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Chamber

Meeting of the Parliament 05 March 2025

05 Mar 2025 · S6 · Meeting of the Parliament
Item of business
United Kingdom Economy

The motion makes an important point about ensuring that investment does not unfairly focus on one area. I understand the sentiment that is contained in the motion, and, although I recognise the point that it is trying to make, I observe that many of my constituents consider that the central belt of Scotland is often the national focus of the SNP Government. Much of what I am about to say will focus on the islands.

Visitors often remark on how much enterprise there is throughout the northern isles. Regardless of size, there is an enormous amount of enterprise, which is driven in part by geography and a can-do attitude.

Members need look no further than Scotland’s growing space sector. Situated right at the top of the UK, Unst is hosting Europe’s first fully licensed vertical launch spaceport at SaxaVord, which is well placed for low earth orbit satellite launches. Its development grew from the vision of an entrepreneur who recognised the potential of the location and who, with support from the community and local authority, has made it happen. The spaceport recently gained a significant endorsement by way of rocket manufacturer Orbex, which moved from the Scottish Government-backed Sutherland spaceport to SaxaVord.

Shetland is at the heart of energy generation, whether it is oil and gas—which have contributed enormously to the wider economy—or new technologies and renewables such as wind and tidal. One of the world’s most successful wind farms, Burradale, is in Shetland. In Orkney, the European Marine Energy Centre has attracted wave and tidal developers from around the world for the last 20 years.

People often gloss over the contribution that women make to the economy, but during this week of international women’s day, I will not. In my constituency, the long history of Fair Isle knitwear has global reach. Today, we see innovation from new designers who have modernised the world-renowned product, such as French textile artist Marie Bruhat, who has made her home in Fair Isle. There is also production from local factories who export to the far east. Orkney fashion designer Kirsteen Stewart said in an interview that she was

“inspired by the island’s female role models”

to build her successful fashion and design business—women’s enterprise putting the northern isles on the map.

The northern isles can contribute even more to the national economy with investment in infrastructure that is taken for granted on mainland Scotland. Ferries are our roads, and tunnels should be considered national infrastructure and not simply a link for those who live on the islands. Tunnel action groups from Unst and Yell have instructed Norwegian consultants to carry out sonar investigations to progress the ambition of a tunnel network in the northern isles. Funds for that have been raised through private donations—not public money—and the final report should contribute to the determination of potential tunnel alignments. It is another demonstration of the can-do and enterprising attitude, which recognises where the future lies.

A tunnel network is important, as it would speed up delivery of time-sensitive seafood products, including from the growing salmon industry, which is another example of rural and island enterprise. Decades ago, crofters started small-scale salmon farming, and it is now a multi-million pound industry that reaches markets far beyond our shores and contributes to Scotland’s economy.

The UK Government committed levelling up funding for a new Fair Isle ferry and harbour infrastructure, but the external ferry service between Shetland and Aberdeen is under considerable pressure and disruption. Although weather and pump-room flooding may not have been foreseen, the annual dry-dock periods are known yet little has been done to ensure that there is any kind of backup resilience so that businesses and passengers are not left on the quayside.

Digital connectivity across Scotland lags in the areas that are furthest away from our major cities, yet it is essential to conduct business today. The radio teleswitch shut-down is the latest example of a raw deal for rural and island Scotland. Areas of high fuel poverty and poor weather are causing concern and alarm in my constituency as the fundamentals of heating technology change. There is a lack of forthcoming answers from the industry, and no pragmatic, can-do attitude is forthcoming to resolve the issue for rural and island Scotland.

There are many more examples, but with limited time I will conclude. Scotland is overly centralised, and that has got worse over the past 18 years. Too often, island and rural communities are at the back of the queue, and the failure to provide the core connections that they need—broadband, ferries, tunnels and roads—is holding back their economies and businesses. It is important that they are given better infrastructure and more power so that Scotland can reach its potential in renewables, food and drink, forestry, tourism and other critical industries that are rooted in rural and remote areas. It is time that the Scottish Government faced up to that.

