18/04/2012 Politics Scotland


18/04/2012

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Hello and welcome to Politics Scotland. Coming up on the

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programme: Today's the day that MSPs are set to agree to the UK

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government's plans for the Scotland Bill with new tax and borrowing

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powers for Holyrood. Here at Westminster, MPs will be

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keeping a close eye on that, but a month on from the Budget the

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argument continues over the winners The number of Scots seeking work

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has fallen, according to figures out today. This was despite a

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contraction in the Scottish economy. Our business and economy editor,

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Douglas Fraser is here with all the facts and figures, along with our

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political commentator for the afternoon, Angus Macleod from the

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Times. Good afternoon, gentlemen. Better

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news for the Scottish economy today. Yes, it is fairly upbeat. It is

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beginning to come right for spring. You could look at it in several

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ways and most are looking fairly good. Both people in employment and

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those looking are better. Figure that this morning show that in

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Scotland it is down 12,000 so around a third of the fall we saw

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for the whole of the UK and it puts Scotland in a better employment

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position than the rest of the UK. It is still close to the UK average.

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Another way of looking at this is the number of people on jobseeker's

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allowance has got worse for the UK and Scotland, up by 900. They are

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the hard core of the unemployed and on benefit. We have... We have also

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seen other information for Scotland, haven't we? The growth figures

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which are quite old figures because they cover the 4th quarter, the end

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of last year and GDP, the measure of output in the economy. That

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contracted in the 4th quarter by 0.1%. UK figures are slightly worse

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but it is clearly not good news if you have a contracting economy. It

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is not a recession unless you get to quarters like that and in the

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first quarter, including the employment figures, suggest it will

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not be too quarters we are heading towards. The construction industry

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was worst affected by that. It had a bad year. The whole of the

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Scottish economy is growing by 0.5% and the UK economy is growing by

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slightly more. Destruction is a sector badly affected as is the

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retail sector. We've got figures today for that which are slightly

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up but only for food. Another statistic is about exports and that

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has been flat according to the most recent figures. Looking at all of

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these figures in total, you mentioned the UK, how can spot --

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Scotland's position be viewed as a comparison to the rest of the UK?

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Through the downturn, it has been in a better position and then got

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worse off. This latest set of figures put it into a better

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position but only by a narrow margin. In the past year, the

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unemployment figures of those seeking work, and particularly

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compared with the north-west of England which it looks really grim,

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Scotland has been performing pretty well after several months of some

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pretty bad figures compared to the rest of the UK. Angus MacLeod,

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Scotland is performing pretty well and that will be music to the

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Scottish government, won't it? there has been analysis about to

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who was to blame in the month-by- month increase in and cut -- and

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employment but today the language has changed and it is who gets the

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credit. The first Minister was quick to seize on these figures to

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say that Scotland was comparatively performing better than the rest of

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the UK. Actually, a lot of people would feel that it doesn't feel

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like that out there. They run major sources of worry with in these

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figures. Predominantly, youth unemployment figures are still

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horrendously high. The number of women who have found themselves out

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of work in Scotland and throughout the UK seems to be on the rise all

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the time. There are real areas and pockets of concern behind the

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headline figures of a better, marginally better picture, then

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this time last year. We will be hearing later about the Prime game

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in -- Prime Minister putting a positive spin on the UK figures but

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it is still a worrying time, is it? And for David Cameron's view, this

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is the best set of figures in a while. Quite honestly, no one

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should think that these figures that we are out of the woods though.

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200 N19 1000 people in Scotland out of work is still not a comfortable

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figure -- 219,000. Thanks very much. An MSP at the centre of domestic

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abuse allegations has said he's the victim of an "orchestrated smear

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campaign". Dunfermline MSP Bill Walker has been expelled by the SNP

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after it emerged his three former wives had accused him of physical

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violence. For the latest on this, let's speak to our political

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correspondent Glenn Campbell. Good afternoon. First, can you

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remind us of the story behind this? Well, Parliament is back from the

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Easter break and Bill Walker remains a member of it although he

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has been expelled by the SNP. He does still sit as an independent

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nationalist although there is no sign of him at Holyrood today. He

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was expelled because of allegations which emerged from his three former

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wives that he had physically assaulted them. The allegations

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have emerged in historic court papers and, indeed, one of the

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women has given an interview to the BBC in which she alleges that Mr

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Walker and -- attacked her on several occasions. He denies this

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and has issued a statement saying the allegations have been so

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distressing he felt compelled to say something. He says he has never

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assaulted anyone and he claims to be the victim of an orchestrated

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smear campaign to which he says, "I shall not be succumbing".

