division_name: Public Finances: Scotland
motion: <p class="indent" pid="b903.457/2" pwmotiontext="yes">That this House notes the ongoing negotiations between the Scottish and UK Governments in the Joint Exchequer Committee on a revised fiscal framework to accompany the Scotland Bill; regrets that, despite both Governments repeatedly stating that the negotiation of a revised fiscal framework would be concluded by autumn last year, no agreement has been reached; further regrets the complete lack of transparency with which negotiations have been conducted; notes that, until agreement is reached, the measures in the Scotland Bill will not be implemented and the substantial new powers it contains will not be deployed for the benefit of the Scottish people; believes that both the UK and Scottish Governments have a duty to ensure that the negotiation of a revised fiscal framework which is fair to Scotland is completed in time for the Scotland Bill to be approved by the Scottish Parliament prior to its dissolution, so that it can use its current and future powers for the benefit of the people of Scotland; and calls on the UK Government to publish all minutes and papers from the Joint Exchequer Committee negotiations, and to assure the House that every effort is being made to ensure that agreement on a revised fiscal framework is reached, and the Scotland Bill is passed, prior to the Scottish Parliament elections.</p>
  
  <p class="indent" pid="b903.469/3" pwmotiontext="yes">&#8220;assurances&#8230;that a deal will be reached in time.&#8221;</p>
  
  <p class="indent" pid="b903.473/3" pwmotiontext="yes">&#8220;These discussions are taking place behind closed doors with little information publically available about the options being considered and the effects of these options.&#8221;</p>
  
  <p class="indent" pid="b903.473/5" pwmotiontext="yes">&#8220;I will be honest, it is difficult for anybody on the outside to see what exactly the stumbling block is&#8221;</p>
  
  <p class="indent" pid="b903.475/3" pwmotiontext="yes">&#8220;The Joint Exchequer Committee met in London today, chaired by John Swinney, Deputy First Minister and Cabinet Secretary for Finance, Constitution and Economy. HM Treasury was represented by&#8230;Chief Secretary to the Treasury.</p>
  
  <p class="indent" pid="b903.475/4" pwmotiontext="yes">This was the eighth meeting of the JEC since the publication of the Smith Commission report&#8230;The Ministers continued their discussion&#8230;</p>
  
  <p class="indent" pid="b903.475/5" pwmotiontext="yes">Both Ministers agreed to meet next week&#8221;.</p>
  
  <p class="indent" pid="b903.475/7" pwmotiontext="yes">&#8220;This was the seventh meeting of the JEC since the publication of the Smith Commission report. The Ministers continued their discussion on the indexation methodologies for the Block Grant Adjustments and also discussed the initial transfer of funding for new welfare powers&#8230;.</p>
  
  <p class="indent" pid="b903.475/8" pwmotiontext="yes">Both Ministers agreed to meet again shortly&#8221;.</p>
  
  <p class="indent" pid="b903.483/3" pwmotiontext="yes">&#8220;the SNP&#8217;s model . . . that it was possible to move from the UK to an independent Scotland and keep services at the same level, without either borrowing a lot more or raising taxes&#8221;</p>
  
  <p class="indent" pid="b903.496/2" pwmotiontext="yes">&#8220;pro-active reporting to respective Parliaments of, for example, the conclusions of Joint Ministerial Committee, Joint Exchequer Committee and other inter-administration bilateral meetings established under the terms of this agreement.&#8221;</p>
  
  <p class="indent" pid="b903.501/6" pwmotiontext="yes">&#8220;should retain the rewards of our success, as we will bear the risks.&#8221; &#8212;[Scottish Parliament Official Report, <phrase class="date" code="2016-12-16">16 December</phrase> 2015; c. 23.]</p>
  
  <p class="indent" pid="b903.501/9" pwmotiontext="yes">&#8220;That is another of the wider range of risks that we take on as a consequence of gaining the responsibilities.&#8221;</p>
  
  <p class="indent" pid="b903.501/11" pwmotiontext="yes">&#8220;a tax-raising Scotland should benefit from a growth in tax receipts in England and Wales&#8221;</p>
  
  <p class="indent" pid="b903.501/13" pwmotiontext="yes">&#8220;there is an undeniable logic&#8221;</p>
  
  <p class="indent" pid="b903.507/2" pwmotiontext="yes">&#8220;If we take on a responsibility and make a success of it, we should bear the fruit of that; if we get it wrong, we must bear the consequences.&#8221;</p>
  
  <p class="indent" pid="b903.512/2" pwmotiontext="yes">&#8220;notes that the Smith Commission recommended that a fiscal framework be agreed between the UK and Scottish Governments on the basis that the Barnett Formula be maintained and that Scotland would be no worse or better off simply as a result of the transfer of additional powers; notes the clear statement by the Scottish Government that it will not recommend any fiscal framework  to the Scottish Parliament that breaches the Smith Commission recommendations and which locks in a long-term financial disadvantage to Scotland; supports the efforts of the Scottish Government to secure a fair arrangement; and urges the UK Government to commit to the principle of no detriment so that a fair framework for the transfer of powers can be agreed and that the people of Scotland can benefit from the additional devolution of powers that they were promised by the UK Government following the referendum on Scottish independence in September 2014.&#8221;</p>
  
  <p class="indent" pid="b903.512/6" pwmotiontext="yes">&#8220;it is fundamentally important to making Scotland&#8217;s new powers work&#8230;It is the final interlocking piece of the jigsaw.&#8221;</p>
  
  <p class="indent" pid="b903.529/2" pwmotiontext="yes">&#8220;Labour MP Diane Abbott accused her party&#8217;s leaders yesterday of doing working people a &#8216;great disservice&#8217; by backing Tory plans for permanent austerity.&#8221;</p>
  
  <p class="indent" pid="b903.530/2" pwmotiontext="yes">&#8220;the Scottish and UK Governments&#8217; budgets should be no larger or smaller simply as a result of the initial transfer of tax and/or spending powers&#8221;.</p>
  
  <p class="indent" pid="b903.530/4" pwmotiontext="yes">&#8220;Scotland would be no worse or better off simply as a result of the transfer of additional powers&#8221;.</p>
  
  <p class="indent" pid="b903.543/3" pwmotiontext="yes">&#8220;it hardly seems fair to the rest of the UK, which will carry the spending burden created by the new taxpayers&#8221;.</p>
  
  <p class="indent" pid="b903.544/2" pwmotiontext="yes">&#8220;We have agreed to aim to finalise the fiscal framework by the autumn, alongside the passage of the Scotland Bill through Parliament.&#8221;&#8212;[Official Report, <phrase class="date" code="2016-06-08">8 June</phrase> 2015; Vol. 596, c. 1012.]</p>
  
  <p class="indent" pid="b903.544/7" pwmotiontext="yes">&#8220;The SNP will play a constructive role in Westminster and bring ideas forward in a positive spirit.&#8221;</p>
  
  <p class="indent" pid="b903.560/3" pwmotiontext="yes">&#8220;If we take on a responsibility and make a success of it, we should bear the fruit of that; if we get it wrong, we must bear the consequences&#8221;.</p>