(9 years, 6 months ago)
Commons ChamberYes, absolutely. I particularly enjoyed joining my right hon. Friend recently in his constituency and learning from him about not only the challenges but the opportunities facing the knitwear industry. I know that that industry is of great importance to the economy in his area, and he has been a remarkable champion of it over the years.
There is obvious eagerness within local authorities in the south of Scotland to have closer trade links with their counterparts in the north of England, as evidence from the work of the Scottish Affairs Committee suggests. Does the Secretary of State intend to engage with the Scottish Government to ensure that the borderland areas are able to exploit their full potential?
Indeed. I am well aware of the work of the borderlands initiative and am more than happy to engage with it in any way it considers would be helpful. That has been very much the approach that I have taken in dealing with Scotland’s island communities—the Western Isles, Orkney and Shetland—on their “Our Islands Our Future” campaign. I suggest that this Government’s willingness to hand power back to communities in Scotland bears very favourable contrast with the SNP Government in Edinburgh, who seem determined to centralise everything.
(9 years, 6 months ago)
Commons ChamberIt is an honour and a pleasure to speak on a subject close to my heart. Lowering the voting age is one of the main reasons I became involved in politics in the first place. I joined the youth wing of the Scottish National party in 1985, at a time when the Young Scottish Nationalists updated the party’s policy. From then on and until the present day, SNP policy has been that 16 and 17-year-olds should be able to vote in all democratic elections.
I felt so strongly about the issue that it was the subject of my maiden speech in 2001, and I hope the hon. Member for Airdrie and Shotts (Pamela Nash) does not mind my reading some of it out:
“Speaking as the youngest Member of the House who represents a Scottish constituency”—
I think the hon. Lady has taken over that responsibility from me—
“I am convinced that one change might help to engender an interest in voting among young people: lowering the voting age to 16. That has the support of Members on both sides of the House and I make the suggestion in the non-partisan hope of boosting democracy.
Does it not strike hon. Members as ludicrous that we can raise and spend tax money levied on 16 and 17-year-olds? Is it not ludicrous that we can pass legislation that affects their working lives and economic well-being? Is it not obscene that we can send young service men and women into hazardous situations where they may give their lives for their country? It is obscene that 16 and 17-year-olds are judged old enough to pay tax, get married or die for their country, but are not granted the equality that enfranchisement brings. As Ministers in this place and in the Scottish Executive consider suggestions for boosting the teaching of civic life and modern studies, would it not help to show 16 and 17-year-olds the relevance of the democratic process if we gave them the vote?”—[Official Report, 3 July 2001; Vol. 371, c. 192.]
That was in 2001.
I also reflected on the fact that the commitment of the SNP to lowering the voting age goes back much further. One of my predecessors who represented Moray, Winnie Ewing, was elected previously in Hamilton in 1967, and she made her maiden speech on lowering the voting age from 21 to 18. The commitment runs deep in Scotland’s largest party.
It is fantastic that Members on both sides have praised the independence referendum and the involvement of 16 and 17-year-olds, although I have not yet heard Members from other parties acknowledge that they were able to vote because the SNP-led Scottish Government insisted on it. It behoves Members to recognise that as a significant reason why we are at this stage. Perhaps they will think it noteworthy to bring up in their contributions later.
The experience to which hon. Members have attested was reflected in my constituency and, I am sure, in every single part of Scotland. We were invited to take part in debates in schools and sit on panels with young people—I went to Speyside high school, Forres academy and the Elgin youth café. I am sure that Members on both sides could attest to these types of events, and as the referendum drew closer, the level of debate among younger Scots about what the referendum would mean for them, regardless of whether they had made up their minds, was fantastic.
The statistics thus far—there will many more, because several academic studies have yet to report—and early academic feedback are extremely encouraging. The Electoral Commission released a report in December 2014 suggesting that turnout among 16 and 17-year-olds was 75%—significantly higher than among some older age groups. Of all respondents, 60% said they would support a measure allowing everyone to vote from the age of 16; and 97% of the 16 and 17-year-olds who reported having voted said they would vote again in future elections and referendums. This is tremendously encouraging and should give great support to those arguing for a wider franchise.
