19/01/2012

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:00:21. > :00:25.A very warm welcome to Scottish Parliament here at Holyrood.

:00:25. > :00:31.Members have been talking about whether the local Government

:00:31. > :00:36.control should be transferred from Westminster to Holyrood. They are

:00:36. > :00:43.discussing whether 16 and 17 year old kids should be allowed to take

:00:43. > :00:52.part in that ballot. Let us cross to the chamber for the big issue,

:00:52. > :00:57.First Minister's questions. Good afternoon. They are addressing

:00:57. > :01:02.a question from Annabelle Ewing. They are addressing issues about

:01:02. > :01:09.the vital role at the Scottish retail sector plays in import --

:01:09. > :01:16.employment. We have heard from Derek Mackay, he updated

:01:16. > :01:19.preparations for later in the year. We are tuning in to Alex Salmond.

:01:19. > :01:26.To ask the First Minister, what engagements he has planned for the

:01:26. > :01:30.rest of the day. I am delighted to announce I will be opening the new

:01:30. > :01:34.headquarters of the global financial services firm which

:01:34. > :01:38.supports more than 200 jobs in Edinburgh. It recruits a large

:01:38. > :01:42.number of graduates. It is an example of a global company

:01:42. > :01:52.supporting jobs and investment and expanding its operations in

:01:52. > :01:57.Scotland. Yesterday we were shocked to learn that 200 Scots lost their

:01:57. > :02:02.jobs every day for the last three months. Unemployment is up 10% over

:02:02. > :02:08.the same period. There is a 25% rise in the number of women

:02:08. > :02:12.unemployed and the impact that must have on families and 123% increase

:02:12. > :02:16.in long-term youth unemployment over the last year. In the light of

:02:16. > :02:25.these figures, what changes can we expect in the First Minister's

:02:25. > :02:30.Budget Bill when it is published tomorrow? The Scottish Government

:02:30. > :02:35.places the highest emphasis on job creation. That has been the

:02:35. > :02:41.hallmark of all the budget. These unemployment figures are extremely

:02:41. > :02:46.serious as they are cross these islands. They should understand

:02:46. > :02:50.that we do not have, at the present moment, the ability to increase

:02:51. > :02:56.demand in the Scottish economy. That lies with the Westminster

:02:56. > :03:01.Government. It is exactly why a both myself, the First Minister of

:03:01. > :03:05.Wales, the First Minister for Northern Ireland, have repeatedly

:03:05. > :03:10.called for the UK Government to change economic direction in order

:03:10. > :03:17.to give us by the VAT increase in demand now or the economic tools to

:03:17. > :03:23.do the job for Scotland. I know this is a pattern that I

:03:23. > :03:29.didn't expect to get her into the alley by a so early in the process.

:03:29. > :03:34.This is not a game. We can trade figures but we need to confront

:03:34. > :03:41.them. The reality is if the First Minister is saying that he has this

:03:41. > :03:45.as his highest priority, it is not working. This seems to me the First

:03:45. > :03:49.Minister simply does not get it. Last summer, he claimed then that

:03:49. > :03:53.the unemployment figures demonstrate, and I quote, not that

:03:53. > :03:57.it wasn't their fault, but the economic policy of the Scottish

:03:57. > :04:03.Government is delivering and is continuing to create and safeguard

:04:03. > :04:08.jobs across our communities. When the figures are good, he is

:04:08. > :04:13.fabulous, when the figures are bad, ways that alibi? With 200 Scots

:04:13. > :04:22.losing their jobs each and every day or his watch, does he still

:04:22. > :04:26.stand by his statement that he made in the summer? The statement in the

:04:26. > :04:30.summer if she cares to reacquaint herself with them, made it clear

:04:30. > :04:35.that the job growth in jobs and activity in Scotland over that

:04:35. > :04:41.period would be put at risk unless the United Kingdom governments were

:04:41. > :04:46.prepared to change course. They seem to think this is a view only

:04:46. > :04:54.shared by the Scottish National Party. I have here Labour's five.

