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Chamber

Meeting of the Parliament (Hybrid) 03 February 2022

03 Feb 2022 · S6 · Meeting of the Parliament
Item of business
Cost of Living

I am very pleased to rise for my party to speak in favour of the incredibly important motion on a matter that is impacting families up and down the country. I thank Jackie Baillie for using time from the Labour Party’s parliamentary debating time to bring it before us.

Presiding Officer, you would be hard pressed at the moment to go more than a day or so without hearing about the rising cost of food and soaring fuel and energy prices. As we have heard many times this afternoon, we are already living through a cost of living crisis that is hitting families and individuals hard, and from all directions.

The consumer price index shows that the cost of food and drink has been climbing every year, and is up significantly from January 2020. The UK’s biggest supermarket chain, Tesco, has already said that its prices could be set to rise by 5 per cent, and poverty campaigners have highlighted finding that foods such as rice and pasta—which are staples—have risen by as much as 340 per cent in some locations.

That is against a backdrop of skyrocketing energy costs. Just today, as we have also heard several times, the energy regulator Ofgem has announced that the price cap will rise by £693 on average, which will cause the bill of the average customer to rise to up to £1,971. It will be worse for pre-paying customers. That is not to mention the rising cost of fuel, rent and taxes, as all the while wages stagnate. Inflation will this year reach its highest level in 30 years. The painful reality is that the people who are on the lowest incomes are feeling the impact most acutely.

All that has taken its toll. Citizens Advice Scotland has found that a third of Scots—I repeat, a third—are worried about being able to pay for food and other essentials. That means that parents will be facing the anxiety of not being able to provide for their children, and that some pensioners will be anxious about not being able to heat their homes.

In this Parliament, we have a sacred duty to recognise the challenges that our constituents are facing and to act on their behalf to mitigate them. Therefore, I am pleased to support the spirit and the proposals that are contained in Jackie Baillie’s motion, including the proposal on the warm homes discount; my party has been calling for it to be doubled and to be extended to all those who are in receipt of universal credit.

Liberal Democrats also want the national insurance tax hike to be scrapped, which would save families hundreds of pounds a year. Our plans also include forcing broadband providers to offer vulnerable customers cheaper deals through social tariffs, which would benefit up to 8 million households and save them up to £270 each, every year.

The Scottish Government often talks a good game when it comes to tackling those issues, but when push comes to shove, it has been found wanting. With its latest budget, it will heap on more misery with yet more cuts to local authorities, which will force council tax increases and cuts to the services that people rely on most, just when Scots are at their lowest financial ebb.

My party recognises that the impacts of poverty and hunger can be wide reaching. Studies have shown that they can be major factors in preventing children from achieving their potential.

We also support an enhanced carers allowance in Scotland and are calling for an immediate UK-wide uplift of £1,000 for a year.

In recounting her own story, the journalist and anti-poverty campaigner Jack Monroe paints a very bleak picture of the choices that far too many people in our society face:

“After you’ve cut back everything else, food is the last to go. I didn’t mind putting an extra jumper on if I had food in the fridge. It was the point where I had an extra jumper on and no food in the fridge that I realised things had gone”

terribly “badly wrong.”

In this day and age, no one in this country should have to make such a choice, but with the cost of living crisis, we find that all too many will.

In the same item of business

The Deputy Presiding Officer (Liam McArthur) LD
The next item of business is a debate on motion S6M-03042, in the name of Jackie Baillie, on the cost of living. 14:42
Jackie Baillie (Dumbarton) (Lab) Lab
I declare an interest as an honorary vice-president of Energy Action Scotland. Today, the Office of Gas and Electricity Markets lifted the cap on energy pri...
The Deputy Presiding Officer LD
You must conclude.
Jackie Baillie Lab
There can be no excuses, no inaction and no hiding behind the constitution—the SNP must act, and act now, in the interests of the people of Scotland.
The Deputy Presiding Officer LD
You need to move the motion, Ms Baillie.
Jackie Baillie Lab
I move, That the Parliament recognises the pressure being placed on household finances across Scotland due to rising inflation, increasing food and fuel pri...
The Minister for Just Transition, Employment and Fair Work (Richard Lochhead) SNP
This is an important and timely debate, as hundreds of thousands of families and households across Scotland are facing very challenging financial circumstanc...
Pam Duncan-Glancy (Glasgow) (Lab) Lab
The minister says that the Scottish Government is doing what it can, but a number of issues have been raised, including by Citizens Advice Scotland, on the G...
Richard Lochhead SNP
As the First Minister said, discussions are going on with the UK Government about the consequentials from its announcements, and that money will be earmarked...
Liz Smith (Mid Scotland and Fife) (Con) Con
I acknowledge that this is a very serious issue for many families who see their household bills going in only one direction, at the same time as they try to ...
The Minister for Zero Carbon Buildings, Active Travel and Tenants’ Rights (Patrick Harvie) Green
I understand that those who instinctively like low-tax policies sometimes have to make an effort to come to terms with the need for such a rise. Why were the...
Liz Smith Con
I thank Mr Harvie for that intervention, but it is all about economic growth, which his party is not terribly keen on. Scottish Fiscal Commission statistics ...
Jackie Baillie Lab
Will the member take an intervention?
Liz Smith Con
I will just finish this point, Ms Baillie. The companies in question are owned by us all through pension funds and insurance firms, and they have to be attr...
The Deputy Presiding Officer LD
You need to be winding up, Ms Smith, instead of taking interventions. Be as brief as possible, Ms Baillie.
Jackie Baillie Lab
I will be very quick. Will Liz Smith at least acknowledge that it was Margaret Thatcher who first put a windfall tax on oil and gas?
The Deputy Presiding Officer LD
While acknowledging that or not, please start winding up, Ms Smith.
Liz Smith Con
I can very much acknowledge Gordon Brown’s failure on a windfall tax. On that point, I am happy to conclude my remarks. I move amendment S6M-03042.1, to lea...
Alex Cole-Hamilton (Edinburgh Western) (LD) LD
I am very pleased to rise for my party to speak in favour of the incredibly important motion on a matter that is impacting families up and down the country. ...
The Presiding Officer (Alison Johnstone) NPA
We move to the open debate. 15:04
Paul Sweeney (Glasgow) (Lab) Lab
It is great privilege to be able to contribute to the debate on the cost of living crisis, which is undoubtedly the single most important issue that millions...
Christine Grahame (Midlothian South, Tweeddale and Lauderdale) (SNP) SNP
One issue that is not listed in the motion is the failure of successive UK Governments in management of the economy. That is of fundamental relevance in a de...
Liz Smith Con
Will the member take an intervention?
Christine Grahame SNP
I have only a very short time. In my time in the Scottish Parliament—more than 20 years—the pension credit system has failed constantly, with 40 per cent of...
Jamie Halcro Johnston (Highlands and Islands) (Con) Con
It might be worth noting that Norway’s national debt is forecast to be more than $200 billion in 2026. I appreciate Labour’s use of its time today to debate...
Jackie Baillie Lab
Does Jamie Halcro Johnston not recall, as I do, that Boris Johnson promised that he would do that?
Jamie Halcro Johnston Con
I do. I am just coming to that, actually. That is, of course, not a conclusive argument against the policy. The chancellor has today announced proposals to ...
The Presiding Officer NPA
I ask you to conclude, please.
Jamie Halcro Johnston Con
That means that, although a young person on the mainland can travel from Berwickshire to Caithness for free, a young person in Orkney or Shetland, whether tr...
The Presiding Officer NPA
I have to ask you to conclude there, Mr Halcro Johnston. We are very tight for time this afternoon. 15:17