growth to support businesses, and in Dundee there are now enterprise zones that get 100% capital allowances. I had hoped that the hon. Gentleman would welcome that.
In Argyll and Bute the high price of fuel is doing damage to businesses and people’s incomes, because of the long distances people by necessity have to travel. Will the Secretary of State please have a word with the Chancellor and encourage him to cancel, if the price of fuel remains high, the August fuel duty increase?
My hon. Friend is a consistent campaigner on this issue, and I am always happy to have discussions with him about it. I hope that he, like me, would recognise that as a result of the measures we have taken, we have provided a cut of 10p on fuel relative to what Labour was proposing, and provided support to remote rural communities in Scotland as well.
(12 years, 7 months ago)
Commons ChamberWhat the Prime Minister said stands. There are no current plans for the MOD to reduce the core police role relating to the security of our national institutions, such as nuclear safety at Coulport or Faslane. National security, including the security of our defence installations, is our highest priority. The reason we have so many MOD police in Scotland in the first place is our huge defence imprint, which would be put at risk immediately if the country were to become independent.
I am delighted by what the Secretary of State says about the importance of security at Faslane and Coulport, and by his assurance that there are no current plans to reduce the number of MOD police. I hope he will also be able to assure the House that the Government will never adopt any plans to reduce security at Faslane and Coulport, given the importance of the nuclear installations there.
As I have said, national security and the defence of our security installations are our highest priority, and we will do nothing that would compromise that security.
(12 years, 7 months ago)
Commons ChamberNo. If the hon. Gentleman looks at the consultation paper, he will see that no date was set in the consultation. I certainly believe it should be sooner rather than later and I hope to persuade the Scottish Government and people across Scotland that we should have it as soon as possible. However, 18 months is not the position of the Government and is not in the consultation document.
I welcome the statement. The Electoral Commission is independent and is the only body with the expertise to oversee this referendum. Does my right hon. Friend agree that it would be an outrage if the referendum proceeded as per the SNP’s draft Bill whereby it would be overseen by a body that would not be independent of the Scottish Government? The SNP has a mandate to hold a referendum not to rig a referendum.
I absolutely agree that it is vital that people can have confidence in the referendum process, that it has a legal basis, that it is fair and that it will get a clear, decisive outcome. The role of a body such as the Electoral Commission will be vital because only through its neutrality, independence and experience can we get the necessary confidence so that the process and rules are not an issue. I hope that as we discuss and debate this issue across Scotland people will agree that the commission is the right body to oversee the referendum.
(12 years, 11 months ago)
Commons ChamberI think that everybody in the House is aware of the realities of fuel taxation. I am therefore sure that the hon. Gentleman was welcoming the fact that in our Budget earlier this year we reduced fuel duty rather than increasing it in the way the previous Government had planned. This question gives me the opportunity to remind the House that we have made further progress in the derogation for highlands and islands fuel prices, which is very welcome news indeed, so that we can get a reduction in fuel duty in the islands.
The highlands and islands economy is being held back by the high price of fuel. I warmly welcome the Government’s progress on the island fuel discount and on the cut in fuel duty in this year’s Budget. However, a further increase in fuel duty is planned for January; if the price of fuel remains high, I hope that that will not go ahead. Will the Secretary of State make representations to the Chancellor?
I am very aware from my own travels around Scotland, particularly to my hon. Friend’s constituency, of the extremely challenging circumstances for users of cars and vehicles across rural areas and, indeed, all of Scotland. I therefore particularly welcome, to repeat my earlier point, the Budget reduction and the European Commission's announcement about its support for our derogation. We want to keep all these things in balance. My hon. Friend’s comments will have been heard by the Chancellor, but he alone is responsible for taxation matters.
(13 years, 2 months ago)
Commons ChamberThat is a typically interesting interpretation of the figures in this morning’s report, which show that, on pretty well every measure, Scotland is running at a deficit. That highlights the volatility and difficulties associated with the different measures. It is vital that we get Scotland’s economy back on the right footing. That is why, as a Government, we are cutting corporation tax, keeping interest rates low and reducing the burden on national insurance. I am happy to work with the Scottish Government, who have fantastic powers at their disposal to ensure that the economy grows. We need to work in partnership.
6. What recent discussions he has had with the Secretary of State for Transport on the Clyde coastguard station in Greenock.
(13 years, 3 months ago)
Commons ChamberFirst, may I again recognise the hon. Gentleman’s consistent efforts on behalf of the computer games industry? I recognise the importance of the industry not just to Dundee and Scotland, but to the UK as a whole. As he knows—and as I hope the response to the Select Committee’s report reinforces—we have considered very carefully the incentives we need to offer not just to the computer games industry, but to a whole range of sectors in Scotland and across the country. It is our judgment that to get ourselves away from the danger zone we were in last May, it is important to tackle the deficit and to get ourselves on the path to growth. We have done that in successive Budgets setting out plans to reduce corporation tax, to keep interest levels low, to reduce the national insurance burden and to set out important new targets for banks and their lending to small businesses. That applies to the computer industry sector as much as to any others. Once again I will be happy to meet him to discuss the matter, if he would like.