:04:54. > :04:59.Plan for growth. The plan announced in November, 2011. That is before

:04:59. > :05:05.last week's admission that the new economic policy is identical to the

:05:05. > :05:09.Conservative Party's economic policy. The five-point plan

:05:09. > :05:16.includes a 2 billion tax and bank bonuses, temporary reversing that

:05:16. > :05:21.rise, a one-year cut in a vat of home improvements and a tax rate.

:05:22. > :05:26.Each of these is the province of the Westminster Government. The

:05:26. > :05:29.only area which is in the province of the Scottish Government, that is

:05:29. > :05:34.the switch to capital investment, it is accepted the policy that has

:05:34. > :05:39.been pursued by John Swinney in terms of transferring from revenue

:05:39. > :05:43.to capital and in the non profit distribution programme. I do mind

:05:43. > :05:53.but I think people might even more about a Labour Party are now in

:05:53. > :05:55.

:05:55. > :06:00.cahoots with the Tories both in the constitution and on economic policy.

:06:00. > :06:03.What I do mind is a Labour Party in cahoots but the Tories but in

:06:03. > :06:11.cahoots and in denying this Parliament the economic tools we

:06:11. > :06:15.need to do the job for Scotland. am sure that response will be a

:06:15. > :06:25.great comfort to the 200 people every day for the last three months

:06:25. > :06:25.

:06:25. > :06:31.who lost their jobs. Your response is a it wasn't me, I didn't direct,

:06:31. > :06:35.by the way, you have the problems and I haven't. This is a man that

:06:35. > :06:40.takes himself seriously, we know that. It is about time he took his

:06:40. > :06:44.job seriously. What concerns me, not just his complacency about

:06:44. > :06:50.these horrendous unemployment figures, is the fact he clearly did

:06:50. > :06:54.not see it coming. He now has more than half a billion pounds extra

:06:54. > :07:03.from at Westminster as a consequence of budget decisions in

:07:03. > :07:07.his back pocket. The First Minister, we give us an assurance that every

:07:07. > :07:17.coin of that money will be spent in tackling unemployment and giving

:07:17. > :07:17.

:07:17. > :07:21.young people some hope for the future? You begin to sound like

:07:21. > :07:28.your predecessor who pursue this theme at week after week and it

:07:28. > :07:32.didn't do him a great amount of good. The people of Scotland know

:07:32. > :07:35.where the economic power lies at the present moment. That is

:07:35. > :07:41.precisely why they are demanding the economic powers from

:07:41. > :07:45.Westminster. A classic illustration will be in the �500 million figure

:07:45. > :07:49.that she has indicated to this chamber. Issue not aware that two-

:07:50. > :07:55.thirds of that spending, specified by Westminster, is directed into

:07:55. > :07:59.the second part of this Comprehensive Spending Review? We

:07:59. > :08:03.believe that Scotland needs investment in the economy now. That

:08:03. > :08:08.is precisely why, along with the Labour First Minister of Wales, we

:08:08. > :08:12.are being jointly calling for the change in economic course from the

:08:12. > :08:16.UK Government which will allow us to deploy these funds. While we

:08:16. > :08:26.have been calling for that change of course, the UK Labour Party have

:08:26. > :08:26.

:08:26. > :08:33.decided to back the Tories on the economy. I said it already, I am

:08:33. > :08:36.not playing a game. I am not pursuing a theme. I am talking

:08:37. > :08:42.about the issues of Conservative people of Scotland and that the

:08:42. > :08:48.moment -- at the moment, 200 Scots a day are losing their jobs and he

:08:48. > :08:52.settled for party political jibes. Given this serious mess, given the

:08:52. > :08:55.situation and the pathetic response from the First Minister, I fear for

:08:55. > :09:00.those people who have lost their jobs, I fear for those people

:09:00. > :09:06.worried about losing their jobs and uncaring Prime Minister and what

:09:06. > :09:10.looks like an ultra complacent First Minister, and interested in

:09:10. > :09:15.what the people of this country are talking about. A man in the job for

:09:15. > :09:22.five years must at some point surely take responsibility. Of

:09:22. > :09:31.course, this is a man who want to Scotland to join and are cough

:09:31. > :09:35.prosperity which is an arc of insolvency. He graduated from the

:09:35. > :09:42.Fred Goodwin School of Economics and backed the deal that broke the

:09:42. > :09:49.bank. Can we have quiet please. Sometimes they have a problem with

:09:49. > :09:54.what they are hearing. The reality is, in the real world, 200 people

:09:54. > :09:58.each and every day on losing their job on a First Minister's watch.

