Devolved Administrations: Intergovernmental Relations

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Tuesday 8th November 2022

(1 year, 5 months ago)

Lords Chamber
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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I thank the noble and learned Lord for that question. I think it goes slightly away from today’s Question, but I can tell him that, last year and the year before, the number of ministerial meetings between the UK Government and the devolved Governments increased considerably. That is important, because it reflects the work they all did on Covid-19 issues. I will certainly take his questions on avian flu and the learnings from Covid to the Department of Health and Social Care.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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Would the Minister agree that relations between the Government and the devolved Administrations fall far short of what was hoped for when devolution was established? Will the Government therefore set up a genuine consultation to ensure that what is devolved stays devolved, what is reserved is reserved and what is shared is shared with an atmosphere of mutual respect?

United Kingdom: The Union

Lord Bruce of Bennachie Excerpts
Thursday 23rd June 2022

(1 year, 10 months ago)

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Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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My Lords, this has been an excellent debate and we should all be grateful to the noble Lord, Lord Lisvane, not only for initiating the debate but for the work he has done in bringing forward practical suggestions as to how we might carry out reform. He has also triggered clear enthusiasm in this House for it to take initiatives which might propel thoughtful measures of reform to secure the future workings of the United Kingdom. I think we would all commend that, but I hope that we can find some way of organising a committee that will take it forward. I speak as someone who was a member of the Scottish Constitutional Convention for quite a few years, and I honestly believe that the Scotland Act—imperfect as it was—was infinitely better because of the convention than the previous example of the Labour Government’s attempt to do it without such background work. I believe that it was an extremely good initiative.

We are all grateful for the contributions of the right reverend Prelate during his two years here and in his valedictory address, which was short and sweet, but very much to the point. We wish him well in his future.

The noble Lord, Lord Strathclyde, made one particular point of detail which I need to take him up on: it is not true that Scottish students cannot study outside Scotland. In fact, it is worse than that: many Scottish students must study outside Scotland, because, although tuition fees are free, the number of places have been capped by the Scottish Government so that the vast majority of Scottish students cannot get into Scottish universities and, indeed, have to move. My own son has chosen to move; he is matriculating at a London university this coming year, having been disappointed about his participation in the Scottish system—

Lord Strathclyde Portrait Lord Strathclyde (Con)
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I thank the noble Lord for making my point considerably better than I did earlier on.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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It was a valid point, nevertheless.

It is also important that the dimension of England is addressed. We recognise that England is very much the largest component of the union, but it is also very diverse. The shortcomings of governance in England are real, and part of the tensions we are talking about, but a federalism based on English regions is not something that anyone really believes is the way forward.

I am sorry to say this, but it is clear that the union is in no way safe in the hands of this Government under their dysfunctional, incoherent and—frankly—careless leadership—or rather lack of it. As I have said, we all know that a tidy federal solution to the governance of the United Kingdom is not easy to achieve, even if there were a will for it, which there is not. However, that does not excuse us for not striving for a relationship among the component parts of the UK based on consensus, mutual respect, fair shares and, as has been said repeatedly, co-operation—all ultimately reinforced by a legal constitutional settlement and dispute resolution mechanism.

I agree with the noble Lord, Lord Norton, that it is not about more power; it is about attitude and engagement. However, there must be a backstop with some kind of recourse and dispute resolution mechanism, because we have seen how the UK Government behave without one in relation to the devolved Administrations. I for one, privately, did not think that the vow at the end of the referendum in 2016 was necessary or helpful. I agree that lots of people were voting to stay in the United Kingdom as it was, without necessarily requiring change.

It is also an inescapable fact that the glue—the word used, I think, by the noble Lord, Lord Lisvane—provided by the EU helped in regard to agreed rules and to secure the Good Friday agreement; after all, the EU is one of its guarantors. It also gave the devolved Administrations and the UK Government a degree of clarity and security. That has all been swept away by the return of EU powers to the UK. I am not trying to reverse that, but it has been aggravated by a ham-handed application, for example, of the internal market Act and, to a lesser extent, the Subsidy Control Act.

