13/08/2014

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:00:17. > :00:18.Good afternoon and welcome to Politics Scotland.

:00:19. > :00:21.The focus is on welfare, as the Scottish Government claims

:00:22. > :00:25.a yes vote is the answer for those facing benefit cuts.

:00:26. > :00:28.Those supporting the union say the issue is about policy rather

:00:29. > :00:32.Employment in Scotland has reached a new record high,

:00:33. > :00:40.We'll drill down into the details of the figures.

:00:41. > :00:43.And the Prime Minister is back from his holiday and straight into

:00:44. > :00:46.a storm at Westminster as pressure grows for him to consider direct UK

:00:47. > :00:53.Scottish Government ministers are claiming today that more than

:00:54. > :00:56.100,000 people in Scotland will lose disability benefits under UK-wide

:00:57. > :01:02.Leading the charge is the Deputy First Minister, Nicola Sturgeon,

:01:03. > :01:05.who has said individuals currently claiming Disability Living Allowance

:01:06. > :01:11.The UK Government has hit back saying its reforms are not all about

:01:12. > :01:14.cost cutting and that reforms will target resources more effectively

:01:15. > :01:20.Let's go to the garden lobby of the Scottish parliament and our

:01:21. > :02:17.Let's just deal with this issue from the Scottish Government. They are

:02:18. > :02:23.worried about the SNP is saying this includes regular checks on people,

:02:24. > :02:30.like if you can walk 50 metres and now it is 20 metres.

:02:31. > :02:39.Be phased in over the next the BBC has been speaking to some of these

:02:40. > :02:43.people today. They talk about some people with health problems, but

:02:44. > :02:47.that could be someone with HIV, someone with MS, someone in a

:02:48. > :02:56.wheelchair or who is blind or has a combination of a huge number of

:02:57. > :03:02.different problems. The counter is that these changes are absolutely

:03:03. > :03:06.essential and it is all about value for money and the taxpayer. It is

:03:07. > :03:07.about targeting those who most need the funding.

:03:08. > :03:09.for money and the taxpayer. It is about targeting those who That is

:03:10. > :03:12.why they are doing regular assessments. They do not want

:03:13. > :03:17.someone to be on an allowance for the rest of their lives without

:03:18. > :03:25.someone assessing whether the condition has changed. The BBC has

:03:26. > :03:31.been told the changes are essential. It is thought this is part of an SNP

:03:32. > :03:36.tactic to remove the focus that has been recently on the currency on

:03:37. > :03:40.what Plan B might be in the event of independence. The Scottish

:03:41. > :03:45.Conservatives this morning have been disputing the figures and saying

:03:46. > :03:48.that many of those who may lose this disability living allowance could,

:03:49. > :03:57.in future guy get universal credit and would therefore get different

:03:58. > :04:04.funding but funding all the same. -- in future get universal credit.

:04:05. > :04:11.Edge-macro he is talking about enshrining the principles of the NHS

:04:12. > :04:17.in a written constitution. Another hugely emotive issue. While the NHS

:04:18. > :04:21.is much criticised, it is still a much loved institution. Alex Salmond

:04:22. > :04:26.has been drawing on that this morning. He has been talking about

:04:27. > :04:32.it being a fundamental part of Scotland 's national identity. He

:04:33. > :04:36.has accused Westminster of having scorned and betrayed its founding.

:04:37. > :04:40.The Scottish Cup and has set out plans for a written constitution if

:04:41. > :04:44.Scotland does indeed vote for independence on the 18th of

:04:45. > :04:49.September that is the case. He is saying if there is that

:04:50. > :04:53.constitution, the NHS should be enshrined within it, protected from

:04:54. > :04:57.privatisation by stealth that has befallen the NHS in England.

:04:58. > :05:00.Political opponents are not happy with this approach. They say these

:05:01. > :05:06.comments are designed to scare voters. They say that overall

:05:07. > :05:10.branding to the NHS has increased. Earlier today, the Scottish Liberal

:05:11. > :05:13.Democrat leader Willie Rennie described the comments by Alex

:05:14. > :05:19.Salmond as dishonest, desperate and disgraceful. He said across the UK

:05:20. > :05:24.these things unite people like our NHS and that these principles are

:05:25. > :05:29.unique and injuring. Thank you very much indeed. There will pick up on

:05:30. > :05:32.some of those points shortly. -- we will pick up.

:05:33. > :05:35.And official figures released today show unemployment has fallen

:05:36. > :05:37.in Scotland by 2,000 between April and June, to 176,000.

:05:38. > :05:40.The UK total fell by 132,000 to 2.08 million.

:05:41. > :05:42.And employment in Scotland has reached a new record high.

:05:43. > :05:45.The number of people in work increased by 9,000 between April

:05:46. > :05:55.Our business correspondent, David Henderson, reports.

:05:56. > :06:03.The search for work at Partick Jobcentre in Glasgow this morning.