In the same item of business

The Deputy Presiding Officer (Annabelle Ewing) SNP
The next item of business is a debate on motion S6M-16667, in the name of Kate Forbes, on achieving a fair balance in the United Kingdom economy. I invite me...
The Minister for Business (Richard Lochhead) SNP
We are discussing the future of Scotland’s economy against a backdrop of international uncertainty. Right now, it can feel that the world is walking backward...
Craig Hoy (South Scotland) (Con) Con
I thank the minister for referring to the south of Scotland—particularly the south-west. Is he not aware that what businesses such as Stena Line really want...
Richard Lochhead SNP
Roads are, of course, important—all transport links are important. The Scottish Government is doing all that we can with our limited resources to push forwar...
Michael Marra (North East Scotland) (Lab) Lab
I wonder whether the minister listened to the speech that the Prime Minister made in Glasgow just last weekend, when he announced £200 million of investment ...
Richard Lochhead SNP
I did, and I have already mentioned it in my speech and welcomed it. Of course, that was after a bit of a backlash from the Labour Party’s member of the UK P...
Murdo Fraser (Mid Scotland and Fife) (Con) Con
It is going to be a long afternoon, given what we have just heard. However, I am pleased that we are having another economy debate—the second in a week. I ho...
The Deputy First Minister and Cabinet Secretary for Economy and Gaelic (Kate Forbes) SNP
Will the member give way?
Murdo Fraser Con
Of course.
Kate Forbes SNP
I recognise that the member will want to set out what his Government did. I start by commending it for announcing the supercomputer for the University of Edi...
Murdo Fraser Con
Yes—I agree with the Deputy First Minister on that point. A range of other projects were proposed by the previous Conservative Government, not least project...
Michael Marra (North East Scotland) (Lab) Lab
It was with genuine disappointment that I read the motion that we have been asked to discuss. That said, I agreed with almost every word in the first half of...
Richard Lochhead SNP
I am pleased that the member agreed with 50 per cent of my speech—I would have been worried if he had agreed with 100 per cent of it. When he reflects on how...
Michael Marra Lab
I simply do not recognise that description of the chancellor’s approach, and I can set out exactly why that is the case. As the chancellor for the whole of t...
Craig Hoy Con
Will the member take an intervention?
Michael Marra Lab
No, thank you, sir. I will set that out in some detail. The investment that I have just mentioned will support up to 1,000 skilled jobs in the construction,...
Craig Hoy Con
Will Michael Marra take an intervention?
Michael Marra Lab
No thank you, sir. There is a further £1.4 billion for local growth projects—at least £200 million for specific Scottish towns, including £20 million for gr...
Lorna Slater (Lothian) (Green) Green
When it comes to the motion and the debate, if London is stripped out of the economic data, the performance report for the UK looks different. Certainly, a l...
Craig Hoy Con
Can the member explain the causal link between economic growth and violent crime?
Lorna Slater Green
The causal link is that a focus on economic growth, instead of on tackling inequality, results in crime. We know that societies that have gross inequality, s...
Beatrice Wishart (Shetland Islands) (LD) LD
The motion makes an important point about ensuring that investment does not unfairly focus on one area. I understand the sentiment that is contained in the m...
The Deputy Presiding Officer SNP
We move to the open debate. I advise members that one of the SNP speakers has had to pull out at the last minute in the light of illness. It has been agreed ...
Kevin Stewart (Aberdeen Central) (SNP) SNP
Scotland has extraordinary economic potential. We have been inventors in the past, we have innovated in oil and gas and we have key sectors such as renewable...
Craig Hoy Con
Is Mr Stewart aware that one of the engines of the London economy is the financial services sector? Will he therefore take the advice of Scottish Financial E...
Kevin Stewart SNP
Funnily enough, I was just going to come to the London financial sector. We have been promised that Scotland’s wealth flowing south to be invested in London ...
Finlay Carson (Galloway and West Dumfries) (Con) Con
As we all know, throughout the centuries, Scotland has produced an army of great inventors whose boundless imagination and inspiration have set us apart from...
Foysol Choudhury (Lothian) (Lab) Lab
I am disappointed that the Scottish Government chose to lodge the motion, which is based on a selection of recent UK Government announcements, and to play a ...
Kevin Stewart SNP
Will Mr Choudhury give way?
Foysol Choudhury Lab
I have a lot to get through. I repeat my remark that, if we want to have growth, we need investment in infrastructure, and the Scottish Government should sh...