:09:58. > :10:02.When will the First Minister stop congratulating himself on how well

:10:02. > :10:12.he is doing his job and come up with a serious plan to create jobs

:10:12. > :10:14.

:10:14. > :10:18.for the people of this country? afraid the script written is no

:10:18. > :10:26.better than the script is already by previous advisers. Listen, let's

:10:26. > :10:31.have a look at the detail of one of the really serious... Settle down,

:10:31. > :10:35.please. Enough. I don't think the Labour Party will want to look at

:10:35. > :10:42.the detail. There's a block of the detail of one of the serious issues

:10:42. > :10:48.that of that is unemployment amongst women. It is far too high.

:10:48. > :10:51.7.8% in Scotland, a 4.7% in Northern Ireland. You might judge

:10:51. > :10:56.from that that Northern Ireland has the best position. If you look at

:10:56. > :11:00.employment in Scotland, that is the number of people in jobs. If you

:11:00. > :11:06.look at economic activity among women in Scotland, it is higher

:11:06. > :11:13.than any other part of these islands. 7.8% is a substantial

:11:13. > :11:18.worrying figure. It is precisely why the Scottish Government has

:11:18. > :11:24.25,000 new Modern apprentices in Scotland. For 2% more than what we

:11:25. > :11:30.inherited from the Labour Party. -- 42%. 10,000 of these were women.

:11:30. > :11:33.Young women starting a Modern apprenticeship. 45% of modern

:11:34. > :11:38.apprenticeships are now started by women in Scotland compared to a

:11:39. > :11:43.level of 27% which was what we inherited from the Labour Party.

:11:43. > :11:50.The same applies to training to work in Scotland with a number of

:11:50. > :11:54.women getting the opportunity. 36% of the European structural funds of

:11:54. > :11:58.the 40,000 women in Scotland to benefit is a higher figure than

:11:58. > :12:04.previously. We are doing our bit, with the powers under our control,

:12:04. > :12:08.to rebalance and present justice in the economy in Scotland. These are

:12:08. > :12:12.the detailed figures and the Labour Party want detail now. They don't

:12:12. > :12:17.like it when they get the detail because it shows at the record they

:12:17. > :12:21.had. We have an opposition who have an economic plan which depends on

:12:21. > :12:25.economic policy is being changed from Westminster. They will neither

:12:25. > :12:28.call for the powers to this Parliament to do that and now they

:12:28. > :12:35.actually support these economic policies in the House of Commons.

:12:35. > :12:45.Little wonder that I was in the Gulf this week, gaining jobs and

:12:45. > :12:45.

:12:45. > :12:52.investment for Scotland. It was leading on the headline, Labour

:12:52. > :12:59.faces poll disaster on the forecast from the uniting unions. -- Unite

:12:59. > :13:05.unions. To ask the First Minister when he will next meet the Prime

:13:06. > :13:13.Minister? It has not been through lack of trying that I haven't had

:13:13. > :13:17.any recent meetings with the Prime Minister. I am delighted to say

:13:17. > :13:21.that the Prime Minister has now agreed to meet me after the

:13:21. > :13:25.Scottish Government publishes the referendum consultation next week.

:13:25. > :13:31.I look forward to that meeting. It shows that persistence can always

:13:31. > :13:41.pay off, even when meeting the Prime Minister. I am sure you are

:13:41. > :13:42.

:13:42. > :13:47.looking to meet him but it is The First Minister's goal is to

:13:47. > :13:52.separate Scotland from the United Kingdom and to replace those

:13:52. > :13:55.ensuring links with ever-closer union with the EU. Can the First

:13:55. > :14:01.Minister tell me how many times he or his cows come it has written to

:14:01. > :14:06.the relevant EU commissioner asking about Scottish's concession to the

:14:06. > :14:11.European Union? We have discussed issues over the years and I hope

:14:11. > :14:17.and believe that Ruth Davidson is familiar with the substantial legal

:14:17. > :14:22.opinion which would sepia be a position with the European Union.