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Thanks for that up date. The Prime Minister has acknowledged

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he's endured a "tough month" as Ed Miliband attacked the Budget

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"shambles", as he put it. The Labour leader attacked the decision

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to cut the 50p rate of income tax and freeze personal allowances for

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pensioners. According to the Institute for Fiscal Studies, the

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result of all these tax changes from April, families with children

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will be over �500 a year worse off. I notice he has moved off the top

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rate of tax because he does not want to talk about it. I will ask

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him, he has to withdraw his amendment because it he is

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successful, he will give us a 40p tax rate. The other reason he

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doesn't want to talk about the top rate of tax is because he can't

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convinced Labour's candidate for the mayor of London to pay his

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taxes. When it comes to pensioners, what we have done is increase the

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basic state pension, we have kept the pensioner benefits and a freeze

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in age-related allowances means there will be no cash losses.

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Compare that with a pathetic 75p increase for pensioners. We

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remember what their budget did. Will he stand up now and condemn

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Labour's candidate for mayor of London he will not pay his taxes?

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Mr Speaker, in case... He is very excited today! In case he has

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forgotten, it is Prime Minister's Questions, the clue is in the name.

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I ask the questions and he is supposed to answer them. No answer.

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No answer on pensioners, no answer on families. What about charities?

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The Prime Minister's big idea was the Big Society. Since the Budget,

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I don't know why he is taking advice from the Chancellor sitting

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next to him -- the apartheid Chancellor. What dark -- job is he

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doing today, Mr Speaker? Since the Budget, the government has managed

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to insult people who give to charity and he has insulted the

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charities themselves by implying they are bogus. The Prime Minister

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claimed he worked on the budget line by line. Did he know when he

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signed off the budget that it represented a hit of as much as

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�500 million on Britain's charities? The figures are

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completely wrong. Let me tell the right honourable gentleman, first

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of all, there is absolutely no defence of Ken Livingstone. What

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this is about is making sure the richest people in our country pay

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their taxes. Last year, there were over 300 people earning over �1

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million who paid a rate of tax of 10%. I don't think that is good

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enough and we have a Labour candidate for mayor of London who

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is paying less tax on his earnings than the person he cleans his

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office. I think that is disgraceful. Why won't he condemn it?

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Speaker,... Order. Order. They look -- usual level of August they can

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on the usual benches -- the usual level of orchestration. What a

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desperate Prime Minister who cannot justify his own budget. If he wants

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to talk about the mayor of London, we have a candidate who will cut

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Tube fares, who will make rates Faroes and he will bring back the

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educational maintenance allowance. He has a candidate who is out of

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cut -- touch and was arguing for a cut in the 50p tax rate. The

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reality on charities is that he is not making the rich worse off, he

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is making charities were job. We have seen a charity tax shambles,

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the church tax shamble, the caravan Tax shamble, and the pasty tax

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shamble all over the last month. Mr Speaker... Mr Speaker, we are all

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keen to hear the Prime Minister's view as to why he thinks that, for

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weeks on from the Budget, even people within Downing Street are

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calling it and "on many shambles" budget. We have a mayor who pays

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his taxes so nothing from him about unemployment or the rich needing to

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pay their taxes. Nothing about Ken Livingstone's responsibilities.

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This budget cut taxes for 24 million people, cut corporation tax,

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it made Britain co-operative -- competitive. Let us look at his

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last month. He lost the Bradford by-election. He has given one

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person a job opportunity, George Galloway. He lost the Bradford by-

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election, he showed complete a weakness when it came to the unite

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trade union and the fuel strike and he has a mayor of London who will

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not pay his taxes. That is his - my his last month. As ever, hopeless.

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Our Westminster David Porter was watching PMQs - a very lively first

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session after the recess. It was. Whoever coined the phrase, April

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showers, knew what they were talking about. The Coalition

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government here at Westminster has not had its problems, but it has

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had a real problems after the fall out of the Budget and it is still

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being mentioned in the House of Commons as we saw. Just to give

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some indication of how important that is and what problems it poses

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for the government, there was a know the story breaking as we talk

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which will pose significant problems. Cast our minds back to

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yesterday when Theresa May came to the House of Commons and said that

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the radical preacher, Abu Qatada, had been arrested and they would

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put deportation proceedings against him which went through an Appeals

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immigration court yesterday and she said they were guarantees from

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Jordan that he could stand trial there. It seems someone from the

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home of his got their timing wrong and an appeal has been made to the

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European Court of Human justice and the Grand chamber to try to get the

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case looked at. The upshot of that is that the deportation proposals

