Meeting of the Parliament 18 November 2021
I move the amendment in my name.
There is a danger that the debate is set to focus on constitutional wrangling rather than the needs of our constituents. I appeal to SNP and Conservative members not to do that.
Of course, the funds should have been devolved, but the SNP cannot sit on the side of the angels on this matter. When it came into power, the first thing that it did was centralise EU funds that had previously been devolved to local government.
That said, we in the Scottish Labour Party want both of our Governments to work together with councils and communities to tackle the wealth divide. Poverty is increasing—that fact has hardly merited a mention so far in the debate. We want to create a country in which everyone can live life to their full potential, free from the blight of poverty. Therefore, the debate must be about levelling up the regions and tackling age-old wealth divides.
It is fitting that the debate is taking place on international equal pay day, which marks the day in the year when women, on average, effectively stop earning relative to men because of the gender pay gap. It is not just about equal pay for the same job; it is about the fact that jobs that are done predominantly by women are lower paid than those that are done predominantly by men.
The situation is made even worse because women bear the brunt of caring costs. Only last week, in a members’ business debate, we heard how women have been disproportionately affected by long Covid. The week before, we heard about delays in the rolling out of funding for childcare, which is affecting women up and down the country and their ability to work. Women carry out the bulk of caring responsibilities, leading them to be more likely to leave work during the pandemic. They are also more likely to be in part-time work, which is lower paid. The recent cut in universal credit has disproportionately impacted on women because they are more likely to depend on it.
In the Scottish Government’s gender pay gap action plan annual report for 2021, its analysis suggests that the pandemic
“could exacerbate existing labour market inequalities for protected groups including women”.
The report goes on to say:
“As we recover from the pandemic we must ensure that gender equality is mainstreamed into policy design and services so that we protect and advance women’s equality, particularly in relation to tackling poverty, promoting access to and progression within good jobs, and supporting business growth.”
We must tackle regional disparities. The cost of living is significantly higher in rural areas than it is in urban areas. Additional minimum living costs for households in remote rural Scotland can add 15 to 30 per cent to a household budget. Poverty is rife but hidden. Childcare is limited and often difficult to access due to a lack of public transport and a lack of provision. Children get free bus travel to school, to access education, but not for nursery education.
The Scottish Government has recommendations, research, advice and reports on how to improve equality. It must act.
In an attempt to narrow regional inequalities, inclusive growth has been a feature of Scottish Government economic strategies since 2007, yet, as we approach 2022, the SNP Government is no closer to achieving it. Regional inequality in Scotland is not currently being sufficiently addressed by investment from the UK Government’s levelling up fund or by the Scottish Government. That is why Scottish Labour is calling on the Scottish Government to implement new regional equality targets in the national performance framework, in order to tackle employment and skills gaps across regions. Maybe—just maybe—if the SNP had worked with local government on a strategy for levelling up bids, we could have made some progress.
Another drawback is the fact that both of our Governments depend on flawed indicators to identify poverty. Those work well in urban areas but are, frankly, useless in rural areas, where poverty is largely hidden because the very poor live in the same postcode areas as the very rich and are therefore cancelled out.
The levelling up funds are set to replace EU funding, but what they miss—which the EU understood—is the issue of peripherality. We are now in a situation whereby Highland Council and Western Isles Council, with huge pockets of hidden rural poverty, have been downgraded and will not receive funding comparable to what they received in the past from Europe. There must be a better way to ensure that levelling up happens everywhere. In order to have levelling up, there must also be levelling down.
What is not clear is how we must redistribute wealth to ensure that our society receives the levelling that it needs. It is heartbreaking to see people struggle in the grip of poverty while others accrue obscene wealth. The recent debate about second jobs for members of Parliament and members of the Scottish Parliament has brought that into sharp relief. Our society has become more polarised between extreme wealth and extreme poverty, and our public services are no longer coping. Now is the time for action.
We, in the Scottish Labour Party, are asking both of our Governments to set aside their constitutional wrangling, put the best interests of our constituents to the fore and work together to ensure that levelling up becomes a reality for all.