:06:04. > :06:09.Staffware help matching job-seekers with vacancies. They have seen a

:06:10. > :06:14.surge in new call centre jobs and hotels and restaurants. In recent

:06:15. > :06:19.months the economy has shown signs of recovery. Employers have been

:06:20. > :06:24.taking on new staff. Here, they have noticed a rise in the number of jobs

:06:25. > :06:28.available. The number of people in Scotland who are out of work and

:06:29. > :06:33.looking for a job has fallen this month to 176,000. At the same time,

:06:34. > :06:43.the workforce has risen a job has fallen this month to 176,000. At the

:06:44. > :06:50.same time, the workforce has risen again that is the same for the UK as

:06:51. > :06:56.a whole. Staff at Jobcentres have noticed people seem more confident

:06:57. > :06:59.in recruitment plans. Part-time and temporary vacancies have increased.

:07:00. > :07:06.We are seeing the trend turn around and more and more vacancies are

:07:07. > :07:11.coming on which are full and part-time. The jobs market is fluid,

:07:12. > :07:17.a bit like this wine shop in Barrhead. Peter is one of a record

:07:18. > :07:20.number of self-employed Scots. He tops up his work here with

:07:21. > :07:25.wine-tasting classes and consultancy work. Coming from a background where

:07:26. > :07:30.I had a job, not necessarily a job for life, but a job where I had an

:07:31. > :07:35.income. Every month the mortgage would be paid. That transition to

:07:36. > :07:43.being in a work position, where, if the work is not their comic you do

:07:44. > :07:48.not get paid and the mortgage does not get paid. Some of the new jobs

:07:49. > :07:52.we have seen maybe seasonal, like down to the Commonwealth Games.

:07:53. > :07:54.Well, joining me now our commentator for the day, Hamish Macdonell.

:07:55. > :07:57.Also here is our business correspondent, David Henderson.

:07:58. > :08:05.Just put these figures into a wider context. Another step on the road to

:08:06. > :08:10.recovery. We are seeing a steady stream of new jobs in Scotland. 9000

:08:11. > :08:16.new jobs in the last quarter. 63,000 more in the last year. It means that

:08:17. > :08:22.employment in Scotland is now... The rate is at an all-time high. The

:08:23. > :08:26.sums are pretty good for the UK as a whole as well. In the last we have

:08:27. > :08:32.seen employment rising by more than 100,000. A real surge there. Of

:08:33. > :08:36.course, employment, unemployment is a lagging indicator. It is a most

:08:37. > :08:41.important indicator of the health of the economy. It falls into line with

:08:42. > :08:46.a lot of the other signs we have seen in recent months, signs of

:08:47. > :08:49.growth are very strong. The private sector in Scotland that Italy is

:08:50. > :08:59.growing strongly. All in all it is pointing in the right directions.

:09:00. > :09:06.The UK Government this morning was quick to say it shows that working

:09:07. > :09:10.as part of the United Kingdom with a stable market and growing economy

:09:11. > :09:14.and a stable currency is creating more jobs and more opportunities for

:09:15. > :09:18.Scotland. They are also keen to make the claim that the strong medicine

:09:19. > :09:22.we have seen in relation to managing the economy in recent years, as far

:09:23. > :09:26.as they are concerned, is paying off because we are starting to see the

:09:27. > :09:29.growth rate and employment has picked up quite sharply across the

:09:30. > :09:37.United Kingdom. The Scottish Government has said, the recovery we

:09:38. > :09:39.have seen is happening despite not because of anything that is going on

:09:40. > :09:43.from the UK Government at Westminster. Instead they are

:09:44. > :09:45.pointing to targeted measures they have introduced in relation to

:09:46. > :09:51.getting women and young people back into work. They say that is starting

:09:52. > :09:57.to bear fruit and that Scotland can be an independent country and it

:09:58. > :10:00.follows, they say, that if he gives Scotland full powers over the

:10:01. > :10:06.economy then we can grow the economy even more. Nothing like politicians

:10:07. > :10:11.falling over themselves to take credit for good news. Here we are,

:10:12. > :10:14.five weeks out from the referendum, and unemployment figures have become

:10:15. > :10:20.a football in that particular battle. It is not surprisingly close

:10:21. > :10:28.the economy, unemployment is essential to the economy and that is

:10:29. > :10:33.critical to the referendum debate. The UK Government has said, we are

:10:34. > :10:36.doing this well because we are part of the one market. I think there is

:10:37. > :10:40.a sense in which oddly enough both could be right. The Scottish

:10:41. > :10:43.governing could well be right. If small, targeted measures for a

:10:44. > :10:47.Scottish economy were taken on after independence, that could help grow

:10:48. > :10:51.jobs in certain sectors but the UK Government is right as well. A

:10:52. > :10:56.market which encompasses the whole of the UK is busy going to do better

:10:57. > :11:01.for jobs, particularly for companies that operate across the border. This

:11:02. > :11:05.contributes to the debate about the referendum. John Swinney laid out

:11:06. > :11:13.the ten point economic plan that he would act in an independent

:11:14. > :11:17.Scotland. If one were to be cynical, for a second, if you look at what

:11:18. > :11:20.the SNP will happen in an independent Scotland, the NHS will

:11:21. > :11:27.be sacrosanct, we will have full employment. The Royal mile will flow

:11:28. > :11:32.with whiskey and honey, to a certain extent. That is an aspiration but

:11:33. > :11:35.other governments in the UK have had that aspiration as well. Full

:11:36. > :11:41.employment has been an aspiration for every different colour. We are

:11:42. > :11:45.heading to the levels, I think it is probably 2%, 3% is the rational

:11:46. > :11:48.level where you can say you have full employment, it may be

:11:49. > :11:53.achievable with independents or without. Thank you very much.