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cannot go ahead while that case is considered. Senior judges at the

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European Court will now consider whether this will go to a full

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hearing in their highest court, the Grand chamber. If they decide not

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to, a deportation proceedings can go ahead but if they decide that

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they want to have a full hearing, that, at the least, could delay the

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deportation by a number of months. It is hugely embarrassing for the

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Home Office and the Home Secretary. It is devastating, in deed, for the

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Home Office and I suppose the Conservatives have been trying to

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look tough on this issue? Yes, most MPs say they believe that Abu

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Qatada or potentially poses a threat to the people of Britain and

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he was once called by a judge Al- Qaeda's main lieutenant and Osama

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Bin Laden's right hand man in Europe and most people believe he

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should be deported to Jordan to face trial there. Others say it has

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to be done within the law. Reports are just coming in that the Home

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Office jumped the gun and thought the deadline for appealing to the

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so-called grand chamber had gone on Monday night. In fact, the deadline

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was last night. Just before the deadline expired, lawyers for Abu

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Qatada it made it known to the court they would want to go through

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that process of Appeal so, at least, it will delay proceedings. You may

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have a situation whereby Abu Qatada or's lawyer's go to the immigration

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authorities and immigration court and say it this changes things and

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we would like him released on Beale, albeit with stringent conditions.

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If that happens, it will just heap more problems on what has happened

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and will cause further problems for Theresa May. I would be surprised

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if the opposition parties do not call for Theresa May to come to the

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House of Commons to explain what has and has not happened in an

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I am joined in the studio by Angus Macleod once again. We can pick up

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on that breaking news that David was bringing us. Unbelievably

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damaging for the Government. They must be thinking, when will this

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problem be resolved? I spoke about the self-inflicted injuries this

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Government seems to be hell-bent on inflicting on itself. And here is

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another one. Teresa May will argue that once again she is in the hands

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of Kosovo servants, officials, officials advise, ministers decide,

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but there seems to be a certain amount of trumpeting yesterday by

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the Government over the deportation of Abu Qatada, which was premature,

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to say the least. This has blown up in their faces. Accidents do happen

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to Governments, but Governments should try to see these coming and

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again they have abjectly failed. Miliband tried to bring that out at

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Prime Minister's Questions. His main theme was to say that the

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Government is out of touch with the ball. The actor is the thing. --

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out of touch with people. -- this is the thing. You get things like

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the pasty tax and the granny tax coming up to hit you, and the key

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element of the coalition is to keep that coalition together, but we

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have been hearing for more than a year that the political touch of

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the Conservatives at Westminster is second to none, especially George

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Osborne, the great master strategist. People are having to

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revisit that do because it seems that his main mistake was to

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completely underestimate the impact of some of the measures in their

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budget on the public consciousness, and he is being a heavy price for

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that, as is the Prime Minister. Prime Minister came back at Ed

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Miliband and pointed out that amazing by-election victory for

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George Galloway, and we also saw him speaking in the Commons. Yes,

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we also saw George Galloway glaring at the Prime Minister! David

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Cameron it was able to go on the attack, and then Ed Miliband went

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on the attack about the problems the coalition have had, then we had

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that appalling result for Labour in Bradford West. That is an

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indication of just the way that politics in Westminster is running

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at the moment. We have had a couple of opinion polls showing Labour

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building a substantial lead. Whether it will last very long is a

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good question but it takes the immediate pressure off Ed Miliband.

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That is very important for political leaders, that they can

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operate without unnecessary pressure. Back to Orly route, where

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MSPs have been debating Ofgem's review into the cost of supplying

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electricity the National Grid. There is concern the Scottish our

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than Speyside charges and that could put them in an uncompetitive

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position as they try to capitalise on renewable energy. We can hear

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from the Energy Minister, Fergus Ewing. One is at stake is the

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development of renewable energy in the Western and Northern Isles of

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Scotland. We hope to have read -- renewable energy as an engine for

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economic growth, able to deliver jobs, inward investment and direct

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and lasting benefits to communities, especially the most fragile

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communities we have, those on our Islands, where clean energy

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resources are at their most abundant. But we have a charging

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regime that discourages the deployment of renewable energy

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projects in those areas of finest the source goes up having

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previously recognised our concerns, it is highly disappointing that the

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new proposals for charging that of Jim have put forward would continue

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to discriminate -- of GM -- OfGem. They we see charges of one poem per

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kilowatt for connection to the grid in the South West of England, but

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six the grounds for all be, 67 bound for Schiller, �77 for the

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Western Isles. -- for Shetland. Why, then, put him forward? This is an

