Draft Scottish Fiscal Commission Act 2016 (Consequential Provisions and Modifications) Order 2017 Debate

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Department: HM Treasury

Draft Scottish Fiscal Commission Act 2016 (Consequential Provisions and Modifications) Order 2017

Kirsty Blackman Excerpts
Tuesday 31st January 2017

(7 years, 3 months ago)

General Committees
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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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It is great to be on another Delegated Legislation Committee, as it seems I keep getting put on them—[Interruption.] I genuinely mean it. It is also great to follow the hon. Member for Edinburgh South, who is always so political, although that is a shame when we could be really consensual on these matters.

It is sensible for the process to be this way around as we set up the Scottish Fiscal Commission. The Scottish Parliament is setting the body up and we are just tinkering with the additional legislation that is required. That is a reasonable way to do it if we are serious about ensuring that the Scottish Parliament is considered one of the most powerful devolved Parliaments in the world, as the Government regularly say it is. We need to ensure that it has the ability to do the things within its power and that we simply pass the allowing legislation—the tinkering legislation—to allow that to happen.

On the importance of the Scottish Fiscal Commission and why we need it, given the challenges that we face and the changes that there have been to the powers of the Scottish Parliament—such as tax-raising powers like we have never had before—it is sensible to have a distinct Scottish flavour to budgetary, financial and fiscal projections. We have not really had that from the OBR; it does not do that and was not set up for that, as that is not the point of it. This is therefore a reasonable and sensible measure.

In Scotland, we do not have the issues with immigration that some communities in England feel as if they have faced. Our population is not growing as fast as the population of England; it never has, since the Act of Union. Since we do not have powers over immigration—we do not have those levers—it is very difficult for us to grow our population, and thus our tax base, and to change the economic situation in Scotland.

Given that background and the challenges we face, I think it is reasonable for an independent commission to be set up to provide impartial and clear evidence about projections. As has been stated, the OBR often does not get it right; hopefully the Scottish Fiscal Commission will be more on the money, but we will have to wait and see. No doubt there will be evaluation along the way but, in general, I support the order, I am pleased to see it being introduced and I am pleased to see that the Scottish Parliament has taken the lead in setting it up.