We should all applaud the turnout of young voters in the referendum, but does the hon. Gentleman agree that the difficulty is in encouraging 18 to 25-year-olds to take part in the process?
The hon. Gentleman makes a good point, although widening the franchise will make that much easier for future generations, through engagement in schools, through modern studies, and with political parties and local representatives. That will help to join up, in a much more tangible way, the political world with what happens in schools. However, he points out the challenge of those age cohorts who have not had that experience, and we all need to work hard to bridge that gap.
By enfranchising 16 and 17-year-olds, we can encourage schools to hold political debate and involve democratically elected representatives. Some schools have concerns about managing the process fairly, but it is not beyond the wit of those schools to do so, and as we know—because we attended many of these events—it works. All of us, having gone through the referendum experience, will want to ensure it is not a one-off. That we can do it for Scottish Parliament elections is great; that it will happen for local government elections is fantastic; that it will not happen for Westminster elections is shameful.
I note that there are two Conservative Members in the Chamber. I observe that 58 of the 59 Members from Scotland belong to political parties that support lowering the voting age in Westminster elections, yet it is not happening. It is for Conservative Members to reflect on what message it sends to people in Scotland when yet again decisions are being made, or rather when progress is not being made because there is not a willingness to recognise the democratic wishes of people in Scotland.
It is unimaginable now that we might go back to a situation in which 16 and 17-year-olds could not vote. I shall spare the blushes of some people in Scottish politics, and not quote their words in the run-up to the referendum.
(9 years, 7 months ago)
Commons ChamberI thank the Minister for advance sight of his statement.
Today we mark another milestone in the delivery of the vow made to the people of Scotland before the independence referendum in September. The timetable set out by my right hon. Friend the Member for Kirkcaldy and Cowdenbeath (Mr Brown) during the referendum campaign has now been exceeded at every stage, with a Command Paper on the process towards further powers just 25 days after the referendum; the conclusion of the Smith commission and agreement by all five of Scotland’s political parties before St Andrew’s day just 10 weeks after the referendum; and today, ahead of schedule, just 18 weeks after the referendum, the draft clauses that will form the basis of the next Scotland Bill.
Before I turn to our response to the draft clauses and the Command Paper laid before the House, I want to provide an absolute guarantee from the Labour Benches. As my right hon. Friend the Leader of the Opposition has made clear on a number of occasions, the powers agreed by Smith will be delivered, and the next Labour Government will include a new Scotland Bill in our first Queen’s Speech. Labour created the Scottish Parliament in 1999, we supported more powers for the Parliament in 2012, and we will create a powerhouse Parliament with these new powers when we are in government.
Labour made it clear at the outset of the Smith commission process that we wanted a settlement that, first, respected the outcome of the referendum, namely a strong Scotland inside a UK where we pooled and shared risk; secondly, moved the maximum possible power from Westminster to the Scottish Parliament; and, finally, did not make Scotland worse off.
We are satisfied that the Smith commission delivered that outcome and we can say with confidence that with these clauses we will be delivering home rule—the full powers that Scotland needs. As the Command Paper notes, the powers the clauses will confer on the Scottish Parliament will mean that it will control about 60% of spending in Scotland and retain about 40% of Scottish tax. That will make it the third most powerful devolved Assembly in the OECD.
Before I turn to the detail of the clauses, I wish to press the Minister on two areas that I hope he will address in his reply. The Command Paper makes explicit reference to the Barnett formula and the agreement of all five parties during the Smith commission to its continuation. Can the Minister provide any more clarity about how the adjustment to the block grant will take place and how discussions with the Scottish Government to agree that are progressing?
I also wish to press the Minister on an item on page 40 of the Command Paper, which reproduces the following commitment from Smith:
“MPs representing constituencies across the whole of the UK will continue to decide the UK’s Budget, including Income Tax.”
Given the Chancellor’s comments at the Treasury Committee on Tuesday, can the Minister provide an absolute reassurance that that part of the Smith agreement will be respected, as it is not addressed in the paper?