:11:54. > :11:57.The Cabinet Secretary for Training, Youth Women's Employment, Angela

:11:58. > :11:59.Constance, is making a statement on a Scottish government review

:12:00. > :12:03.This was a report by trade unions, business leaders and academics.

:12:04. > :12:11.Let's listen into what the Cabinet Secretary has to say.

:12:12. > :12:18.Scotland 's businesses compete internationally delivering long-term

:12:19. > :12:22.prosperity and high-quality jobs. We need to support the type of growth

:12:23. > :12:26.that produces inequalities and helps everyone, not just those closest to

:12:27. > :12:30.the labour market to realise the potential. We need the type of

:12:31. > :12:34.growth that reduces disparities between different parts of Scotland

:12:35. > :12:39.and we need the type of growth that is sustainable and resilient and

:12:40. > :12:42.which focuses on maximising returns from work. Through existing devolved

:12:43. > :12:48.powers, the Scottish Government has taken forward a range of ambitious

:12:49. > :12:55.initiatives, including opportunities for all, investment in childcare,

:12:56. > :12:59.sustained investment and reform of education, record numbers of modern

:13:00. > :13:04.apprenticeships and programmes such as community jobs Scotland and the

:13:05. > :13:10.youth employment Scottish fund. We will do more. For Example, we will

:13:11. > :13:19.implement the recommendations of the young workforce commission. We will

:13:20. > :13:25.deliver world casts -- class education. I announced ?4.5 million

:13:26. > :13:33.of funding in earlier response to the recommendations. We share

:13:34. > :13:38.aspirations to reduce youth unemployment by 40%. The economy

:13:39. > :13:44.will only achieve its full potential when they maximise quality as well

:13:45. > :13:51.as quantity of work. We need to grow skills, apply the skills and boost

:13:52. > :13:56.business productivity. We need to bed progressive workplace policies.

:13:57. > :13:59.As such, I therefore welcome the publication of the report to the

:14:00. > :14:08.working together review. I am grateful to all the members, Chris

:14:09. > :14:14.Park, Mary, Graeme Smith, Patricia Findlay, and I am particularly

:14:15. > :14:19.grateful to the review group chair. They were asked to review

:14:20. > :14:24.progressive workplace policies in the public and private sectors,

:14:25. > :14:26.identifiable agility is for innovation which would enhance

:14:27. > :14:30.productivity, highlight good practice and recommend how we build

:14:31. > :14:37.on that to optimise the relationships that linked with

:14:38. > :14:42.unions and governments. As expected, the report is substantive. In the

:14:43. > :14:46.recommendations section, it says, and I quote directly, our report

:14:47. > :14:51.provides a great deal of evidence which confirms the many unions,

:14:52. > :14:55.employers and employees are already reaping the benefits of working

:14:56. > :14:58.together to construct their own business or sector specific models

:14:59. > :15:06.of modern, cooperative industrial relations. We welcome that recognise

:15:07. > :15:10.it is one of Scotland 's existing economic strength and we are

:15:11. > :15:16.ambitious to build on that. I fully endorse that statement. The Scottish

:15:17. > :15:20.Government regards trade unions as key social partners, playing an

:15:21. > :15:24.important role in sustaining effective democracy in society,

:15:25. > :15:28.particularly at the workplace, and sees the existence of good

:15:29. > :15:31.employment practices as a key contributor to economic

:15:32. > :15:36.competitiveness and social justice. While some may not share that view,

:15:37. > :15:42.engaging and empowering and ploys is a widely recognised factor in

:15:43. > :15:45.success. The report challenges businesses and employers, trade

:15:46. > :15:51.unions, members and officials, and government, to learn to adapt and to

:15:52. > :15:56.evolve. It identifies four action priorities, building capacity,

:15:57. > :16:01.ongoing dialogue, real partnership opportunities and a willingness to

:16:02. > :16:06.learn from hard work. The Scottish Government will consider the report

:16:07. > :16:08.and the recommendations fully, engaging directly with business and

:16:09. > :16:25.trade unions and prepare a formal response. We want Scotland to be an

:16:26. > :16:29.innovative and high productivity economy that competes in

:16:30. > :16:36.international markets and focuses with high-value goods and services.

:16:37. > :16:39.This will build greater opportunities for a framework to

:16:40. > :16:46.better utilise unique strengths and deliver a more resilient economy.