I am also a member of the Common Frameworks Scrutiny Committee, which is about to agree its final report. When first set out, it appeared that common frameworks offered the way to achieve the kind of partnership within the UK that would build confidence, and they still could. However, it is clear that they are in danger of being downgraded into a simple process rather than being rather more substantial policy agreements allowing for divergence.

Thanks to the excellent report by the noble Lord, Lord Dunlop, we have new inter-government agreement, set out this year, which appears to offer a positive way forward, but, again, it depends on the will of the UK Government to apply it in spirit as well as in letter. It depends on that, and the UK Government, as always, have the upper hand. Frankly, the qualities needed are sadly lacking, and when they are not applied, there is no redress. But—and it is a big but—the strains on the union are not all one-way. The agreement signed by the Prime Minister to give appearance to his claim to get Brexit done was flawed at the outset, in terms of Northern Ireland in particular.

The Government’s own website made that clear. On the day during the election campaign when the Prime Minister was categorically denying that there would be extra bureaucracy between Great Britain and Northern Ireland, the website showed exactly how much bureaucracy there would be. That was the price for no border on the island of Ireland, and the Government and the Prime Minister knew that. The intransigence of the DUP and the belligerence of the UK Government have aggravated a situation which could be substantially alleviated by an agreement, so the governance of Northern Ireland is stalled and the Good Friday agreement is at risk. I may be biased, but there is one glimmer of hope in this situation, which is the stagnation of support for the two more extreme parties and the strengthening of the middle ground in the form of Alliance—I must point out that it is the Liberal Democrats’ sister party.

It is true that in Wales we have an Administration who clearly want devolution to work—it is important that we acknowledge that—but are frustrated by the attitude of the UK Government to the extent of taking legal action. They have set up their own constitutional committee, and I hope it will come forward with positive proposals designed to secure devolution, not independence. However, if the Government cannot carry opinion in Wales, what hope do they have elsewhere?

Respect needs to be a two-way process. The DUP’s refusal to go back into government lets down the majority of people in Northern Ireland, who require a Government to take decisions. In Scotland, the SNP has shown scant regard for public opinion. Twice in a democratic vote, the people of Scotland have, in effect, supported the devolution settlement which has evolved, yet the SNP has shown no interest in making devolution work. Of course, as has been said, the nationalists campaign for independence, and that is their right, but Scotland has not voted for independence, and by undermining and trashing devolution and United Kingdom co-operation, the SNP is betraying the people of Scotland and letting them down.

The SNP claims it has a mandate for independence, but that is not the case. When the question was asked, independence was rejected, and opinion appears to be settled at about the same level. The coalition with the Greens has a majority and both parties support independence, but it is questionable whether that is really a mandate. The SNP appears to be a champion of first past the post at the moment and has questioned the legitimacy of pro-UK MSPs who are elected from the list, seemingly missing the irony that the Greens are entirely elected from the list. Is the Scottish Green Party a surrogate nationalist party or an environmental campaign party? Either way, its mandate is very unclear.

This raises another strain on the United Kingdom in the shape of an outdated, flawed and less than representative voting system. The SNP secured 3.88% of the UK vote in 2019 and 9% of the seats. The Conservatives secured 43.63% of the vote and 56% of the seats. Labour fell only six seats short of that vote share, and, yes, the Liberal Democrats, with 11% of the vote, secured less than 2% of the seats. This is important because it means that, with its sister party the Alliance, a UK-wide political grouping with three times as many votes as the SNP is severely squeezed in its participation in UK parliamentary business in the House of Commons, and that distorts the balance of the House of Commons, in which SNP MPs, on 45% of the Scottish vote, secured 81% of the Scottish seats. That is neither proportionate nor healthy.