:14:22. > :14:28.One of the most famous opinions was commissioned by the such --

:14:29. > :14:32.Scottish Conservative Party. The only does to the side over the

:14:32. > :14:35.European Court of Justice. They didn't get the opinion they thought

:14:35. > :14:39.they would get because he pointed out that Scotland would be in the

:14:39. > :14:49.same position with regard to to each other and the European Union

:14:49. > :14:53.

:14:53. > :15:00.The idea that Scotland is a nature and that would stand in Equality

:15:00. > :15:07.with other nations is a difficult concept for the Conservative Party.

:15:07. > :15:14.That is why, in first questions, there was a suggestion of a new

:15:14. > :15:21.constitutional formation. The Prime Minister must go through the

:15:21. > :15:26.Secretary of State for Scotland for a meeting. There were no specifics

:15:26. > :15:31.and talk on a very specific question. We know for a fact that,

:15:31. > :15:36.for example, the current Commissioner has never received any

:15:36. > :15:41.correspondence from the Scottish government on this topic. It begs

:15:41. > :15:47.the question, has the Scottish government -- who has the Scottish

:15:47. > :15:53.government been in contact with and what advice has been given? In 2007,

:15:53. > :16:00.the SNP published document said that independence would continue in

:16:00. > :16:07.the EU. The former President of the European Union says that is not the

:16:07. > :16:12.case. Professor Robert Hazell and Dr Joe munchkins, expects on

:16:12. > :16:17.government and constitutional your -- Law, said that is not the case.

:16:17. > :16:21.They say that Scotland would have to reapply to be a member of the EU

:16:21. > :16:26.with the consequence that Arab farmers would be bankrupt without

:16:26. > :16:34.European payments. While Scott and waits for renegotiation, and

:16:34. > :16:39.forcing Scotland to adopt the euro on accession. -- Scotland. If the

:16:39. > :16:44.First Minister believes that saying something often enough becomes fact,

:16:44. > :16:50.the Scottish people demand more than that. It states Scotland would

:16:50. > :16:54.not be an autocratic -- automatic member of the European Union. What

:16:54. > :17:01.the First Minister now publish any evidence he has to support his

:17:01. > :17:11.claim? BP people of Scotland deserve an answer to this question.

:17:11. > :17:17.

:17:17. > :17:22.The Dictionary of the European Union has been edited. It has said

:17:22. > :17:29.that Scotland is part of the European Union. Since it does not

:17:29. > :17:34.have provision to expel a member, the negotiation would be conducted

:17:34. > :17:41.within the European Union. In that question, I seem to think that Ruth

:17:41. > :17:47.Davidson actually said it was asking about European payments. I

:17:47. > :17:49.thought the European Union would face disaster without payments from

:17:49. > :17:55.the United Kingdom. The Conservative Party should be able

:17:55. > :18:00.to reconcile two things. The only conceivable threat to Scotland's

:18:00. > :18:03.current membership of the European Union comes from members of Ruth

:18:03. > :18:08.Davidson's party in the House of Commons who are advocating the

:18:08. > :18:15.withdrawal of the United Kingdom from the European Union. Scotland

:18:15. > :18:20.is a European nation. We played our position from within the context of

:18:20. > :18:24.the European Union. The concept of Scotland, as a nation, standing

:18:24. > :18:29.equally with other nations, may be difficult for the Conservative

:18:29. > :18:38.Party to grasp. It probably explains The Record low in the poll

:18:38. > :18:43.ratings this week. It is not something the Scottish people find

:18:43. > :18:47.difficult. Not just in the opinion poll ratings, in regarding Scotland

:18:47. > :18:56.as a nation equal and capable of exercising that equality in Europe

:18:56. > :19:00.along with all the other European nations. Supplementary question,

:19:00. > :19:10.Sandra White. The First Minister will be aware of the proposed curbs

:19:10. > :19:15.at BBC Scotland and the action about Newsweek Scotland at Ten.