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extraordinary way to proceed and it begs the question about the process

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of of change and commitment to it. OfGem Must proceed on the basis

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that be fairer deal for these islands remains a necessity. As a

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Government we must make it clear to Ofgem that leaving the islands in

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the "to do have a gold" box is not an option. The scale of large

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renewable businesses and other parts of the UK are arguing against

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any reform to this process, a process that could assist

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renewables development in the northern and Western Isles. What is

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his best measure for dealing with those other companies were arguing

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with Ofgem about the change that we need to see happen? Companies will

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be affected in different ways, but what I hope to do is to make sure

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that all parties in this chamber is to argue that when Ofgem's board

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meets to consider the proposals it must consider the anomalous

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proposals of considering accepting the draft proposals which

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discriminate against the island's, in the way that I have set out.

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There are pressures on of gem. I recognise that. But to put forward

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a proposal where the island's would be subject to 77 times greater than

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part of the UK is, to me, quite an astonishing proposition, and one

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that I hope all parties in this chamber can unite behind. I wanted

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to depart from the script, to say that I welcome the support and

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engagement of all parties in connection with these matters.

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good news is that we have come up with a fairer charging system that

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will benefit renewables, do for Scotland. It is not an entirely

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flat system, not the postage-stamp approach that some would like to

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see, but for mainland Scotland at least it is a huge step in the

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right direction. Neil Stuart of Scotties vehicles described the

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proposals as a move towards dearer charges for projects on the

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Scottish mainland and said the reforms would encourage rather than

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block investment in renewable energy in Scotland. Unfortunately,

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project transmit does not appear to have concluded that the same

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argument for mainland Scotland and even for the Isle of Skye should

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apply to Scotland's Islands, in particular to Orkney, Shetland and

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the Western Isles. The network has not been extended to the evidence

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which are treated as exceptions. Quoting will Stuart from Scottish

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renewables, he estimates that under the proposals, a wind farm in the

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Western Isles would be �77,000 for every megawatt capacity, compared

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to 2,000 capacity -- �2,000 for a similar wind farm in the South West

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of England. This could effectively scupper many proposed developments

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and it will have a direct impact on small scale, community-owned

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renewables. The airlines and opt may have led the way in micro and

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community electricity generation. The issue for the small-scale

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projects is the basic problem of connecting to the network. There

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are very few cables and wires across these remote areas, and I

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would hope that all of us would want to see a new charging system

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that would improve access rather than rhetoric entirely economic --

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than render it entirely uneconomic. We need to promote security of

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supply and facilitate the move to low carbon future. I was therefore

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surprised that the SNP motion today does not mention consumer bills,

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but it favours the flat-rate charging known as socialising. I

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cannot understand why, given that Ofgem rules this out on the basis,

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and I quote "average bills would rise more in than of the Scotland,

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where fuel poverty is highest, at least in London, where fuel poverty

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is lowest." Scottish nationalists proposing higher bills for

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Scotland? And lower bills for London? This approach would cost at

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least another �30 per household in the not the Scotland. The SNP's new

0:26:210:26:30

Highlands and they then stacks. cannot accept the costings has made

0:26:300:26:34

by Ofgem to justify the refusal to accept the postage-stamp model. We

0:26:340:26:40

do not accept these are valid. However, the motion refers to the

0:26:400:26:43

postage-stamp option but you are free to vote for it and not

0:26:430:26:47

committed to it. We simply point out that there are strong arguments

0:26:470:26:53

for it. We hope that you will unite and support the islands of Scotland.

0:26:530:26:58

I certainly will not be uniting to support, as a Highlands and Islands

0:26:580:27:03

MSP, to support an extra �30 on the bills are people in the knot of

0:27:030:27:09

Scotland and nothing or the bills of people in London. We SNP motion

0:27:090:27:18

welcomes their emerging outcomes of the ICRP. This can only be done

0:27:180:27:22

with full consultation with industry partners, which could take

0:27:220:27:28

some months. So the SNP favours full and proper consultation.

0:27:280:27:35

Surely they would then favour the industry panel - I have taken long

0:27:350:27:37

enough interventions are so far - rather than rushing them through

0:27:370:27:42

and worrying about problems later. Mary Scanlon from the Conservatives,

0:27:420:27:52

there. I am joined by energy analyst David Hunter. Can you recap

0:27:520:27:59

and explain about transmission charges? The transmission charges

0:27:590:28:03

today relate to how much it costs to connect a wind farm to the

0:28:030:28:07

National Grid across the UK. The reality is that, due to the

0:28:070:28:12

infrastructure of the national Grid, it costs a different about of money

0:28:120:28:19

depending on how remote the area where the wind farmers. -- where

0:28:190:28:26

the wind farm is. We saw some concerns there about bills. Mary

0:28:260:28:32

Scanlon spoke about �30 extra energy bills for people in that the

0:28:320:28:35

knot of Scotland. What sort of course there were looking at end

0:28:350:28:41

people's bills? Over the next decade across the UK, we could be

0:28:410:28:48

talking in the terms of billions in terms of overall additional cost.