:16:47. > :16:50.The Scottish government would have greater access to levers to support

:16:51. > :16:57.the labour market. I am pleased that the review, while adopt thing a

:16:58. > :17:00.neutral position on the referendum, and rightly so, has endorsed a

:17:01. > :17:05.fairer employment framework and recommend nation... I recommend

:17:06. > :17:09.focusing on diversity in all its forms in the work ways and

:17:10. > :17:15.particularly for women and young people. I endorse the importance of

:17:16. > :17:27.capturing and applying evidence of what really works in all levels. The

:17:28. > :17:34.independent body proposed by the review to read joint work by unions,

:17:35. > :17:40.and government, which produce sustainability and economic growth,

:17:41. > :17:44.adds weight to Arlington National Convention unemployment and Labour

:17:45. > :17:49.relations. That was Angela Constance, and we will have more

:17:50. > :17:54.reaction a little later. Let us get reaction from some of today's

:17:55. > :17:59.stories from Holyrood. I am joined with Jackson Carlaw, and Bob Doris,

:18:00. > :18:04.who is deputy convener of the Health and Sport Committee. Good afternoon.

:18:05. > :18:08.Let us start with the issue of welfare, Jackson Carlaw, highlighted

:18:09. > :18:13.today by Nicola Sturgeon. She says independence could mean 100,000

:18:14. > :18:18.people being affected by welfare changes at Westminster not having

:18:19. > :18:23.their benefits cut. Do you accept that the welfare changes promoted by

:18:24. > :18:26.your party have led to hardship? The first thing to say is that when she

:18:27. > :18:29.addressed the Health and Sport Committee at the start of the

:18:30. > :18:34.Parliament, she said she accepted the principles of welfare reform,

:18:35. > :18:38.but has not accepted the changes made to them, which is all about

:18:39. > :18:45.trying to get as many people off benefits and back into work. We have

:18:46. > :18:54.seen a significant fall in unemployment, a record number the

:18:55. > :18:58.number of families where no one had worked for over ten years, this has

:18:59. > :19:06.fallen to magically. Getting people into jobs is the best response. Anju

:19:07. > :19:10.being dismissive for those people who have been affected by these

:19:11. > :19:15.problems? Now, but I think for her to give that impression that if she

:19:16. > :19:21.sets the principles, all the welfare reforms they have in would be

:19:22. > :19:24.reversed and everyone would receive greater benefits is not to tackle

:19:25. > :19:35.the problem or be honest, she has not said how this would be paid for.

:19:36. > :19:42.Today, we know that billions less money was made through the oil shows

:19:43. > :19:56.that they are making up the figures as they go along. With there be

:19:57. > :19:59.reform in an independent Scotland? An independent Scotland would review

:20:00. > :20:03.the tax and benefits in the normal way. I am surprised that Jackson

:20:04. > :20:07.Carlaw cannot see the difference between reforms and cuts. The

:20:08. > :20:13.Scottish government has given an absolute guarantee that 100,000

:20:14. > :20:24.disabled people would otherwise be ?120,000 worth of... Can you say

:20:25. > :20:31.that no one would be worse off? You have to let me develop this point

:20:32. > :20:38.because 100,000 disabled people will be ?1020 worse off you can -- every

:20:39. > :20:41.year if this goes through. Scottish Government has given absolute

:20:42. > :20:46.clarity that we will halt that process. And the minimum wage will

:20:47. > :20:48.go up by at least the cost of living, we have given guarantees

:20:49. > :20:56.that tax credits and benefits will go up. How much does all of this

:20:57. > :21:00.cost? We are currently paying for that just now as part of the UK

:21:01. > :21:09.because we pay more than our fears year. Every country runs a fiscal

:21:10. > :21:14.deficit from time to time. The UK government will be ?1.3 trillion in

:21:15. > :21:18.debt, and you do not solve it by attacking the purist in society. An

:21:19. > :21:24.independent Scotland would allow us to defend the crudest. We have to

:21:25. > :21:32.tackle not just income inequalities but the health and well-being of the

:21:33. > :21:35.people of Scotland. Ultimately the government at Westminster is trying

:21:36. > :21:41.to save money on the backs of the most vulnerable. Welfare reform is

:21:42. > :21:45.not saving money, it is going to cost more in the next few years.

:21:46. > :21:51.Nicola Sturgeon does not say that there are a number of disabled

:21:52. > :21:54.people who are going to receive more in benefit because we are targeting

:21:55. > :21:59.it to them because they are the ones in greatest need. She also doesn't

:22:00. > :22:06.say that a number of people who will lose will also receive more in

:22:07. > :22:11.employment allowances. And 242,000 Scots have been removed from paying

:22:12. > :22:13.income tax altogether, that is tackling people at the margins and

:22:14. > :22:24.ensuring people have a great standard of living. Let me ask you

:22:25. > :22:29.about the NHS, people say that if we vote -- in the event of a No vote,

:22:30. > :22:36.there will be a threat. Is the scaremongering? There is a very real

:22:37. > :22:42.threat. And act in England estimated that it will save the UK over ?1

:22:43. > :22:51.billion per year, so if that is successful, privatising the NHS, the

:22:52. > :22:55.budget Barnett cut to Scotland will be ?100 million less coming to

:22:56. > :23:02.Scotland and Leicester Scotland's NHS because of the Tory Lib Dem cuts

:23:03. > :23:05.in England. That is no way to run a Scottish budget or health service.