:19:15. > :19:19.Will he comment about political debate in Scotland? We need a full

:19:19. > :19:24.and formal debate on our future. We need control of our own

:19:24. > :19:30.broadcasting company. In a time of such significance for Scotland, I

:19:30. > :19:34.have deep concerns about the potential impact of job losses and

:19:34. > :19:37.cutbacks to BBC Scotland, particularly in relation to news

:19:37. > :19:42.and current affairs. The BBC has been forced to make difficult

:19:42. > :19:46.decisions because of the damaging licence fee settlement imposed by

:19:46. > :19:52.the UK government. That is why Scott gurneys greater

:19:52. > :19:59.accountability and responsibility for broadcasting in our country. --

:19:59. > :20:04.Scotland needs greater accountability. I hope that one or

:20:04. > :20:11.two of these Conservative members are actually concerned about the

:20:11. > :20:19.job of people working in news and current affairs and BBC Scotland.

:20:19. > :20:29.The First Minister will be familiar with signs of Met de from his time

:20:29. > :20:31.

:20:31. > :20:39.-- make tough from his time as an MSP. Can he advise me of the

:20:39. > :20:45.Scottish government's contact and insular future of the business is

:20:45. > :20:50.secured? This is the second time in two weeks a member has brought a

:20:50. > :20:54.constituency concern which involves the conduct of financial

:20:54. > :21:00.organisations or other people in terms of companies which have been

:21:00. > :21:06.moved into administration. In terms of the query from last week, there

:21:06. > :21:11.was a meeting this morning. I am aware of the situation. I share

:21:11. > :21:16.concerns about the situation. The administrators of the company were

:21:16. > :21:24.written to about the situation. With the club to the conduct of the

:21:24. > :21:29.Bank, it was agreed he would speak to the bank later. I can confirm

:21:29. > :21:35.that representatives are on standby to offer support and contact with

:21:35. > :21:39.administrators. The fakers of what must be done in terms of the detail

:21:39. > :21:46.about the company's trading positions and its profitability,

:21:46. > :21:51.its lack exposure and debt, it should give each and every one of

:21:51. > :21:54.us the most serious concerns in an economic position such as the one

:21:54. > :22:00.we currently face. I think it is the very least we can expect

:22:00. > :22:04.lenders, banks and financial positions are as supportive as they

:22:04. > :22:08.possibly can be in terms of companies in Scotland. If the

:22:08. > :22:13.information is anything like accurate, the most serious

:22:13. > :22:16.questions have to be asked in this particular case. I would like to

:22:16. > :22:22.ask the First Minister what issues would be discussed at the next

:22:22. > :22:27.meeting of the Cabinet? Issues of importance to the people of

:22:27. > :22:33.Scotland. A year ago, the First Minister's government told us the

:22:33. > :22:37.abolition of local policing would save �200 million a year. The

:22:37. > :22:42.Justice Secretary did admit at the time that the numbers were not

:22:42. > :22:48.panned perfect in any way. What is the actual saving in the

:22:48. > :22:54.Government's plans published this week? The Justice Secretary set-up

:22:54. > :22:59.what the plans were. With regard to the savings, there were a range of

:22:59. > :23:03.scenarios. That statement in terms of my interpretation seemed to

:23:03. > :23:08.attract substantial support from across this chamber. Most people in

:23:08. > :23:15.Scotland seem to believe, and I think quite rightly, that we would

:23:15. > :23:19.make savings and having a national police service in Scotland. I would

:23:19. > :23:24.just point out they took that different view very volubly during

:23:25. > :23:30.the election. It is the only thing I can remember them saying during

:23:30. > :23:36.the elections. There was a resounding support for their

:23:36. > :23:40.position. He has obviously not even read the document. Not read the

:23:40. > :23:44.document. The annual figure, he does not know the annual figure -

:23:44. > :23:49.the basis on which he proposed his plan. His own document makes it

:23:49. > :23:53.clear that almost all the headline figures that he quotes are not

:23:53. > :24:00.attributable to structure. The savings in the document and not

:24:00. > :24:06.attributable to the changes. He promised �200 million. He sold us

:24:06. > :24:13.National political control of the police for nothing. He has made...