0:28:480:28:54

But just why has, but you power stations and so on, by Twenty20, of

0:28:540:28:59

Gen bullies who will have to introduce new infrastructure worth

0:28:590:29:01

�200 billion. Project transmit looks like being a important part

0:29:010:29:06

of that. It depends how much we are prepared to pay to have renewables

0:29:060:29:10

right through the UK. Is it right to suppose that public money is

0:29:100:29:14

used to fund that, when I suppose there are other renewable projects

0:29:140:29:20

in England which might not receive such a subsidy, the Severn tidal

0:29:200:29:26

barrier, for example? It is an argument people would put forward.

0:29:260:29:30

If the new boss were a good thing they and a good thing regardless of

0:29:300:29:34

their location. The competitive advantage that Scotland has is in

0:29:340:29:39

the wind power, the way one tidal power that we have naturally at our

0:29:390:29:43

disposal. That should make it attractive to have generation up

0:29:430:29:48

here, but the problem is, the grid does not physically cope with the

0:29:480:29:52

level of connection that we're looking to put in place and, who

0:29:520:29:56

should pay for that at this level of charges? Should it be spread

0:29:560:30:00

across consumers across the UK, or should that the charges on the wind

0:30:000:30:06

farms in Shetland, themselves? we take away from the competitive

0:30:060:30:09

advantage and make companies not that keen to please renewable

0:30:090:30:15

energy projects in those areas? -- to place. That is specifically a

0:30:150:30:19

problem for places like Shetland, Orkney and the Western Isles, less

0:30:190:30:23

all in the Scottish mainland, but does that just come down to

0:30:230:30:28

economics and what makes sense? So, those who argue against the

0:30:280:30:32

socialisation model that we have just heard about would say, really,

0:30:320:30:39

it is not cost-reflective, and it is it the best way to deliver a low

0:30:390:30:49
0:30:490:30:53

What is the way forward? How do you think things might be resolved?

0:30:530:31:01

socialisation model and the equally -- equal postage stamp all it

0:31:010:31:07

system is unlikely to happen. There are additional costs in that model.

0:31:070:31:12

We are more likely to see an amended version of the proposals

0:31:120:31:16

that have been put forward which give some concessions but the

0:31:160:31:20

biggest difficulty will be for the Northern Western Isles and that

0:31:200:31:25

will be an ongoing difficulty. you do have wind project's in those

0:31:260:31:30

areas which are not running sometimes, it will they have a

0:31:300:31:35

higher cost than perhaps waved project which can run all the time?

0:31:350:31:41

Absolutely. If you look at, conversely a nuclear plant, the

0:31:410:31:45

availability factor and the percentage of time that it will be

0:31:450:31:52

generating - 80 or 90%, whereas wind is below that, that is

0:31:520:31:56

something we have to bear in mind the generally within these cost

0:31:560:32:00

structures. Thanks very much New powers for the Scottish Parliament,

0:32:000:32:03

including greater control of taxation, will take a big step

0:32:030:32:06

forward today. Later this afternoon at Holyrood, MSPs are expected to

0:32:060:32:09

endorse the overall package of the Scotland Bill, giving Westminster

0:32:090:32:15

the go-ahead to introduce the reforms.

0:32:150:32:23

Under the New Deal, 10p of income tax will be devolved. MSPs can

0:32:230:32:27

increase tax or cut tax and have more to spend all they can leave

0:32:280:32:33

well alone. For the first time, Holyrood will be able to borrow

0:32:330:32:40

within Treasury limits and that will be spread over a longer period.

