Scottish Independence and the Scottish Economy
Debate between Robin Millar and Angus Brendan MacNeil(2 years ago)
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Robin Millar
I thank the hon. Member for his intervention, but he plays with the difference between a referendum and electoral representation in a House that runs a first-past-the-post scheme. I am happy for those arguments to be played out in a place where greater minds than mine can exercise themselves on that.
Robin Millar
I wish to make a little progress.
Having said that serious plans deserve serious question and scrutiny, I was disappointed to discover that the SNP Administration’s recent economic plan for separation fell short of what I would consider serious consideration. The paper contains no modelling, no projections and no hard analysis of the implications of independence—criticisms that were laid by many against this Government in recent weeks.
Two key arguments in that document for separation put forward by the SNP are a reversal of so-called austerity and EU membership. I will consider both points briefly. On austerity and state spending, an independent Scotland would have, as we have heard, a high public sector deficit. In fact, it would be among the highest in Europe, with state spending exceeding tax receipts by 12%, and yet the SNP contends that spending is not high enough. Indeed, the Scottish Government announced real-term cuts of 8% to local government, the police, prisons, universities and rural affairs after the Institute of Fiscal Studies warned that they faced a £3.5 billion overspend. That is crucial in understanding what the implications would be for an independent Scotland.
Angus Brendan MacNeil
The hon. Gentleman seems to say that if a country, a state or a Union has a 12% deficit, it cannot be independent—that should be news to the UK. I have a couple of questions for him. Does he accept that this is a political Union, and is there a democratic way out? When we left the trading bloc of the European Union, we had a right to choose. Surely that right exists in relation to this Union, too.
The hon. Gentleman says that Westminster can block a referendum, but if the Scottish Parliament were to hold an election—he mentioned elections earlier—on the sole question of independence, would he, as a democrat, recognise that, or would he seek to find a way to worm his way out of the straightforward recognition of the will of the Scottish people?
Robin Millar
I thank the hon. Gentleman for his questions. I missed his earlier invitation for pizza. I would gladly discuss those points over a pizza, but I will not get drawn into that tangle now—it is an important tangle and these are important questions. However, I offer this observation. For me, this is not a transactional, contractual relationship between two parties. The relationship that the United Kingdom had with the EU was of that sort. The relationship that we enjoy as part of this Union is a covenant, an intertwining of a relationship over centuries. It goes beyond a simple piece of paper. In fact, one of the great deceits of the past couple of decades has been the mistranslation of, and confusion over, Union and devolution. A deep and complex relationship has been misinterpreted as a contractual relationship, which is the basis of devolution.
Robin Millar
Indeed it does. The internal market we enjoy by virtue of being a United Kingdom is of huge importance to every farmer in every part of this United Kingdom. There is more I could say on that, but I will keep to the thrust of this debate.
I must agree with the hon. Member for Edinburgh South (Ian Murray): there is no plan. The SNP’s plan is no plan at all. It falls short on how key public services will continue to be funded and to operate. Further, it does not address the two biggest shocks to our economy in the past two years—a covid pandemic and a war in eastern Europe. The UK Government have responded to both by virtue of the strength of the United Kingdom economy, for the benefit of all parts of the United Kingdom. There is no provision, however, in the plans of the SNP and the Scottish Government for a response to such emergencies and no demonstration of the resilience necessary to cope with the global storms we must weather.
The plan fails to give those whose livelihoods depend on the UK an idea of how they would be able to provide for their families. It fails to offer anything to communities that would be split by a new border. In short, more than matters of the heart or even of the head, and more than the hard-nosed transactions of an economy, the plan fails in its moral duty to the people of Scotland.
That moral duty is real. The fate of Ukrainian refugees is a concern to us all, and we know that the people of Scotland and the Scottish Parliament extended a warm welcome to many of them. However, that warm welcome has been poorly served. We know that those people are being housed in temporary accommodation on ships, and that the space they are allocated on them is less than the amount a prisoner in a Scottish prison can expect by law to enjoy.
Robin Millar
I take the hon. Lady’s point in the spirit in which it was intended, but perhaps she or another Member could answer whether it is true that Ukrainian refugees have had to be housed on ships in Scotland because there has not been the accommodation they were promised. They have received a warm welcome across the UK—I have no doubt that, or about the ambition behind it—but my point is the reality of public services in meeting that ambition. That is the thrust of this debate. It is a debate about independence and the economy, and about how we meet the reality of providing for those on who depend on us.
I will make one more point on the question of moral duty. Ireland has been mentioned a number of times as an example. Ireland secured its independence in 1922, but as one of his first actions the Irish Minister for Finance, Ernest Blythe, cut the pay of civil servants and reduced Government spending from £42 million in 1923 to £28 million by 1926. That is a one-third cut in Government spending in the years immediately following independence. These are real questions about the consequences of a transition to an independent nation but, again, on these practical points of a plan for independence, the document presented is silent.
I will finish on this point—
Robin Millar
No, I have taken several interventions. The planning of a new country is a serious undertaking, but we have yet to see a serious plan.