In conclusion, I want to ask the SNP and its followers: “Do you speak Belgian?” I know noble Lords will appreciate the subtlety of that question. The SNP is suggesting to the people of Scotland that they have more in common with a country that has three languages, none of which is English or Belgian, than they do with their fellow citizens elsewhere in the UK. To reinforce this to nationalists, all things British are demeaned and vilified. That is easy when talking about the current Prime Minister, but when applied to values across our culture, it is insidious, nasty, divisive and unjustified.

The by-election today could well demonstrate that the character of the government of the United Kingdom is heading for a change. Destroying a centuries-old arrangement that has served us well, for all its strains, should not depend on the short-term vicissitudes of changing political colours. Politics should be more than demonising your opponents. The SNP has denied the obvious benefits of being part of the UK, and however compromised those are currently, it needs to recognise that a majority still wants the United Kingdom to thrive.

Prime Minister: Meeting with First Ministers

Lord Bruce of Bennachie Excerpts
Wednesday 20th October 2021

(2 years, 6 months ago)

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Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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My Lords, the model of international engagement is also something that the intergovernmental review is looking to iron out so that there is effective engagement. Engagement on international matters has now been embedded in the inter-ministerial group for trade and EU issues as well as in the inter-ministerial standing committee.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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My Lords, in engagement with the devolved authorities, the Government must respect the devolution settlement and the devolved authorities need to recognise that we have a Government of the whole United Kingdom. Is it possible to do that with equal respect to both parties?

Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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Absolutely, there needs to be equal respect. That is why there has been a major review of how we ensure effective working between the devolved Governments and the United Kingdom Government. It has taken some time to conclude.

Building a Co-operative Union (Common Frameworks Scrutiny Committee Report)

Lord Bruce of Bennachie Excerpts
Wednesday 13th October 2021

(2 years, 6 months ago)

Grand Committee
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Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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My Lords, I echo everything that has been said by every contributor to this debate about our chair, the noble Baroness, Lady Andrews. As the noble and learned Lord, Lord Garnier, says, she has welded a disparate team into a common purpose and has added to the dynamics of this process, which would not have happened had we not existed. Indeed, as has been hinted at, there was some element of drift and lack of engagement, and our committee has a vital role to ensure that that does not characterise the common frameworks as, I hope, they draw to their conclusion in reasonable time. I therefore also welcome the fact that we have been extended, because had we not been, I would wonder what would have happened to the process without our attention.

As has been said, common frameworks must seem dry, technical and esoteric, but at a time when the integrity of the United Kingdom is under intense pressure, I believe our committee has realised that that they are of immense importance—the noble and learned Lord, Lord Thomas, argued that cogently and effectively. They are not completed—they are far from that—and they have not been fully tested. However, the approach to the common frameworks has been welcomed by officials and Ministers both in the devolved Administrations and legislatures and in the UK Government.

When the committee began its work, relations between the UK Government and the devolved Administrations were at a very low ebb and got worse. When the UK internal market Bill was published with no notice or prior consultation and other legislation was being pushed through, the impression was given that the UK Government were using post-Brexit legislation to undermine the devolution settlements. However, the internal market Act and the trade treaties that flow from Brexit could strain devolution to breaking point if not handled sensitively.

The more we have considered common frameworks, the more I have been convinced that they encapsulate the approach that should characterise relationships between the UK Government and the devolved Administrations generally, not just with regard to the application of the frameworks. They are voluntary and they seek consensus, and although they are about the technicalities, not policy, it should be recognised that the practical applications that were previously carried out in the EU were done in an open and transparent process that has not been a feature of the way common frameworks have developed.

It has been acknowledged that UK Ministers wear two hats as English and UK Ministers, which means that they cannot be impartial in the final resolution, so some more balanced, open and fair mechanism will be required to resolve disputes if they escalate to that level. The committee has pointed that out and the evidence has been brought to us as we have proceeded. Mike Russell, then the Constitution Minister in the Scottish Government, told us that

“The relationships between Governments have been very poor and getting poorer”


and David Rees, chair of the External Affairs and Additional Legislation Committee of the Senedd, said that relations were in

“a state of suboptimal mutual hostility.”