0:32:400:32:43

There will be a consultation whether they can issue their own

0:32:430:32:49

bombs. The drink-drive and national speed limits are now over the

0:32:490:32:52

aggregates Levy. Plans to shift some powers back to Westminster

0:32:520:32:58

have been dropped. There was a new procedure for

0:32:580:33:01

Scottish criminal cases that go to the UK Supreme Court. Let us get

0:33:010:33:05

some thoughts on this from our Westminster Correspondent, David

0:33:050:33:10

Porter, who is on College Green. Thank you. As we have just heard,

0:33:100:33:15

There are some pretty significant powers that are going from

0:33:150:33:19

Westminster up to Holyrood if the Bill goes through and everyone says

0:33:190:33:23

that is what they want to happen. One man who probably knows better

0:33:230:33:28

than most of us what is in the bill is the man who had to put it

0:33:290:33:33

through the House. David Mundell, you and your colleagues are always

0:33:330:33:38

telling us that this is the biggest transfer of fiscal powers to

0:33:380:33:44

Holyrood since the Act of Union in 17 07. Your opponents would say it

0:33:440:33:51

is a start but it doesn't go far enough. The report which is set out

0:33:510:33:55

in the Scotland Bill is a significant devolution development.

0:33:550:33:59

We have a transfer of fiscal powers which will mean the Scottish

0:33:590:34:03

Parliament will raise about their third of its income and will be

0:34:030:34:08

financially accountable. That is what everyone recognised was the

0:34:080:34:12

deficit in the existing devolution settlement. Other important powers

0:34:120:34:16

are being transferred such as the regulation of a guns or speeding

0:34:160:34:21

and drink-drive limits. There are significant powers and the ones

0:34:210:34:26

there was a consensus around. What is important now if we get their

0:34:270:34:31

legislative consent, is to implement those powers and think

0:34:310:34:39

how to do that. Some people might say that with the independence

0:34:390:34:42

referendum on the constitutional debate, the Scotland Bill is now

0:34:420:34:46

irrelevant and things have moved on. We are now dealing with far more

0:34:460:34:51

than anything the Scotland Bill could give. The Scotland Bill is

0:34:510:34:56

certainly not irrelevant. It is the biggest shift in financial powers

0:34:560:35:01

in 300 years. It will bring financial accountability to the

0:35:010:35:05

Scottish Parliament and it will have the power to set the Scottish

0:35:050:35:10

rate of income tax. They are very significant developments. The

0:35:100:35:14

referendum about independence is a separate matter. It is a matter

0:35:140:35:18

about whether the people of Scotland want to be part of Britain

0:35:180:35:21

or they want Scotland to be separate. We want to get on with

0:35:210:35:25

that referendum, answer that question, and then there will be

0:35:250:35:29

scared to discuss the devolution settlement going forward but first

0:35:290:35:33

we need to know if people in Scotland want to be part of Britain

0:35:330:35:39

or separate. So, to coin a phrase, the Scotland Bill could be part of

0:35:390:35:43

a process and not a line in the sand? It has always been the

0:35:430:35:48

Government's view and I think most people in realpolitik in Scotland

0:35:480:35:56

think that devolution is a process and not an event. The review will

0:35:560:36:01

not be the last review. But we have to ensure that we know where the

0:36:010:36:06

people in Scotland one to be in Britain or not, because there is no

0:36:060:36:11

point talking about powers if people don't want to be in Britain.

0:36:110:36:16

That is why it is important to get on with the referendum, find the

0:36:160:36:20

answer to that question and then other debates can follow after that.

0:36:200:36:26

On a different topic, some rather worrying developments for the UK

0:36:260:36:30

government on the Abu Qatada case where by the European Court of

0:36:300:36:34

Human rates say they may want to consider it further and the British

0:36:340:36:38

Government will not be able to continue with deportation

0:36:380:36:45

proceedings and that will slow things down, won't it? A lawyer's

0:36:450:36:49

view is that the appeal he proposes to make cannot be made but the

0:36:490:36:57

lawyers will resolve that. The British Government is clear. The

0:36:570:37:00

British -- he is not wanted in this country and we male make sure we

0:37:000:37:08

take the necessary steps to ensure that. Thank you very much. We will

0:37:080:37:14

be talking far more about those topics later.

0:37:140:37:20

Let as head to Holyrood where Linda Fabiani of the S MP, James Kelly

0:37:200:37:26

from Labour and Willie Rennie is there. Thank you for joining me --

0:37:260:37:35

SNP. First of all, Linda Fabiani, why have you discarded to support

0:37:350:37:42

the Scotland Bill -- decided? has been substantial changes to the

0:37:420:37:45

Scotland Bill since it first came out in 2010, the main one being

0:37:460:37:50

that the harm that could be done to Scotland by the calculations in the

0:37:500:37:53

block grant has been removed. We have agreement there will be a

0:37:530:38:00

joint agreement between the two governments before they can beat

0:38:000:38:05

any implementation of the tax power. I think it has moved quite a way.

0:38:050:38:10

There is no harm to Scotland and that is why we will support it.