:24:14. > :24:20.Maybe he has seen us. The chart that shows the structure of the

:24:20. > :24:25.review that is going on. The project board. Two deputy chief

:24:25. > :24:29.constables, a Chief Superintendent, two chief inspectors, an inspector

:24:29. > :24:35.and another inspector, a sergeant, or have been taken from frontline

:24:35. > :24:40.duty to deal with governments -- governance and structure. There are

:24:41. > :24:45.12 other units like this. Is it just those 12 officers working or

:24:45. > :24:49.are there more? I would have thought most people would welcome

:24:49. > :24:53.that the people who are looking at the Organisation of the new police

:24:53. > :24:57.service in Scotland are serving police services Foster that seems

:24:57. > :25:03.to me an important innovation in government to ask the people who do

:25:03. > :25:10.the job to dominate the plans for the future. Can I also point out

:25:10. > :25:15.that we would not have 1000 extra police officers on the streets and

:25:15. > :25:23.communities of Scotland if he had his way? Bet is the lowest recorded

:25:23. > :25:30.crime in Scotland. There was an assumption of 1.7 billion over 15

:25:30. > :25:34.years. I hope that convinces Willie Rennie of my abilities. I do not

:25:34. > :25:39.think the Liberal Democrats have arrived at the position where the

:25:39. > :25:44.post held by somebody called the advocate general, Lord Wallace,

:25:44. > :25:48.sitting in an unelected house, appointed by the party came 4th in

:25:48. > :25:51.the Westminster election and 4th in the Scottish election last year,

:25:51. > :25:58.appears to know better than the democratic parliament elected by

:25:59. > :26:02.the Scottish people at the Lord President, the highest office in

:26:02. > :26:12.Scotland. You should be the last person to talk about politicians

:26:12. > :26:15.

:26:15. > :26:23.dictating to the people. As usual, when he loses the argument, he

:26:24. > :26:27.resorts to chips shops about the issue. -- chip shops. The First

:26:27. > :26:30.Minister would do better to focus on the withdrawal of local

:26:30. > :26:39.connectivity between the police and the communities was that that is

:26:39. > :26:43.what he should be concerned about. Willie Rennie even lost the support

:26:43. > :26:49.of his coalition partners at Westminster in making that

:26:49. > :26:57.particular point. He describes the position of an Advocate-General as

:26:57. > :27:00.dictating the Scottish judiciary of the Scottish Parliament as cheap. I

:27:00. > :27:04.regarded as a serious constitutional position. Perhaps if

:27:04. > :27:08.he thinks about it further, he will agree with me but at the basic

:27:08. > :27:12.disagreement between Willie Rennie, who proposes we keep the current

:27:12. > :27:18.structure and the rest of us, who think the single service offers

:27:18. > :27:23.both economies, efficiencies and further improvements in police

:27:23. > :27:28.performance, is essentially best. Most of us with local police think

:27:28. > :27:33.of a local sergeant, a local superintendent, serving officers

:27:33. > :27:37.and communities around Scotland. The extra officers we have doing

:27:37. > :27:41.that. Willie Rennie seems to think that local policing is about having

:27:41. > :27:48.eight per -- chief constables in Scotland. We think it is about

:27:48. > :27:52.having local officers on the street. To ask the First Minister what

:27:52. > :28:00.progress is being made on building international business connections.

:28:00. > :28:05.I have already mentioned the fact that the headquarters of the global

:28:05. > :28:12.financial company today. I hoped that his work and across this

:28:12. > :28:15.chamber. On Tuesday in Abu Dhabi I signed an agreement with the chief

:28:15. > :28:20.executive of the leading alternative energy company. It is

:28:20. > :28:26.the first agreement of its kind between master and a nation. That

:28:26. > :28:31.will result in investment and low carbon projects as well as a

:28:31. > :28:39.partnership to boost research. Sharp exchanges earlier in First

:28:39. > :28:43.Minister's Questions on the subject of unemployment. Duran Lamont was