If the United Kingdom is to hold together, there needs to be a reset of intergovernmental relations, which is why our committee welcomed the report of the noble Lord, Lord Dunlop, and indeed the evidence he gave to us, which recommended the establishment of a co-operative union. That is what we need.

It may not be surprising that relations between the Scottish and UK Governments are strained, given that their commitments to the continuation of the United Kingdom are diametrically opposed. However, I contend that both are at fault and both need to tread more responsibly, carefully and constructively. The 2014 referendum produced a clear vote against independence and, today, opinion in Scotland continues to be deeply divided. Nobody would expect the SNP to give up its aspirations for independence, but nor should it ignore its responsibility at least to acknowledge that Scotland operates within a devolved arrangement and will do so for the foreseeable future. By the same token, the UK Government are entitled to present their responsibilities as they affect Scotland, but they need to seek consensus and agreement rather than provoke confrontation and resentment, which on occasions seems to have been the preferred option. That applies also to the very sensitive situation in Northern Ireland and to Wales, and indeed to the regions in England, which have their own agenda too. Reversing or overriding devolution settlements should not be an option any more than devolved Administrations refusing to accept the legitimacy of the United Kingdom Government.

The current friction over the application of the Northern Ireland protocol does not bode well. The Government negotiated and signed the agreement, and resiling from it will have serious consequences. If the temperature was lowered and trust restored, it should be possible to find ways in which to apply the protocol with a light touch, which may make trade between the GB and Northern Ireland affordable. Turning up the heat could make restrictions unbearable, disrupt trade further and threaten peace.

Tensions within the UK and between the UK and EU serve no one’s real interests, although some may see a populist pay-off in provoking them. In the long run, politics exists to resolve tensions. Meanwhile, the Governments of Scotland and the UK sometimes seem to indulge in exacerbating them. I detect that the people of Scotland are getting a little weary of this, and I would welcome a more constructive approach by both Governments, drawing on the positive experience today of the common frameworks process. They are not dull—they are a model on which we can build.

Inclusive Society

Lord Bruce of Bennachie Excerpts
Wednesday 14th April 2021

(3 years ago)

Grand Committee
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Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD) [V]
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My Lords, I thank the noble Baroness, Lady Lister, for this debate. As we emerge slowly from a global pandemic, it is very timely, as all noble Lords have said. Domestically and globally, lives have changed. Many people have suffered the loss of loved ones, livelihoods and opportunities. Society has shown a capacity to respond in unexpected ways, but we must learn from that. The world is more interconnected than ever; we cannot defeat a global pandemic by national measures alone. But surely now is the time for measures to make society more inclusive at home and abroad. That is why, for me, the savage cut in the UK aid budget is such an unconscionably bad decision. The UK signed up to the SDGs with their clear aim to eradicate absolute poverty and “leave no one behind”. Yet, knowingly and deliberately, the UK Government are pursuing a policy that will leave millions behind. The Government know perfectly well that the 0.7% contained its own economic corrective. The downturn in the economy reduced the measure of 0.7% and prompted cuts of almost £3 billion. So reducing the proportion from 0.7% to 0.5% is leading to a slash-and-burn retrenchment, with deeply damaging consequences at home and abroad.

At a time when the world needs vaccines and the poor need support to survive and rebuild, we should be increasing aid, not cutting it. The development and distribution of vaccines is an international effort, in which the UK has played a leading, but not isolated, role. It is welcome that the UK supports COVAX and will offer surplus vaccines to poorer nations, but that headline obscures the fact that many aid programmes are being cut or cancelled. The Government face challenges in the Commons, which is why they are avoiding a vote, and may face a judicial review of the aid decision. So it is no wonder that it is reported that the Chancellor and the Prime Minister are at odds over when and how to reverse the cuts. Announcing at the G7 that 0.7% would be restored next year would set a good example and perhaps avoid the most damaging cuts to research and ongoing programmes.