I now wish to turn to the detail and the precise powers that the clauses will confer specifically over job creation, tax and social security. The clauses confer full power over income tax and a number of other taxes. We welcome the clarity provided by the Command Paper on the areas to be devolved. We welcome the extension of powers over VAT, which go further than the proposals of the Smith commission, but will the Minister explain why that change was made?
On welfare, the clauses will transfer extensive new powers on the Scottish Parliament, including powers worth £2.5 billion for welfare spending and the powers to create new benefits. Will the Minister confirm that the clauses as drafted respect the spirit and the letter of the Smith agreement and allow the Scottish Government to create new benefits? Will he also explain the process that will now be undertaken to examine in more detail the consequential arrangements to adjust the Scottish block grant to reflect what will now be devolved to the Scottish Parliament?
On job-creating powers, my hon. Friend the Member for Glasgow East (Margaret Curran) has already raised with the Secretary of State, and at Scottish questions, our desire to see the job-creating powers of the Work programme passed to Scotland at the earliest opportunity. It continues to be our view that that could be achieved by using a section 106 order to transfer responsibility to the Scottish Government immediately. That would reduce any uncertainty about the effect of continuing contracts in Scotland and it would allow others to start to remedy the failure of this Tory Government’s Work programme in Scotland, which sees only one in five people into a job. Will the Minister consider again the introduction of those powers now?
Finally, I would welcome more clarity from the Minister on the devolution of the Crown Estate. Will he clarify the process that will be followed to determine the transfer scheme and how long it might take? Will he also explain how the Government will ensure that the Smith commission’s recommendation that the powers be further devolved to our island communities will be seen through? Many in our rural and island communities will want guarantees about the devolution of the Crown Estate and that the powers will be passed to the islands as both the UK and Scottish Governments promised during the referendum.
This is another milestone in Scotland’s home rule journey. The Smith agreement was the response to the call for change that we heard, and today one thing is clear: Scotland will have a powerhouse Parliament.
I very much welcome the hon. Gentleman’s commitment, and indeed that of his party both in Scotland and across the United Kingdom, to the implementation of the Smith commission proposals. The position could not be clearer: whichever party is in government after the next general election, the proposals will be taken forward in the Queen’s Speech.
The hon. Gentleman raised a number of issues. The Prime Minister, the Leader of the Opposition and the leader of the Liberal Democrats have made it very clear that the Barnett formula is here to stay. The discussions on the creation of the fiscal framework will have to take into account the additional revenue raised by the Scottish Parliament. It is very important for MPs from Scotland to make it clear to our colleagues that the Scottish Parliament’s additional ability to raise funds will not be in addition to the block grant that it receives, because an amount still to be calculated will be deducted from the block grant under the Barnett formula.
The hon. Gentleman raised the issue of VAT. The Smith commission clearly made a recommendation on the standard rate of VAT, and the Government feel that it is entirely consistent to apply the same recommendation to the lower rate—the 5% rate—of VAT. That will ensure that Scotland receives 50% of the revenue raised.
The hon. Gentleman raised several issues about the welfare proposals. We and the Scottish Government have established a joint welfare working group at ministerial level—I will co-chair it with Alex Neil, the Scottish Cabinet Secretary with responsibility for such matters—which will take forward some of the issues. I assure the hon. Gentleman that the Scottish Parliament will have full legislative responsibility for the Work programme. As I understand it—I will provide confirmation—my right hon. Friend the Secretary of State has already written to the hon. Member for Glasgow East (Margaret Curran) to set out why he and the Government do not believe that the section 106 route is the right way to transfer the programme. If the letter has not already been delivered, I will ensure that the hon. Gentleman receives a copy.
Of course we will proceed on the basis of good faith in relation to the Scottish Government and further devolution within Scotland. The hon. Gentleman will be aware that the Scottish Cabinet is coming to Dumfries on Monday, which will be a good opportunity for the Scottish Government to demonstrate that they are listening to people outwith the central belt of Scotland. I am sure that they will discuss the Crown estate, which is certainly an important issue in my constituency.
If I have not covered all the points made by the hon. Gentleman, I will write to him about those matters.