0:38:100:38:17

have to accept it, don't you? It would look bizarre if you didn't

0:38:170:38:23

want to accept more powers for the Scottish government? Of course,

0:38:230:38:27

there were things there we wanted but the bottom line for the SNP is

0:38:270:38:32

that if it caused harm to Scotland we could not have supported it. In

0:38:320:38:37

its original form, it was capable of that. There have been

0:38:370:38:40

concessions made by the UK government and that is why we will

0:38:400:38:46

move on. We will like to see more powers -- would like to see more

0:38:460:38:51

powers and some capital projects starting now, for example. James

0:38:510:38:56

Kelly, the Labour were in the foreground in promoting the

0:38:560:39:03

Scotland Bill. Is it really just a sop to independence? Not at all. It

0:39:030:39:09

is an excellent day where we see a substantial package of measures

0:39:090:39:14

being agreed. We not only see a tax-raising power being granted,

0:39:140:39:20

but other powers like laws over speeds and substantial borrowing

0:39:200:39:25

powers being given to the parliament. That gives greater

0:39:250:39:29

advantage in terms of being able to attract capital investment and

0:39:290:39:33

tackle unemployment at a time of recession. These are positive

0:39:330:39:39

measures. We have also seen a massive climbdown from the SNP who,

0:39:390:39:48

in December, threatened not to back the Scotland Bill. A that is the

0:39:480:39:55

legislative consent bail. The new taxation powers and the 10p in the

0:39:550:40:01

variable rates and so on, but who is going to use that? Of Scottish

0:40:010:40:05

Labour going to put taxes up and will they use this rate, do you

0:40:050:40:10

think? It is about the Scottish Parliament having more

0:40:100:40:18

responsibility for that money we raise. 13 years down the line as a

0:40:180:40:21

parliament and it we have to move to a situation where we are not

0:40:210:40:26

simply handed a block grant from London but we take some

0:40:260:40:30

responsibility for some money raised and coupled with the

0:40:300:40:34

borrowing powers, that gives us a substantial opportunity to make a

0:40:340:40:41

positive impact on the Scottish economy. Willie Rennie, your

0:40:410:40:44

colleague the Secretary of State for Scotland without lining the new

0:40:440:40:48

proposals in the House of Commons to day but do you think they are

0:40:480:40:56

just passed -- part of the past and the debate has moved on? He know,

0:40:560:41:00

these are substantial powers. One of the biggest transfers of

0:41:000:41:04

financial powers probably ever to the Scottish Parliament so that is

0:41:040:41:09

a major step forward. I have to give credit to Linda for trying to

0:41:090:41:16

explain away the massive climbdown. Last May, they made six big demands.

0:41:160:41:24

They also, in the committee, the majority, asked for full fiscal

0:41:240:41:28

autonomy and they said the Scotland Bill was a poison pill. This is an

0:41:280:41:32

amazing change of heart and it just shows you that all the hype and

0:41:320:41:39

bluster from the SNP often doesn't come too much. Do you not accept

0:41:390:41:46

the Secretary of State made some contentions -- concessions? There

0:41:460:41:52

was actually nothing dangers or poisonous about the bail. There

0:41:520:41:55

were two reviews and a change of letters. There were no substantial

0:41:550:41:59

changes. They are trying to guess it up as being something more than

0:41:590:42:04

it was but what it delivers is a transfer of financial powers and

0:42:040:42:08

controls over speed and weapons. It should give the Scottish Parliament

0:42:080:42:14

much more responsibility over its own affairs. It is a good day.

0:42:140:42:19

just went to get your views over the unemployment figures today.