At home, Covid-19 has, of course, caused disruption and setbacks not witnessed in our lifetimes, but these have fallen unevenly. Those who can work from home can do so only because many of their fellow citizens provide essential services at a risk to themselves, not always with a fair reward. Health and social care workers in the front line have carried a heavy burden and it is reported that many will leave the profession, which we will have to rebuild in a fairer and more balanced way. While millions have benefited from furlough, millions have also been left out and struggled. All this has taken a toll on the nation’s mental health, which was already in crisis before the pandemic began.

What furlough and other measures have shown is that, when they choose, Governments can find the funds for survival. That is why I believe the time is right to roll out universal basic income. Universal credit has proved itself to be cumbersome, bureaucratic and unfair. We still need a benefit system for certain short and long-term purposes, but providing a universal basic income, even at a modest level, would give everyone a minimum below which they could not fall. It would not by itself eliminate poverty, but it would prevent destitution and provide some peace of mind. I do not accept the argument that it would deter people from working. It would not be enough for that for a long time, and people know that aspirations require prudence and work, something explicitly acknowledged by Beveridge. To be universal, everybody should get it but, just like child benefit, UBI could be taxable.

As we face the digital age, artificial intelligence, robotics and the challenges of climate change, millions could be left behind. With vision, aspiration and a spirit of altruism, we could lay the foundations for a more inclusive society.

Baroness Watkins of Tavistock Portrait The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)
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The noble Baroness, Lady Goudie, has withdrawn, so I call the next speaker, the noble Baroness, Lady Healy of Primrose Hill.

Scotland Act 1998 (Transfer of Functions to the Scottish Ministers etc.) Order 2020

Lord Bruce of Bennachie Excerpts
Tuesday 11th February 2020

(4 years, 2 months ago)

Grand Committee
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Viscount Younger of Leckie Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Viscount Younger of Leckie) (Con)
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My Lords, I thank noble Lords for the opportunity to debate this order, which is part of the Government’s ongoing commitment to devolution. I will begin by providing background to the order, which is made under the Scotland Act 1998. The 1998 Act devolved powers to Scotland and legislated for the establishment of a Scottish Parliament. The Scotland Act 2016 was the second major update to the settlement, making amendments to the 1998 Act and delivering the cross-party Smith commission agreement, which was established following the 2014 Scottish independence referendum. As a result of the 2016 Act, a wide range of powers, including welfare powers, has now been transferred to the Scottish Government and Scottish Parliament.

Scotland Act orders are used to implement, update or adjust Scotland’s devolution settlement. The order before the Grand Committee today is a Section 63 order, which provides for functions to be shared by Scottish Ministers concurrently with a Minister of the Crown. This is commonly known as executive devolution. Section 63 orders are Orders in Council and are subject to approval by affirmative resolution in both Houses of this Parliament and the Scottish Parliament. Indeed, this order was approved by the Scottish Parliament on 4 December last year.

I will now turn to the instrument itself and explain exactly what it does. The Scottish Government have committed to introducing a grant, known as job start payment, for young people aged 16 between 24 who have been out of paid employment for six months or more and who make an application. The Scottish Government do not currently have the executive competence to provide assistance to this cohort of young people to help them retain employment. This order is therefore required to enable the introduction of the Scottish Government’s job start payment.

To be clear, the order only gives Scottish Ministers the necessary powers and does not set policy. Furthermore, the powers of the UK Government will not be reduced as a result of the order as the functions are simply being shared with the Scottish Government. My right honourable friend the Secretary of State for Work and Pensions has agreed to share the function of making arrangements to provide assistance to this cohort concurrently with the Scottish Government.