(9 years, 7 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Like the right hon. Gentleman and, I think, everyone else present for the debate, I received an Oil & Gas UK briefing. It deals with the immediate problem in the sector, but there is no mention of how it arose, with the downturn in China and India, and oil and gas fracking in the United States. That is a longer-term issue. Something of a quick fix may be required, but in the longer term we must take cognisance of what is happening globally.
That is a fair point; I would say only that I have never yet met an oil economist who was any good at anything other than explaining why prices did what they did, rather than what they would do next. Yes, the hon. Gentleman may be right, but people have told me many times that the oil price would stay low, and then it has gone up. When they have told me it would stay high, it has gone down. We have to live with that.
Those of us close to the industry, and the taskforce, of which many of us are members, are aware that in recent years prices have escalated unrealistically and unreasonably on the back of the high oil price. I want to make it clear to the hon. Member for Aberdeen North that that is no excuse for a slash and burn response on employment; it is, however, a recognition that a lot of fat has built up in some of the contractual arrangements.
With the right approach, it would be possible to slim down and maintain skills and capacity for the future. The wrong approach means, of course, making people redundant and losing their skills, so that if and when there is an upturn we will have lost capacity as well. I argue that we need to manage things proportionately. The industry has been rather late in tackling that problem. Quite a few of the redundancies that have been announced since the oil price fell were part of reviews that took place because of the escalating costs before we knew that the price was going to fall.
(10 years, 1 month ago)
Commons ChamberI absolutely agree. Tens of thousands of Scots have benefited from the fact that we have raised the personal allowance. Roughly two thirds of those on the minimum wage are now paying significantly less tax than they were when this Government came to power.
I know the Minister recognises that payment of the living wage will ease the pressures of the cost of living that many households experience, but in view of his recent admission to the Scottish Parliament’s Welfare Reform Committee that his Government’s benefits sanctions and welfare reforms have contributed to the increase in the number of food bank users, will he now apologise?
What I think politicians should apologise for is making the poor and most vulnerable into political footballs. Poverty is a scourge in our country, not an opportunity for a press release.
(10 years, 5 months ago)
Commons ChamberMy hon. Friend is exactly right, which is why I would have thought that even Opposition Members would welcome the fact that employment in Scotland has increased by 15,000 over the quarter, and that the Scots employment rate rose by 0.3%.
Child poverty has long-lasting effects. By the age of 16, children receiving free school meals achieve significantly lower exam grades than their wealthier peers, and they leave school with fewer qualifications, which translates into lower earnings over the course of their working lives. Will the Minister speak with the Secretary of State for Work and Pensions and demand a proper start in life for all children, something that is threatened by this Government’s welfare reform programme?
I do not accept the claim that this Government are responsible for child poverty. I agree with the hon. Gentleman’s Dumfries and Galloway council colleague, Marion McCutcheon, who said that the only solution to child poverty is work. That is what this Government are delivering, with 15,000 more people in employment over the past quarter.
(10 years, 5 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The hon. Gentleman makes a fair point. I was in Croatia on holiday, and the A1 in Croatia is a magnificent dual carriageway, but it suddenly stops at the border with Montenegro. There is a small break in the otherwise magnificent A1. If Croatia can do it, why on earth have we still not completed the dualling of the major link between England and Scotland on the east coast?
Rail connectivity is also important, and I am beginning to be concerned that the High Speed 2 proposals have led Railtrack to propose ideas for the future of the east coast main line that would provide unsatisfactory services between the north-east of England and Scotland. Those services have greatly improved in recent years. We now have very fast train services from Edinburgh and Newcastle to London. We also have a much improved service from Alnmouth in my constituency, which is an important part of our connectivity. If Railtrack wants to ensure that MPs in the north-east of England, and indeed eastern Scotland, support HS2, it must not pursue daft ideas that would undermine the service. That also means that we have to improve the east coast main line’s capacity, particularly to handle freight. There are possible investments, such as on the Leamside line, that could greatly improve the capacity of the east coast main line and cater for potentially growing freight traffic between the north-east ports and for links between the north-east ports and Scotland.
