Hansard

I believe that today represents another significant step on the journey of this Parliament, and I feel privileged to have played a part in that process as a member of the Devolution (Further Powers) Committee. Before that, I was a member of the Referendum (Scotland) Bill Committee and, before that, I served on the Scotland Bill Committee, so I have been involved in a considerable part of that journey.

Scotland’s devolution package is changing, although perhaps not to the extent that many of us had hoped. During the independence referendum campaign, we heard Gordon Brown promise that a no vote would result in the devolution of further powers that would ensure that we would get as close to federalism as it is possible to get. We also heard the current Prime Minister say that the Scotland Bill would make Scotland one of the most powerful devolved legislatures in the world. In my view, neither of those promises has been met. That is also the view of the majority of members of the Devolution (Further Powers) Committee. The Scotland Bill could have and should have done more to strengthen the powers of this Parliament.

I very much welcome the transfer of any further powers to the Scottish Parliament, but let us put the Scotland Bill into its proper context. Under this settlement, Westminster will continue to control around 70 per cent of tax-raising powers and a hugely significant proportion of powers over welfare and social security. Therefore, although the Scottish Parliament will have power over additional areas, it will still be without the full powers that it needs to completely protect public services, tackle inequality and transform this country in the way that it deserves.

Nonetheless, further powers are coming to the Parliament, and I welcome the First Minister’s commitment that the SNP in government will use those powers to keep Scotland moving forward. In fact, we have already started doing just that. On Monday, the Scottish Government launched a consultation on its plans to reform APD, which is, of course, one of the powers that are being transferred to Holyrood under the Scotland Bill.

A report last week by the British Air Transport Association said that the UK APD rate for long-haul flights is the highest in the world, and while that may or may not be okay for London’s airports, it certainly holds back the potential of Scotland’s airports, including Glasgow airport. APD at its current rate restricts Scotland’s ability to attract and retain direct international routes. I strongly believe that the Scottish Government’s plans to make Scotland more competitive in this area will be of real benefit to our tourism industry and will boost economic growth and create new job opportunities.

There are several other new powers that are being devolved that are worthy of comment, not least those over welfare. Earlier this month, the Cabinet Secretary for Social Justice, Communities and Pensioners’ Rights, Alex Neil, outlined initial plans for the establishment of Scotland’s new social security agency and pledged to put dignity and respect at the heart of Scotland’s devolved welfare system. If we contrast that with the approach to welfare that is taken by the Tories at Westminster, we realise that the case is clear that those powers are better held in Scotland’s hands than in those of Westminster.

Later today, we will hear George Osborne’s budget plans, but reports that he wants to cut personal independence payments for more than 640,000 disabled people are deeply concerning. PIP is awarded to give disabled people access to simple aids and appliances that allow them to live independently, and charities have warned that such cuts will have a devastating impact on some of the most vulnerable people in our society. Those who can afford it least face losing up to £150 a week, and if the cuts come to pass, that will be a particularly nasty and regressive step by the chancellor. I was not surprised to read reports in the press that Ruth Davidson does not want George Osborne anywhere near Scotland during her party’s Holyrood campaign.

Indeed, figures published by the Institute for Fiscal Studies indicate that the number of children living in absolute poverty in the UK will increase by 2.6 million by 2020-21 as a result of the chancellor’s cuts to social security. In relation to the bedroom tax, we have seen that Scotland can and will do things differently, and the sooner that further welfare powers are under the control of the Scottish Parliament, the better.

I turn to the fiscal framework. As we have heard, at the start of negotiations the Treasury tried to force a further reduction of £7 billion in Scotland’s budget over the next 10 years. Many people have praised the Deputy First Minister and the First Minister for standing up to the Treasury and securing a fair deal for Scotland, and they have been right to do so. As a result of their hard work, there will be no detriment to Scotland’s budget, despite the Treasury’s attempts at a cash grab. The key success of those negotiations is that, in future, any attempt to impose a settlement on Scotland cannot happen without the agreement of the Scottish Government. This Government and this Parliament deserve that equality of esteem.

Negotiations on the fiscal framework deal took the best part of a year and, as the convener of the Devolution (Further Powers) Committee has said, it is unfortunate that the often difficult and certainly protracted discussions interfered somewhat with the committee’s scrutiny of the proposals. That point, which is reflected in the committee’s final report, is worth considering in the context of future intergovernmental relations.

Since it was set up in November 2014, the Devolution (Further Powers) Committee has met almost 50 times and, in that time, we have engaged with numerous experts, witnesses, Government officials and ordinary members of the public. I want to thank all those who have helped to inform the committee’s work on the bill, and the clerking team, the Scottish Parliament information centre researchers and the press support staff also deserve our appreciation and thanks for their dedication and diligence.

The work of this Parliament has undoubtedly been integral to making improvements to the Scotland Bill. I am particularly pleased that the permanence of the Scottish Parliament has been recognised and that its abolition will not be possible without the will of the Scottish people as expressed in a democratic referendum.