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Chamber

Meeting of the Parliament 05 February 2020

05 Feb 2020 · S5 · Meeting of the Parliament
Item of business
Tax and Public Spending
Grant, Rhoda Lab Highlands and Islands Watch on SPTV

Austerity has caused untold harm to our communities. Surely, none of us came into politics to see a world in which families are dependent on food banks, malnutrition is an ever-present danger and our communities are suffering with no safety net. A generation of young people are growing up who will be worse off than their parents. It is surely the aim of every generation to leave a better world for their children, and the Scottish Government must help to deliver on that ambition.

Austerity has a devastating effect on the economy. Poverty is on the rise, with our child poverty targets going unmet. Communities are failing to thrive, high-street shops are dwindling, libraries are closing, class sizes are increasing and social care is reaching crisis point. In addition, the gig economy is on the rise, leaving people with no choice but to accept low-paid, exploitative, unstable jobs. Austerity was a political choice. The poorest in our society have suffered the most, and the division between the haves and the have-nots has grown. We need real change.

We are realistic—we know that one budget will not reverse over a decade’s-worth of cuts—but we need to start putting forward spending plans that will invest in our communities, our economy and our services. We need to put our money where it will make the most impact.

The budget is set against the backdrop of a climate emergency. We ignore that at our peril, but there is a real fear that our response will further widen the divisions in our economy—that those in privileged positions will capitalise on changes while the most vulnerable in our society will be left further behind. We need to ensure that Government spending is carried out through the prism of a just transition. We need to address the emergency, but that should not be at the expense of those who are struggling.

Those who can afford it invest in insulation, heat pumps and photovoltaics while those who cannot afford those measures face rising bills and increasing fuel poverty. Everything that we do must address climate change while protecting the most vulnerable in our communities and capitalising on the economic opportunities.

In the same item of business

The Deputy Presiding Officer (Christine Grahame) SNP
The next item of business is a debate on motion S5M-20716, in the name of Murdo Fraser, on there being no case for tax increases or further cuts to public sp...
Murdo Fraser (Mid Scotland and Fife) (Con) Con
Tomorrow, the Cabinet Secretary for Finance, Economy and Fair Work will set out his budget for the coming financial year. I think that we are all looking for...
The Cabinet Secretary for Finance, Economy and Fair Work (Derek Mackay) SNP
That is not true.
Murdo Fraser Con
If the finance secretary wants to intervene and explain to me why that is not true, I will give way.
Derek Mackay SNP
Does Murdo Fraser not understand—or, indeed, know—that the tax forecasts are made by the Scottish Fiscal Commission and not by the Scottish Government?
Murdo Fraser Con
I regret to tell the finance secretary that he is wrong, because the overestimate that I referred to was an estimate that was made by the Scottish Government...
John Mason (Glasgow Shettleston) (SNP) SNP
Does Murdo Fraser accept that it was not entirely the Government that was responsible for that estimate, and that Her Majesty’s Revenue and Customs did not k...
Murdo Fraser Con
John Mason makes a reasonable point in relation to the original forecast of tax revenues, but my point is that we now have much better information for the fo...
The Minister for Public Finance and Digital Economy (Kate Forbes) SNP
Will Murdo Fraser give way?
Murdo Fraser Con
No. Let me make some progress. Our proposals are costed at £777 million. I was therefore rather surprised to see that the Government’s amendment to our moti...
Kate Forbes SNP
Would Murdo Fraser be willing to publish his costings and associated lines?
Murdo Fraser Con
I would be absolutely delighted to do that. I will pass them across the chamber to the finance minister right now. The two areas that we view as priorities ...
Murdo Fraser Con
Mr Rennie caught my eye first, so I will give way to him.
Willie Rennie LD
I hear what Murdo Fraser is saying, which is why I am confused that his motion and budget proposals implicitly support the tax rise by refusing to reverse it...
Murdo Fraser Con
I am grateful for Willie Rennie’s intervention, because I was just going to make precisely that point. He has given me a cue to do that. I would dearly love...
Patrick Harvie Green
Will the member take an intervention?
Murdo Fraser Con
I need to make some progress. My colleagues will set out in more detail later in the debate our priorities for public services spending, but when it comes t...
The Deputy Presiding Officer SNP
I call Kate Forbes to speak to and move amendment S5M-20716.4. 15:33
The Minister for Public Finance and Digital Economy (Kate Forbes) SNP
Why have a budget debate once when you can have one three, four or five times? I am delighted to be here again to talk about the budget, which will be publis...
Murdo Fraser Con
On that point, would the minister accept the point that was made in evidence to the Finance and Constitution Committee last week by the Fraser of Allander in...
Kate Forbes SNP
It is worth reflecting on two points. The first is that, at the beginning of the process of the devolution of tax-raising powers, there will inevitably be qu...
Miles Briggs (Lothian) (Con) Con
Can the minister confirm that we will not see any more of the cuts that we have seen to drug and alcohol budgets from this SNP Government?
Kate Forbes SNP
I look forward to the member participating in tomorrow’s budget debate. I am, of course, not going to confirm anything that will be in the budget tomorrow, b...
Rhoda Grant (Highlands and Islands) (Lab) Lab
Austerity has caused untold harm to our communities. Surely, none of us came into politics to see a world in which families are dependent on food banks, maln...
Patrick Harvie Green
I am glad that the member agrees that a climate emergency budget is necessary and that public investment must be forthcoming. Is the Labour Party’s position ...
Rhoda Grant Lab
That question leads me nicely on to an intervention that we have proposed, which is for free bus travel for the under-25s. That not only would increase the u...
John Mason SNP
Will the member give way?
Rhoda Grant Lab
I am quite short of time and I wish to make a number of points. That approach has had an impact on lifeline services and, in turn, on the most vulnerable pe...
The Deputy Presiding Officer SNP
You must conclude and move your amendment, please.
Rhoda Grant Lab
I will move to my conclusion, Presiding Officer. Our budget requests are realistic—