There are issues that would be of very serious concern to my constituents if there were to be a yes vote in the referendum. The debate so far has been about an idea, and only now are we beginning to consider the realities and facts. Of course Scotland could be independent, but there is a price to be paid by both countries if that were to happen. That price includes serious problems at the border. If the United Kingdom, minus Scotland, did not have control and did not know what Scotland’s immigration policy will be, it could not commit itself to an open border with Scotland. If the rest of the United Kingdom did not have any control of security in Scotland, it could not have a completely open border. Whether the rest of the United Kingdom has a continuous border control or just introduces a border control when it considers there to be a particular danger, there will from time to time be border controls to address the fact that the United Kingdom will have no control over who is admitted to Scotland. I am talking about, for example, a terrorist returning from Syria whom we would not want simply to move freely in Scotland.
The question of immigration and border controls is as much an economic issue as anything else, because the growth in Scotland’s working population is projected to be significantly less than the rest of the UK. That is why we have had nothing from the SNP on immigration. An independent Scotland might have a greater dependency on migrant workers.
The hon. Gentleman makes a fair point. In my limited time, I will address another issue that affects border controls—fiscal policy in Scotland. An independent country might wish to have different VAT rates from those that apply in England. That raises the other issue of Scotland’s relationship with the EU, which has already been covered so I will not say any more. If different taxation rates applied, there would be issues at the border and a need to control goods coming across the border. That would further impair trade and cause further difficulties for people whose everyday life means constantly crossing the border. Those things are not impossible to address—they are dealt with in many countries—but they add to the difficulties of areas that have enough economic problems as it is and certainly do not need such artificial pressures.
The hon. Gentleman is quite correct to say that if Scotland were independent, it would not seek to operate a Barnett formula any more than Norway does. In Norway, of course, average wages are twice those in the UK, on a population of a similar size to that of Scotland with oil.
The hon. Gentleman asked what would happen if the referendum were lost. First, I do not think that the referendum will be lost, and secondly, the SNP will do what we always do, which is to put the interests of Scotland first. He should be aware that Scotland is 8.4% of the UK’s population and raises 9.9% of the UK’s taxes, and that over the past five years, taking tax and spend together, Scotland was £12.6 billion relatively better off.
If the hon. Gentleman is exercised by the Barnett formula, and he clearly is, the best thing that he can do is to join his brothers in Scotland and support independence, and then he can stop worrying about it. He will no longer be troubled by the green-eyed monster when it comes to someone getting a fraction more or a fraction less. Actually, that concern should not exist because, as I have pointed out, Scotland contributes 9.9% of the UK’s taxation although it accounts for only 8.4% of its population. In each of the past 32 years, Scotland has contributed more tax per person than the UK average.
The hon. Gentleman mentioned the population of Scotland in comparison with the rest of the UK, and he mentioned taxation. One of the important taxes for the man and woman on the street in Scotland will be income tax, and that income tax level is only 7.2% of the UK collection rate. He has also mentioned Norway. Would he like to share with us the income tax levels for people in Norway, and whether those living in an independent Scotland could actually stomach such rates of tax?
The hon. Gentleman tempts me down an inviting road. As I have mentioned, average wages in Norway are twice what they are in the UK after tax. After adjusting for purchasing power, the average Norwegian has 43% more money, or £158 extra, each week in their pocket than the average person in the UK. In addition, inequality in Norway is lower than it is in the UK. If the hon. Gentleman is interested in making his constituents wealthier, he should follow the model that the SNP proposes, under which we would set up an oil fund and ensure that the gains of productivity were distributed far more equally in our society than they are at the moment in the UK. Inequality in the UK is the fourth highest in the OECD, and that is not something that he should be defending. He should join me in making Scotland a more egalitarian and wealthier place. Norway proves that that can happen with independence and oil.
I would love to take the hon. Gentleman’s intervention, but you are inviting me to wind up, Mr Weir. I thought that I had been doing so quite successfully, but I shall bring my remarks to a close. I would just like to mention the pleasure that I alluded to earlier of reading that Standard Life agreed with the Scottish Government on the currency. It should be borne in mind that Standard Life has at various points in the past 20 years threatened to walk out of Scotland if this, that or the other happened. Of course, it has not and it will not.