:23:06. > :23:11.We are investing in the health service in Scotland. It has been

:23:12. > :23:17.privatised in England, I am very alarmed by this. But the budget has

:23:18. > :23:22.gone up in recent years, and the spending choices in terms of how

:23:23. > :23:26.much money goes into the NHS in Scotland rests with John Swinney. So

:23:27. > :23:34.the budget for the NHS in Scotland could be preserved if he chose to do

:23:35. > :23:39.so. The health budget is from a thick Scottish budget we get from

:23:40. > :23:44.the UK. If UK privatisation reforms are successful, the Scottish budget

:23:45. > :23:49.will go up by ?600 million less than it otherwise would. That will have a

:23:50. > :23:55.direct financial cost. All these welfare cuts coming to Scotland, 6

:23:56. > :23:59.billion welfare cuts, the Scottish government is trying to mitigate

:24:00. > :24:05.that with it can. Today it has mitigated it to the tune of ?250

:24:06. > :24:08.million, which should have been spent on devolved Scottish concerns,

:24:09. > :24:13.but because of the incompetent UK Tory Government, we are targeting

:24:14. > :24:17.that money to help the most vulnerable in society. Something has

:24:18. > :24:26.got to get somewhere, which is why we need independence. So the changes

:24:27. > :24:30.south of the border could have a financial impact on the Scottish

:24:31. > :24:35.NHS? Two this is the most depressing point we have got to in the

:24:36. > :24:40.campaign. The Barnett formula consequential is, by the

:24:41. > :24:47.government's own admission, have generated an increase in Scottish

:24:48. > :24:50.health service spending during this Parliament of ?1.3 million. --

:24:51. > :24:53.billion pounds. It is more significant than that because if you

:24:54. > :24:59.look at the increases in health spending, there has been no

:25:00. > :25:08.additional money whatsoever from the government in Scotland's core

:25:09. > :25:13.budget. Everything has come as a result of the Barnett formula

:25:14. > :25:17.consequential 's. There is a target to receive -- achieve efficiencies,

:25:18. > :25:21.and any money that is saved and health in England has been ring

:25:22. > :25:29.fenced by David Cameron, and has been reinvested. This is an enormous

:25:30. > :25:36.scaremongering story, and today over 60% of doctors said they are going

:25:37. > :25:53.with the No vote. There are more scare stories going around with the

:25:54. > :25:58.SNP. In that poll, only a couple of hundred doctors responded, so it is

:25:59. > :26:02.not very representative. But the stories are without foundation. It

:26:03. > :26:06.is depressing. The Scottish government brought all of the

:26:07. > :26:10.parties together and said, can we take the politics out of health

:26:11. > :26:13.because we have to work together if we are going to make a success of

:26:14. > :26:22.health care in future. All of the parties agreed that... The SNP are

:26:23. > :26:28.painting the most lucid portrait can. A quick response from Bob

:26:29. > :26:31.Doris. Jackson Carlaw would say that, trying to tell us everything

:26:32. > :26:36.is OK. We know that hundreds of thousands of children pushed into

:26:37. > :26:41.poverty, hundred thousand disabled adults at knife edge of cuts, ?600

:26:42. > :26:51.million coming out of the Scottish NHS if there is a No vote, it is my

:26:52. > :26:55.duty to stand up for these and only myself can do that. O back to

:26:56. > :27:04.Holyrood, where Angela Constance is taking questions on workplace

:27:05. > :27:08.relations. That gives an opportunity that is part of the procurement

:27:09. > :27:13.process that we can consider some wider workforce issues in terms of

:27:14. > :27:18.conditions and the page, and that is very important in terms of standards

:27:19. > :27:31.of living for people struggling with the rise in cost of living, and

:27:32. > :27:46.indeed business, and I have met many progressive employers, and workplace

:27:47. > :27:53.policies, and their importance to the success of the business. Many

:27:54. > :28:02.members are seeking to ask questions, so please BP. Westminster

:28:03. > :28:08.forced the minimum wage, forcing some of the hardest pressed families

:28:09. > :28:13.to bear the burden of the mismanaged budget. Can he confirm that any

:28:14. > :28:17.future independence government of which she is a part will ensure the

:28:18. > :28:27.minimum wage always keeps pace with inflation? Yes, ensuring the minimum

:28:28. > :28:38.wage keeps pace with the cost-of-living would be a key

:28:39. > :28:55.priority of the cost-of-living, and come this October there will be

:28:56. > :29:02.150,000 people... I see fair pay as a mark of a civic society, and