The order will achieve this by amending the Employment And Training Act 1973 to make certain existing powers for the Secretary of State exercisable concurrently by Scottish Ministers. Section 31 of the Scotland Act 2016 created exceptions to the reservation of the subject matter of the Employment And Training Act 1973 in order to give the Scottish Parliament certain powers in this area. However, those exceptions did not extend to providing assistance to retain employment to this cohort of young people. The amendment is therefore required to enable the introduction of the job start payment as without it, Scottish Ministers would not have the necessary powers.

I will now explain what the Scottish Government intend to do with the powers transferred through this order. I previously explained the nature of the grant. In targeting young people, the Scottish Government are targeting the people who need support most. Evidence suggests that the unemployment rate for young people is higher than for those over 25. The unemployment rate for young people in Scotland was 9.1% from October 2018 to September 2019, compared with an overall unemployment rate in Scotland of 3.9%. The proposed payment will consist of a one-off cash payment of £250, or £400 for young people who have children. This will help with the initial costs associated with entering and remaining in work. It could be used to pay for food and clothing and to help towards travel costs, thus removing some of the initial pressure of starting a new job.

Young people will have a three-month window from receiving an offer of employment to apply for the benefit. Upon receipt of a job start payment application, the Scottish Government anticipate that it will take 21 working days and a further three working days for payment to be made. Care leavers will be able to apply for an additional year compared with other young people and will have to be out of paid work only on the date of the job offer, rather than for the previous six months, to be eligible.

The job start payment is expected to be introduced in spring 2020. This is of course dependent on the order being made. Job start payment will be administered by Social Security Scotland, the Scottish Government’s benefit delivery agency. Any costs associated with delivering the payment will fall solely on the Scottish Government. In the Scottish budget 2020-21, announced on 6 February, £2 million was allocated to fund the benefit expenditure for job start payment.

The UK Government do not view the order as controversial and are fully supportive of the Scottish Government’s plans to support young people to retain employment through the introduction of the job start payment. Indeed, we take no issue with the Scottish Government using their budget to support young people in this way, in addition to the support provided across the UK by the UK Government within reserved competence.

The order demonstrates that the UK Government remain committed to strengthening the devolution settlement and shows Scotland’s two Governments working well together. I commend the order to the Committee, and I beg to move.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD)
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My Lords, I thank the Minister for that introduction and explanation. As he said, this is a relatively small measure, it is not contentious and it is clearly the wish of the Scottish Government, so in that sense we do not need to detain the Committee for long. I commend the basics of the grant, accept that there are circumstances in which young people might find it difficult to get work if they have been unemployed for a long time, and accept that this would be a benefit, but is there any accountability for this money, or is it simply cash in hand for young people to do with as they wish?

My second point concerns perhaps a more general characteristic of the Scottish Government’s campaign to secure control over social security and welfare payments in Scotland—they proceed very slowly and with some timidity in implementing them. We know how big the welfare bill is, and the Minister has put a maximum figure of £2 million on this measure. I know that this is a very small cohort of people and that is probably as much as it deserves; nevertheless, against the big picture of welfare and social security it is a very modest measure. When we compare that with the profligacy with which the Scottish Government have managed to nationalise, at great expense, significant sections of the Scottish economy—shipyards that cannot complete ships, airports that do not run planes and trains that do not run at all—one would like to think that they might be a little more ambitious in saving money on those projects and using it for more radical welfare benefit measures in Scotland.

Many of us had hoped that the Scottish Parliament and the Scottish Government would use the transferred powers to show how Scotland and its needs are different, and possibly to develop different ways to deliver welfare and social security peculiar to those needs, but in ways that also might influence delivery methods in other parts of the UK. It is disappointing that the Scottish Government do not seem able to show a great deal of imagination and vision. While one would of course not object to the transfer of these powers and to the processes whereby it is co-determined—I guess that means that each decision is sanctioned by the appropriate Minister in the UK Government—it is nevertheless worth putting on record that the Scottish Government need to show a little more vision and imagination if they really want to demonstrate that their campaign to get these welfare powers was worth the effort.