0:42:190:42:25

Better news? It is that There are still 219,000 people unemployed in

0:42:250:42:30

Scotland. There is no room for complacency. Perhaps it shows that

0:42:300:42:36

the economic and financial strategy is beginning to pay some dividend

0:42:360:42:41

but is is really important for the UK and Scottish government So to

0:42:410:42:46

work closely together on things like the UK use contract which will

0:42:460:42:50

invest �1 billion in subsidised wages for use opportunities. There

0:42:500:42:54

is no room for complacency because there are so many people unemployed

0:42:540:43:00

in Scotland. James Kelly, why could not Ed Miliband be big enough at

0:43:000:43:06

Prime Minister's Questions and congratulate the Prime Minister on

0:43:060:43:10

the unemployment figures? There are still serious issues around

0:43:100:43:15

unemployment and a great deal of fun and -- of concern about youth

0:43:150:43:21

unemployment and women. These will be the focus of attention in the

0:43:210:43:25

forthcoming council elections and from our point of view, I welcome

0:43:250:43:29

initiatives like North Lanarkshire council putting aside money to

0:43:290:43:36

promote the creation of 5000 jobs. That is what council -- councils

0:43:360:43:46
0:43:460:43:47

have got to do. Linda Fabiani, I am sure Mr Swinney and the first

0:43:470:43:52

minister breathed a sigh of relief. They criticised the UK government

0:43:530:43:57

last month for the rise in unemployment. It looks better for

0:43:570:44:00

Scotland when you look at the figures today and a lot of that is

0:44:000:44:03

to do with good management of the Scottish government but more could

0:44:030:44:11

be done. The UK economic policies... We have projects that could boost

0:44:110:44:14

construction in all the council areas of Scotland and that should

0:44:140:44:20

go-ahead to make a difference. We are ready to do that and we think

0:44:200:44:26

it should be done because we want to boost Scotland. One final issue

0:44:260:44:34

and Bill Walker, your former MSP, did not appear in Parliament today.

0:44:340:44:40

Do you think he should step down? It is for him to examine his own

0:44:400:44:45

conscience and his actions whatever they have been an to make up his

0:44:450:44:51

mind what is best for voters in his constituency. James Kelly, I think

0:44:510:44:56

Labour's view has been pretty clear on this, hasn't it? Do you think he

0:44:560:45:00

should stay? I think the information coming into the public

0:45:000:45:06

domain about Bill Walker is very concerning. Being a member of the

0:45:060:45:08

Scottish Parliament is a very responsible position and he must

0:45:080:45:15

look at that seriously and consider resigning. OK. Finally to you

0:45:150:45:20

Willie Rennie. This raises the subject of the power of recall

0:45:200:45:23

which was in the Coalition agreement to which there Liberal

0:45:230:45:28

Democrats are quite keen to have the power of recall. A white paper

0:45:280:45:31

has been published by the UK government but no such thing in

0:45:310:45:35

Scotland. What is your position on Bill Walker and the position of

0:45:350:45:45

We have the rule of law in this country, not more the rule, we need

0:45:450:45:50

to go through a process that, and we are to remove MSPs or call on

0:45:500:45:54

them to resign, that there is rock solid evidence and the prosecution

0:45:540:45:58

before the do that. We do need the power of we call in the Scottish

0:45:580:46:03

Parliament. There are issues around the list system in the Scottish

0:46:030:46:06

Parliament, but we need to make sure these are rock-solid proposals

0:46:060:46:09

that work effectively because we cannot have more role in this

0:46:090:46:19
0:46:190:46:23

country. -- mob rule. Thank you for joining us. Sometime all thoughts

0:46:230:46:28

from Angus MacLeod, our political commentator. Picking up on that

0:46:280:46:32

situation with Bill Walker, there is no power of recall in the

0:46:320:46:39

Scottish Parliament, but you want to avoid any more rule situation.

0:46:390:46:46

Should constituents be able to recall their MSP? We do not have it

0:46:460:46:50

at Westminster yet, although there has been talk about it, there has

0:46:510:46:55

been a white paper. But there is a big gap between a white paper and

0:46:550:46:59

reality. The point about power of recall is that it is one of these

0:46:590:47:05

things that in theory, sounds right, proper and sensible but, you could

0:47:050:47:12

get situations where politicians are record, and what does the power

0:47:120:47:17

of recall mean? It means that the person has to go, for be reason

0:47:170:47:20

that might not be connected with their personal or political conduct,

0:47:200:47:25

but simply because people do not like their political views, then we

0:47:250:47:31

get into very dangerous water. On the subject of Bill Walker, this is

0:47:310:47:37

still in the area of allegations. Sometimes I feel that if the

0:47:370:47:41

Watters gets a job before a politician, maybe it is just as

0:47:410:47:46

well for that politician to get, to decide, this is going to haunt me,

0:47:460:47:52

and it would be better, for myself on for the Parliament, that by step

0:47:520:47:58

down. But that is a decision for per locker, himself up. It was

0:47:590:48:02

quite procedural today, but it is quite significant, on the Scotland

0:48:020:48:08

Bill. Of course, there has been a lot of political positioning a row

0:48:080:48:12

in this. It was based on the Coleman commission. It never

0:48:120:48:15

claimed that was the final word on Scottish devolution. I agree with

0:48:160:48:20

those who say that the Carman commission and the Scotland Bill

0:48:200:48:27

have been overtaken by the reality of the SNP majority at Holyrood.

0:48:270:48:32

Thank you for that, Angus. That is all that we have got time for.

0:48:320:48:40

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