I left the Scottish Parliament because I was elected to Westminster. I am a supporter of the Scottish Parliament. I want to remind our friends who are not usually part of this debate that the Scottish National party did not support the devolution proposal in 1997, or the Calman commission’s proposal to give the Scottish Parliament additional powers in 2012.
The Minister is painting a picture of where there have been significant improvements. There has been a devolution of power, yet under the SNP Government, we in Scotland are experiencing centralisation on a scale that has never been seen before.
The hon. Gentleman is right. Although he and I did not vote for the SNP Government in Edinburgh—nor did most people in Dumfries and Galloway—we are not saying that we should tear up the devolution settlement simply because we do not like the Government in Edinburgh. Rather, we are campaigning against the Government and saying that they should be changed. We are not tearing up our country simply because we do not believe in individual policies.
The hon. Member for Na h-Eileanan an Iar said that the only change that would come from independence is a change of Prime Minister—I think I heard him correctly, but I will check his words carefully, because I intend to have them printed out and distributed as widely as possible. He gave us the best case against independence that I have heard for some considerable time.
As a number of Members have said, like Scotland, the north-east benefits from the UK’s size and scale, and the ability to share risks and resources. Within the UK’s single market, we all benefit from close trading links, which continue to grow. The hon. Members for Middlesbrough South and East Cleveland (Tom Blenkinsop), for Inverclyde (Mr McKenzie), and for Houghton and Sunderland South (Bridget Phillipson) made those points strongly. Scotland sold goods and services worth more than £45.5 billion to other parts of the UK in 2011; that is double what we sell to the rest of the world, and four times as much as we sell to the EU. About 30,000 people travel between Scotland and the rest of the UK to work each day.
The strong ties between Scotland and the north-east are clearly illustrated by the work of the “Borderlands” initiative. As a Member of Parliament for Dumfries and Galloway and the Scottish borders, I am keen to encourage that close cross-border work. We must bring more closely together the strategic interests on both sides of the border.
(10 years, 8 months ago)
Commons ChamberThe Barnett formula has served Scotland, and the Opposition believe that it is at the heart of redistribution across the entire UK, which is why we support it. I agree with the Secretary of State that the only threat to the Barnett formula is a vote for independence. Will he share with the House why he believes that the SNP Scottish Government do not understand that they are the only threat to the Barnett formula?
I have a strong suspicion that that is wilful on the part of the Scottish Government. As I said a few moments ago, they know that people in the United Kingdom value the Barnett formula so they try to pretend that there is some threat to it. That is part of their strategy. They identify things such as the pound, the Bank of England and the ability to build complex warships on the Clyde, which are the things that the people of Scotland value from being part of the United Kingdom, and then pretend that they can hold on to them while becoming independent. It is just not credible, which is why they are losing the argument.
(11 years, 4 months ago)
Commons ChamberThe hon. Gentleman is misrepresenting the situation. Scotland will have flexibility to determine its own arrangements in relation to CAP reform.
With rising food prices and food poverty, has the Minister made any representations to colleagues about the need to grow more food in Scotland?
The hon. Gentleman will know that in his constituency, as in my own constituency, there is a strong view that we should grow more of our own food. I encourage local farmers to do so.
(11 years, 6 months ago)
Commons ChamberI welcome the Chancellor’s announcement that the A1 will become a motorway to Newcastle. He made it clear, I think in response to my right hon. Friend, that the Department for Transport would look at the case for dualling the A1 to the Scottish border.
As chair of the all-party west coast main line group, I wrote to a Scottish Government Minister to ask what they were prepared to do with regard to investment for the HS2 route starting from the north. Is it not irresponsible that the Scottish Government will not answer that question on HS2, even though two city councils—Edinburgh and Glasgow—will discuss it?
I am disappointed that the hon. Gentleman, particularly in his capacity as chair of the all-party west coast main line group, has not had a response from the Scottish Government. As I indicated in my earlier answer, the UK Government are waiting for a response from the Scottish Government. We have made it absolutely clear that we want to work with them to ensure that the people of Scotland and the United Kingdom benefit from HS2.