:29:03. > :29:09.something we could make a lot of road race on. The Minister said

:29:10. > :29:14.Scotland's economy will only achieve its full potential when we maximise

:29:15. > :29:22.the quality and quantity of work, but Murdo Fraser is right, we could

:29:23. > :29:29.have taken a step forward with that by guaranteeing a living age. Why

:29:30. > :29:33.would the Minister and her colleagues not work together with us

:29:34. > :29:46.and the trade unions to make that happen? I do think it is unfortunate

:29:47. > :29:51.that Mr Gray has such a short memory. My recollection was that Mr

:29:52. > :29:54.Gray and trade union colleagues worked very closely together with

:29:55. > :29:59.the Government. While there was disagreement as to what was and was

:30:00. > :30:02.not possible under EU legislation, I think considerable progress was made

:30:03. > :30:09.under the procurement legislation and in the fact that the amendments

:30:10. > :30:13.proposed by the Deputy First Minister included the living wage.

:30:14. > :30:18.We do, of course, all live with the difficulty of the fact we have a

:30:19. > :30:23.national minimum wage is enforceable in law which is much lower to the

:30:24. > :30:28.living wage, which is not enforceable by law and I think there

:30:29. > :30:32.has been very clear guidance from the commission. It is a shame we

:30:33. > :30:37.cannot recognise where progress has been made. Procurement have to be

:30:38. > :30:41.used as a power of good and to improve working conditions for

:30:42. > :30:45.people to the width and breadth of this country. The debate has moved

:30:46. > :30:48.forward. We will was look to see what more we can do and the

:30:49. > :30:51.consultation which starts now is very important.

:30:52. > :30:57.Still here, political commentator Hamish Macdonell.

:30:58. > :31:07.Firstly, the NHS. It has become a hot potato regarding the

:31:08. > :31:10.independence referendum. Those on the yes side seem convinced there

:31:11. > :31:15.could be a problem with NHS funding if there is a no vote. The element I

:31:16. > :31:21.think they have a point regarding funding but are well off the point

:31:22. > :31:28.when it comes to protecting the NHS. The NHS is devolved. The Scottish

:31:29. > :31:31.health service comes under the jurisdiction of the Scottish

:31:32. > :31:36.Government. If the Scottish Government wants to keep it as a

:31:37. > :31:41.national service without private contractors, it can do it. The main

:31:42. > :31:45.issue is money but I do not see the reason to say only independents can

:31:46. > :31:50.guarantee it, it is surely up to the Scottish Government before or after

:31:51. > :31:55.independence to keep that in place. The first minister is talking about

:31:56. > :32:01.it guaranteed. He is talking about enshrining the principles of the

:32:02. > :32:08.NHS, particularly free at the point of delivery in an independent

:32:09. > :32:12.Scotland. As far as I am concerned, the constitution is there to

:32:13. > :32:16.enshrine the rights of the country. It is not there to put policy

:32:17. > :32:19.decisions in now. The first minister has already said he wants to

:32:20. > :32:23.enshrine the right to a free education, the right not to have

:32:24. > :32:28.nuclear weapons, and now he wants to enshrine the right to have a free

:32:29. > :32:33.NHS. There may be a huge majority people in Scotland who back at least

:32:34. > :32:36.on the NHS and education but it does not mean they should be written into

:32:37. > :32:40.the constitution and bind every single future government in Scotland

:32:41. > :32:52.to what are essentially policy decisions. Let's talk about welfare

:32:53. > :32:57.with Nicola Sturgeon 's comments. What we do not have so far from the

:32:58. > :33:02.Scottish Government are costings on all of this. That is very

:33:03. > :33:07.important. The points that have been brought up, it is all very well to

:33:08. > :33:10.say we will not do this and pensioners and people living on

:33:11. > :33:13.disability allowances will be better off in an independent Scotland if we

:33:14. > :33:17.do not know whether money will come from. It is no surprise, if you look

:33:18. > :33:22.at the context of this in political terms, that he we have a key

:33:23. > :33:26.demographic, a key demographic is Labour voters, particularly those in

:33:27. > :33:33.poorer areas who are seen as most liable to become yes voters come

:33:34. > :33:38.September the 18th. This is aimed at them. This is a political point to a

:33:39. > :33:42.certain extent by the Deputy First Minister to say to these people, you

:33:43. > :33:47.may be Labour voters in the past, you may be wavering, if you vote

:33:48. > :33:53.yes, we will make sure you are better off. Health, welfare and the

:33:54. > :33:57.economy are the big issues. Jackson entered new statistics on oil

:33:58. > :34:03.production. The Conservatives seem to be claiming these figures are

:34:04. > :34:05.Scottish, did not want to publish but the Scottish Government is

:34:06. > :34:08.telling us they were not published inadvertently, the statistics,

:34:09. > :34:16.regularly. It seems that figure is a drop of 1.5 billion barrels of oil,

:34:17. > :34:20.?1.5 billion in terms of oil generated in the most recent period.