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Viscount Younger of Leckie Portrait Viscount Younger of Leckie
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The noble Baroness makes a good point. I will need to write. On how wisely the £2 million is being spent by the Scottish Government, the assumption is that the £250 grants will go to the right people at the right time for the right reasons. I will write if we can get some more information on that point.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie
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Do the Government have any plans to monitor this? It may well be a very good idea and prove to be very effective, and that is fine, but it may be found that it is just cash in hand and is not really used for good purposes. It is presumably worth doing some systematic modelling. It may not be an awful lot of money, but simply handing out money for a purpose without seeing whether it is used for that purpose seems not entirely right.

Viscount Younger of Leckie Portrait Viscount Younger of Leckie
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I feel sure that we should be able to get some information for the noble Lord. I asked these questions as part of my briefing, but I will see what more I can get. That leads on nicely to take note of the points the noble Lord made about the Scottish Government. He made the point that it is a modest measure that lacks imagination and vision. The only thing to say is that I have noted that. I think it is a fair point, but I should be careful not to criticise the Scottish Government. Again, if there is something I can put in writing on that I will certainly do so.

Moving on, the noble Baroness, Lady Hayter, asked why there is an order for such a minor provision and why it was not in the Scotland Act 2016 in the first place, which is a fair question. The intention to develop the job start payment first appeared in the SNP manifesto in April 2016 and the Scotland Act 2016 completed its passage through the UK Parliament in March 2016. The 2016 Act devolved the competence to legislate for new benefits, but only for benefits which were not connected with reserved matters. The relevant powers relating to assisting persons to retain employment are reserved under the Scotland Act 1998 under the job search and support reservation. The message is that it just missed the cut, if that is the way to put it.

The noble Baroness also asked where the money for the job start payment is coming from. The Scottish Government announced their budget last week and committed money from the Scottish Consolidated Fund. I cannot say which source of money goes to which expenditure. The Scottish Consolidated Fund comes from a range of sources, including the block grant from the UK Government, Scottish taxes and borrowing. That includes the Scottish tax-raising powers as well, which, as the Committee knows, the UK Government gave the Scottish Parliament.

The noble Baroness asked whether I am concerned that the SNP Government are not properly addressing the high level of youth unemployment. She made an extremely good point. I am concerned that my colleagues in the Scottish Government are more focused on constitutional conflict and their own agenda for independence than on using the powers that they have to address the issues that people in Scotland badly need to be addressed and which they care about. That is not just youth unemployment but failings in education, healthcare and a range of other devolved responsibilities. I suspect that the noble Baroness and the noble Lord, Lord Bruce, would probably agree with me on that front.

The noble Baroness asked what consultation exercises the Scottish Government have undertaken. To be fair to them, they ran a public consultation on the proposed format and the key eligibility criteria of the job start payment between 16 January and 9 April 2019. The analysis of 96 responses showed that the majority of individuals and respondents believed that the job grant, as it was then called, met policy intent.

The noble Baroness also asked what support was in place for unemployed young people across the UK. The people receiving the £250 would not lose out on the benefits that they might receive in addition. There are existing UK-wide benefits that support unemployed people while they search for work. Young people may also be able to access funds from other sources to support them with some of the costs associated with applying for and starting a new job. These include the flexible support fund, which is not just for young people. It is offered by jobcentres across the UK at the discretion of work coaches, who have the flexibility and discretion to make awards that will enhance the employment prospects of the claimants and other customers with whom they are engaged, if there is a need. The difference is that, unlike job start payment, the flexible support fund does not specifically apply to young people; it extends further.

Finally, the noble Lord, Lord Bruce, asked whether UK Ministers sanction decisions. The answer is no. Scottish Ministers will have discretion as to how to use the power once it is shared. It is just that UK Ministers also retain the competence.

I hope that covers all the questions. I thank the noble Baroness, Lady Hayter, and the noble Lord, Lord Bruce, for their support in principle for this.