Unemployment in Kintyre will be greatly reduced if the community group’s bid to buy the former air base at Machrihanish goes ahead. I thank the Secretary of State for meeting the community group recently. I have written to him with a list of outstanding issues that are still to be resolved. I ask that Scotland Office Ministers continue to work with Defence Ministers and the community group to resolve those outstanding issues as quickly as possible, so that the buy-out can go ahead, with exciting prospects for the Kintyre economy.
Again, I pay tribute to my hon. Friend’s sterling efforts on this issue. I also welcomed the opportunity to meet representatives from the Machrihanish group a few months ago. I recognise that there are still issues that the group wishes to see resolved, and that these involve ongoing discussion with the Ministry of Defence. I will ensure that my right hon. and hon. Friends in the Ministry of Defence are aware of the details of my hon. Friend’s concerns, and that he receives a response to them.
(13 years, 5 months ago)
Commons ChamberI welcome the hon. Gentleman’s implicit recognition of the importance of the derogation, which we are seeking and on which my right hon. Friends in the Treasury will make formal submissions in the near future. As for distribution issues, the hon. Gentleman is right to highlight the complexities of the price of fuel across the country. He knows that better than most people, and I am happy to meet him to discuss the issue further.
I greatly welcome the introduction of the fuel duty discount pilot scheme on the islands, and I also welcome its extension to the Isle of Bute. While we wait for permission from the EU, however, urgent action is needed to stop the price of fuel going up even further. Will the Secretary of State speak to the Chancellor and tell him that he must cancel the 4p fuel tax rise that Labour planned for this year’s Budget?
My hon. Friend will be the first to acknowledge that the fuel duty increases over the past year reflect the previous Government’s plans to increase duty by 1p per litre over the retail prices index this year and for years to come, and, as we have already discussed, the derogation is now being sought. The Chancellor and the Chief Secretary to the Treasury will have heard my hon. Friend’s strong representations on behalf of his communities, and I recognise how serious an issue petrol and diesel prices are throughout the country.
(13 years, 7 months ago)
Commons ChamberReferring to the hon. Gentleman’s earlier point, it is important for Scotland and the whole UK to get a fuel duty regime that reflects the challenges that exist, particularly in rural parts of the country. On the derogation specifically, he will be aware that the Government are working very hard to ensure that we can get the right processes in place in Europe, so that we get the pilot up and running as quickly as possible.
I welcome the Government’s moves towards a lower rate of fuel duty for the islands, but under the plans that they inherited from the Labour Government, fuel duty is due to go up by more than 4p a litre in the Budget. The rural economy could not stand such an increase, so I hope that the Secretary of State will tell the Chancellor not to go ahead with Labour’s 4p increase.
(13 years, 8 months ago)
Commons ChamberIf I can repeat what I was saying before your intervention, Mr Speaker, I listen carefully to a range of opinion from across business and different sectors of Scottish society. The business community was well represented in the Calman commission, which produced and supported the proposal. We will continue to listen to a range of opinion, but we have no intention of devolving powers over corporation tax.
In 1997, the Scottish people voted to give the Scottish Parliament tax-varying powers, but in a disgraceful and secret decision, the SNP Government gave up those powers. I welcome the Scotland Bill. Will the Secretary of State assure us that those tax-varying powers will remain with the Scottish Parliament and that the Bill will be phrased in such a way that, were the SNP ever elected again, it would not be able to give up those powers in a secret decision?
As my hon. Friend knows, the consequences of the Scottish Government’s decision not to maintain the Scottish variable rate have been debated in the Scottish Parliament in recent days. The fundamental difference between the existing arrangements and what will follow if the Bill is enacted is that the Bill will create a Scottish income tax that sits alongside United Kingdom income tax, and there will be a requirement to set that rate every year. That is a fundamental change, and it will bring the accountability and empowerment that I discussed earlier, which will be a good thing for Scotland.
(13 years, 10 months ago)
Commons ChamberI am sure that the Secretary of State will be aware of the announcement earlier this week that Danish company Skykon has suspended payments to creditors. Skykon owns a factory in my constituency that makes towers for wind turbines and it was building a new factory. Will he do his best to ensure that that partially completed factory is completed and goes into production, protecting badly needed jobs and producing towers for the wind industry?
Like my hon. Friend, I regret the announcement that was made. I realise that that will have a huge impact on that community in his constituency. It is important that we get to the bottom of this and understand the reasons behind it, but I hope that, working with the Scottish Government and through any meetings that he and I might have, we will be able to work our way through this.