:34:21. > :34:24.This will be a pretty important story, not in terms of whether the

:34:25. > :34:29.figures were put out inadvertently or not. The key point is whether or

:34:30. > :34:33.not oil revenues are up to the point the SNP government says they should

:34:34. > :34:37.be to really make Scotland thrive as an independent country. What these

:34:38. > :34:43.figures seem to be saying is that oil revenues of round about ?4

:34:44. > :34:45.billion between ?3 billion and ?4 billion less than the Scottish

:34:46. > :34:49.Government hoped they would be all would like them to be to carry

:34:50. > :34:54.Scotland forward. If there is a whole of that extent in the finances

:34:55. > :34:58.of Scotland under independence, it is going to put the Government that

:34:59. > :35:03.takes over in some kind of trouble. Oil is central to the whole argument

:35:04. > :35:07.about independence. It is so important in revenue terms to an

:35:08. > :35:08.independent Scottish economy. We will talk again before the end of

:35:09. > :35:11.the programme. More questions in the Chamber at

:35:12. > :35:13.Holyrood on workplace relations. Let's head back to Edinburgh to hear

:35:14. > :35:26.how this session is progressing. With regards to recommendation 24,

:35:27. > :35:35.and I have to apologise, I did not answer part of Murdo Fraser 's

:35:36. > :35:40.question. The recommendation 24 is that the Government should legislate

:35:41. > :35:42.to ensure there is effective worker representation from representative

:35:43. > :35:47.trade unions on the board of every public sector body. We will

:35:48. > :35:52.certainly be taking a close look at that recommendation, taking it

:35:53. > :35:56.seriously and investigating it. It chimes very clearly with aspirations

:35:57. > :36:00.and plans to increase representation of women on boards in Scotland and

:36:01. > :36:12.we have laid down our intentions and, if necessary, our ability and

:36:13. > :36:15.desire to register. The UK Government policies on welfare cuts

:36:16. > :36:20.are hitting women hardest. Does the cabinet secretary agree that by

:36:21. > :36:24.increasing the participation of women in the workplace damages in

:36:25. > :36:32.the gender pay gap that exists in some professions, Scotland could see

:36:33. > :36:36.clear economic benefits? The Joseph Rowntree foundation and those

:36:37. > :36:42.working together reviewed the report which made a very salient point

:36:43. > :36:46.about inequality. When we are discussing and debating inequality,

:36:47. > :36:52.we talk about welfare reform and tax policies. Rightly so. We must not

:36:53. > :36:56.forget to say that well rewarded, high-quality workplace is the best

:36:57. > :37:06.route out of poverty. Ken Macintosh now. Can I thank the Minister for

:37:07. > :37:14.the direction of travel she has indicated in and sustainable

:37:15. > :37:18.employment? I reserve it stands in contrast with government support

:37:19. > :37:26.which is given to union avoiding and tax avoiding companies like Amazon

:37:27. > :37:34.on. Can I ask the minister whether she will introduce progressive

:37:35. > :37:39.policies like Labour with regard to wage ratios? I look at the detail of

:37:40. > :37:47.any recommendations that Ken Macintosh wishes to forward to me. I

:37:48. > :37:50.will unite with them and see -- and agree that everyone should pay no

:37:51. > :37:54.tax. At Westminster,

:37:55. > :37:56.David Cameron is chairing a meeting of the Government's COBRA

:37:57. > :37:58.emergency committee on the crisis in Iraq after returning early

:37:59. > :38:01.from his family holiday. Let's speak to our Westminster

:38:02. > :38:11.correspondent, David Porter. Where does this pressure come from?

:38:12. > :38:14.Pressure is coming on the Prime Minister on a number of fronts.

:38:15. > :38:19.There are a number of MPs who say the scale of what is happening in

:38:20. > :38:23.Iraq and the potential loss of life under threat to life is so serious

:38:24. > :38:32.that really Britain ought to step up its aid programme and perhaps

:38:33. > :38:38.consider arming the Kurds who are taking on ISIS, now known as I S.

:38:39. > :38:42.David Cameron has made a brief statement. He says detailed plans

:38:43. > :38:46.are being made for more humanitarian aid to try to get the people of the

:38:47. > :38:50.mountain and tried to get them to places of safety. He said that

:38:51. > :38:54.Britain would be fully involved in that operation. What he did not do

:38:55. > :38:58.was give any more facts about the role that Britain would be playing.

:38:59. > :39:02.We know that there have been a number of humanitarian aid drops,

:39:03. > :39:07.three so far, from the aria. We also know as well that the number of

:39:08. > :39:19.generic helicopters are being sent to Cyprus, where they can fly to

:39:20. > :39:22.Iraq if necessary. Their role is to bring troops in, get aid in and

:39:23. > :39:27.bring troops out as well. He was asked if it was time to recall

:39:28. > :39:31.Parliament. He chose his words carefully. He said it was a

:39:32. > :39:35.humanitarian operation did not think parliament would have to be

:39:36. > :39:41.recalled. He said if the situation changed, he may change his mind.

