Chamber
Meeting of the Parliament 14 December 2017
14 Dec 2017 · S5 · Meeting of the Parliament
Item of business
Draft Spending and Tax Plans 2018-19
I am delighted to set out the Scottish Government’s comprehensive budget proposals for 2018-19, which will use the powers of the Parliament to build a fairer Scotland and put the progressive values of the Government into action. The budget will invest in our public services and support businesses to develop and thrive.
The budget is, of course, being delivered in the most challenging of circumstances. We must support our economy to keep pace with changing technology, access new markets and deal with United Kingdom Government austerity and the damaging uncertainty caused by Brexit. Austerity and uncertainty are damaging the UK economy, and there is a knock-on effect on public finances. The pound has fallen, inflation has risen, and growth forecasts have been downgraded. As a result, we face the most challenging economic and fiscal environment for any budget in the devolution era.
In the same item of business
The Presiding Officer (Ken Macintosh)
NPA
Good afternoon. The first item of business this afternoon is a statement by Derek Mackay on the Scottish Government’s draft spending and tax plans for 2018-1...
The Cabinet Secretary for Finance and the Constitution (Derek Mackay)
SNP
I am delighted to set out the Scottish Government’s comprehensive budget proposals for 2018-19, which will use the powers of the Parliament to build a fairer...
Neil Findlay (Lothian) (Lab)
Lab
On a point of order, Presiding Officer.
The Presiding Officer
NPA
Will Mr Findlay wait until the end of the statement to make his point of order?
Neil Findlay
Lab
It cannot wait.
The Presiding Officer
NPA
Mr Findlay can make a genuine point of order. If I find that it is a political interruption, I will not be happy.
Neil Findlay
Lab
It is a genuine point of order. We usually receive a copy of the statement when the cabinet secretary starts to read it. Apparently, this time, we will not ...
The Presiding Officer
NPA
I get the point, Mr Findlay, but that is not a point of order.
Derek Mackay
SNP
The fundamentals of the Scottish economy remain strong. Since 2007, Scotland has largely closed the productivity gap with the rest of the UK and, in 2017, ou...
The Presiding Officer
NPA
The cabinet secretary will now take questions for just under 60 minutes.
Murdo Fraser (Mid Scotland and Fife) (Con)
Con
I thank the cabinet secretary for advance sight of his statement. Heavily redacted as it was, it looks just like the Scottish National Party’s plans to grow ...
The Presiding Officer
NPA
Order, please.
Murdo Fraser
Con
One thing that is absolutely clear from the Scottish Government’s budget today is that we cannot trust a word that the First Minister or the Scottish Governm...
Derek Mackay
SNP
I would have thought that, following First Minister’s questions, Murdo Fraser would have had two hours to change his script, but he has failed to do so. The...
Richard Leonard (Central Scotland) (Lab)
Lab
This Parliament was designed to be a power for change, to take Scotland to a better place and to bring decision making closer to the people. While the Tories...
Derek Mackay
SNP
I make a gentle point to Richard Leonard. The microphone amplifies what he is saying to the chamber. I was told during the course of yesterday’s debate tha...
Patrick Harvie (Glasgow) (Green)
Green
For nearly two years, the Scottish Greens have been leading the argument for reform of our income tax, now that we have the power to do that. We showed that ...
Derek Mackay
SNP
I remind members of what I have already said about the local government settlement, which is that what I am proposing is far better than they were forecastin...
Willie Rennie (North East Fife) (LD)
LD
We will scrutinise the tax announcement, because the devil is often in the detail. However, it seems that what the cabinet secretary has announced is a modes...
Derek Mackay
SNP
On a wee point of accuracy, I am pretty sure that Willie Rennie said previously that the Liberal Democrats would ring fence all extra resources for education...
The Presiding Officer
NPA
I have given the front-bench speakers a lot of latitude to make clear their parties’ positions and to ask questions at length. We have just over 30 minutes l...
Kate Forbes (Skye, Lochaber and Badenoch) (SNP)
SNP
I am the parliamentary liaison officer to the cabinet secretary. Fast internet connectivity is vital to the economic and social wellbeing of our rural commu...
Derek Mackay
SNP
To be fair, it has—and so it should have, because digital connectivity is a reserved matter, and it should have been getting on with the work. We are surpass...
Dean Lockhart (Mid Scotland and Fife) (Con)
Con
The Scottish Fiscal Commission forecasts for the next five years have just been released. They show that Scotland’s economy will grow at less than 1 per cent...
Derek Mackay
SNP
The same organisations did not ask us to cut tax by £0.5 billion, which is what the Tories’ tax policies propose. The number 1 request from many businesses ...
Kenneth Gibson (Cunninghame North) (SNP)
SNP
I welcome the finance secretary’s statement. Will he remind members how many people in Scotland will enjoy a reduction in their income tax from April? Will h...
Derek Mackay
SNP
To be fair, I do not think that the Tories understand their tax and economic policies at the moment. It seems to have come as a surprise to them that I have ...
James Kelly (Glasgow) (Lab)
Lab
However Derek Mackay spins it, this budget represents a cut of at least £134 million to local councils. Why are top-rate taxpayers earning more than £150,000...
Derek Mackay
SNP
I can see why James Kelly was reshuffled after 24 hours in the post of finance spokesperson. Kezia Dugdale might be back from the jungle, but I understand th...
John Mason (Glasgow Shettleston) (SNP)
SNP
The Barclay review recommended the removal of rates relief for independent schools. Can the cabinet secretary clarify the position on that?