Chamber
Meeting of the Parliament 23 February 2012
23 Feb 2012 · S4 · Meeting of the Parliament
Item of business
Economy and Recovery
No, we did not grow at the same rate as the UK over the year. However, I would have thought that the Conservatives would welcome the point that I made. It is almost as if the Conservatives want to inflict even more economic hardship on Scotland. Mr Brown moans every time I say that the recession in Scotland was shorter and shallower than that in the rest of the UK. It seems as if he wants to inflict even more misery on the people of Scotland—[Interruption.] That is right—the way in which Mr Brown prosecutes his arguments is a shame.
Manufactured exports grew for the third consecutive quarter, while the purchasing managers index for January indicated private sector growth for the 13th consecutive month. The retail sales figures that were published at the start of this month showed growth of 0.7 per cent in the final quarter of 2011 and growth over the year as a whole, despite the challenging trading conditions.
Contrary to all the headlines, there are positive developments in the Scottish economy, but the economic conditions—exacerbated by the reductions in public spending—are challenging. The most recent labour market statistics, which were published last week, show a further rise in unemployment and highlight the continued challenges in youth unemployment. Scotland’s unemployment rate of 8.6 per cent is now slightly higher than the UK’s 8.4 per cent rate, but we continue to have better employment and economic activity rates.
Manufactured exports grew for the third consecutive quarter, while the purchasing managers index for January indicated private sector growth for the 13th consecutive month. The retail sales figures that were published at the start of this month showed growth of 0.7 per cent in the final quarter of 2011 and growth over the year as a whole, despite the challenging trading conditions.
Contrary to all the headlines, there are positive developments in the Scottish economy, but the economic conditions—exacerbated by the reductions in public spending—are challenging. The most recent labour market statistics, which were published last week, show a further rise in unemployment and highlight the continued challenges in youth unemployment. Scotland’s unemployment rate of 8.6 per cent is now slightly higher than the UK’s 8.4 per cent rate, but we continue to have better employment and economic activity rates.
In the same item of business
The Deputy Presiding Officer (John Scott)
Con
The next item of business is a debate on motion S4M-02084, in the name of John Swinney, on the economy and recovery. I draw it to members’ attention that the...
The Cabinet Secretary for Finance, Employment and Sustainable Growth (John Swinney)
SNP
I will set out the action that the Government is taking to ensure that Scotland’s recovery can take its course, despite the current global uncertainties. As ...
Gavin Brown (Lothian) (Con)
Con
The cabinet secretary says that the quarter 3 figure of growth of 0.5 per cent was the same as that for the UK. What about the year-on-year figures in compar...
John Swinney
SNP
No, we did not grow at the same rate as the UK over the year. However, I would have thought that the Conservatives would welcome the point that I made. It is...
Ken Macintosh (Eastwood) (Lab)
Lab
Does the cabinet secretary agree that the country enjoys better economic activity and inactivity rates only in a defined age group? In the whole age group ab...
John Swinney
SNP
Across the measure of economic inactivity, it is a pure statistical fact that Scotland performs better than the rest of the United Kingdom does.The outlook r...
Neil Findlay (Lothian) (Lab)
Lab
Will the cabinet secretary therefore now abandon his plans to cut corporation tax?
John Swinney
SNP
The short-term priority for the Government, within the powers that are at our disposal, is to ensure that we obtain the necessary capital investment to boost...
Gavin Brown
Con
Will the cabinet secretary give way?
John Swinney
SNP
Given the time, I had better press on.In order to boost economic confidence in Scotland, we are taking action to combat weakening consumer confidence, suppor...
John Park (Mid Scotland and Fife) (Lab)
Lab
Will the cabinet secretary take an intervention?
John Swinney
SNP
I will press on.On building on our recovery, I will set out some actions that the Government intends to take to capture opportunities that will ensure sustai...
Ken Macintosh (Eastwood) (Lab)
Lab
Yesterday, we enjoyed that rarity in economic debates: unanimity among the parties across the chamber. That was on our approach to the green investment bank—...
John Mason (Glasgow Shettleston) (SNP)
SNP
Does that not make the point that we need more powers if we are to do something much better than the UK?
Ken Macintosh
Lab
The point is that the motion that is before us calls on us to support the Scottish Government’s “distinctive approach”. What distinctive approach? The SNP is...
John Swinney
SNP
Let me give Mr Macintosh a fact. Since 2007, unemployment has been lower in Scotland than in the rest of the UK in 38 out of the 56 months. In the 96 months ...
Ken Macintosh
Lab
Can I suggest that it demonstrates nothing of the sort and that it answers a different question? The minister’s claim is that his Government is making a dist...
Chic Brodie (South Scotland) (SNP)
SNP
I have read in detail not just the STUC’s report but the Federation of Small Businesses in Scotland’s report. Why does the member not represent a fair view o...
Ken Macintosh
Lab
That is a good question that goes exactly to the point that I am addressing. Of course the scheme is popular: that is why the SNP introduced it. It is popula...
John Swinney
SNP
What are you going to do about it?
Ken Macintosh
Lab
The minister asks what we are going to do about it. Can I suggest that the minister should listen to Labour? Perhaps he is already doing so. For example, I a...
The Deputy Presiding Officer (Elaine Smith)
Lab
Can we hear the member’s last 30 seconds, please?
Ken Macintosh
Lab
Following three interventions, Presiding Officer? Well, okay.We should see further interest in wage subsidies and a drive to maintain rather than reduce the ...
The Deputy Presiding Officer
Lab
I reiterate what my colleague John Scott said: the debate is very tight for time, so no time will be given back for interventions.15:18
Gavin Brown (Lothian) (Con)
Con
What did we have today from the Scottish Government? We had the usual cartoonish exaggeration: everything that it has done has helped the economy and spurred...
Gavin Brown
Con
Right on cue. I knew that that was coming. I think that it was even in the script.I take issue with something that the cabinet secretary said when he critici...
John Swinney
SNP
Who is splitting hairs now?
Gavin Brown
Con
If the cabinet secretary wishes to make an intervention, I would welcome it at any point in my speech.
John Swinney
SNP
I will wait until the member makes a point of substance.
Gavin Brown
Con
Mr Swinney had 14 minutes in which to make a point of substance—and he made lots of them, apparently. I will pick him up on some of the other points that he ...