:39:42. > :39:44.That is a developing story. Let me ask you about remarks by Mark

:39:45. > :39:50.Carney, who gave a press conference today. Is that the Bank of England

:39:51. > :39:52.had contingency plans in the event that the referendum in September

:39:53. > :39:57.raises financial stability issues. What does he mean by that? What he

:39:58. > :40:01.means by that, he made it plain that any decision on the currency and how

:40:02. > :40:06.currency would operate potentially in an independent Scotland would be

:40:07. > :40:11.for the politicians to decide. He said the Bank of England 's key role

:40:12. > :40:15.was to try and ensure there was stability in the financial markets.

:40:16. > :40:21.He went as far as to say their work contingency plans. He did not spell

:40:22. > :40:25.them out. He said he would be looking at all the options and made

:40:26. > :40:31.it plain that as far as the Bank of England are concerned that the

:40:32. > :40:36.priority is whatever the politicians and voters decided would be to try

:40:37. > :40:40.to maintain stability and certainty in financial markets. This is

:40:41. > :40:45.uncharted territory. It would be surprising if the bank did not have

:40:46. > :40:49.contingency plans. He was at pains to say any decision on currencies

:40:50. > :40:53.which would and would not be used, that would be for the politicians.

:40:54. > :40:57.He said his job would be to implement what the politicians

:40:58. > :41:02.decided that they wanted to happen. His key role and the key role of the

:41:03. > :41:06.Bank of England is to try and ensure stability and, yes, I think it would

:41:07. > :41:11.have been extraordinary if he had put it another way and said, no, we

:41:12. > :41:17.do not have any plans whatsoever. That is more likely to have spooked

:41:18. > :41:21.the financial markets. Let's have a final word with my guest. How much

:41:22. > :41:28.pressure is David Cameron under? I think he is under great pressure.

:41:29. > :41:31.Every Prime Minister in the last 25 years would have been cursing the

:41:32. > :41:35.name of Iraq. It has been a running sore for years and years and years

:41:36. > :41:41.and it has come again -- come up again. The issue behind the story is

:41:42. > :41:44.whether or not Britain takes a move to stop humanitarian aid, or

:41:45. > :41:48.continue with humanitarian aid and move to more monetary aid as well.

:41:49. > :41:53.That is where David Cameron has been very careful about the language he

:41:54. > :41:55.has used, leaving open the possibility of recording parliament

:41:56. > :42:01.if there is any suggestion of that. Quite clearly, learning lessons from

:42:02. > :42:05.the past where Parliament was not consulted as fully as it might have

:42:06. > :42:09.been on the circumstances behind the decisions that have been made. Let's

:42:10. > :42:13.talk about the oil issue. The Scottish Cup and has given more

:42:14. > :42:17.information on this. Scottish Conservatives are saying these are

:42:18. > :42:21.inadvertently revealed figures which suggest the Scottish gunmen saying

:42:22. > :42:24.they were released as planned. It made clear that record investments

:42:25. > :42:27.in the North Sea would reduce revenues in the short term and that

:42:28. > :42:33.is what we are seeing. When they talk about the investment in the

:42:34. > :42:37.industry, production increases by 14% between 2013 and 2018. When it

:42:38. > :42:44.comes to oil predictions, you pay your money and take your choice. As

:42:45. > :42:47.investment goes up, revenues go down because the tax revenues are not

:42:48. > :42:51.that and the companies are putting more money into investment. The

:42:52. > :42:54.point is that we cannot predict. You cannot project what the revenues

:42:55. > :43:00.will be like when you're to the next. It will be foolish or anyone

:43:01. > :43:03.on any side to make any judgments about how much money a Scottish

:43:04. > :43:08.Government would have, an independent Scotland, based on tax

:43:09. > :43:14.revenues which would go up wildly from year to year. People are going

:43:15. > :43:17.to continue to speculate on that one for the next few weeks. Get a Mac

:43:18. > :43:25.with a Scottish Government has got itself into a bit of a fix. -- the

:43:26. > :43:29.Scottish Government has got itself into a bit of a fix. It would not

:43:30. > :43:34.any finance and independence column that paper the old fund as well. --

:43:35. > :43:39.but pay for the old fund as well. Tonight on Reporting Scotland,

:43:40. > :43:43.the First Minister, Alex Salmond, will be in the studio

:43:44. > :43:45.for an extended interview. The Better Together leader

:43:46. > :43:47.Alistair Darling will be I'll be back

:43:48. > :43:51.at the same time next week. I'm Jo Brand and I'm serving up

:43:52. > :44:34.an Extra Slice of Bake Off action I'll shine a spotlight

:44:35. > :44:39.on all the goings-on in the tent - the good, the bad

:44:40. > :44:41.and the soggy-bottomed. And every week, I'll be joined by

:44:42. > :44:50.the latest baker to leave the tent. Hi, I'm Richard Osman

:44:51. > :44:52.and why not join me