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Hello and welcome to another edition of Politics Scotland. Coming up, 24 | :00:20. | :00:26. | |
hours on after the launch of the white paper, MSPs debated in | :00:27. | :00:30. | |
Parliament. Politicians have now had a chance to | :00:31. | :00:34. | |
digest the contents of the hefty tome. Full independence supporters | :00:35. | :00:39. | |
will be singing its praises, pro-unionists will be taking it | :00:40. | :00:42. | |
apart. Here at Westminster, David Cameron | :00:43. | :00:47. | |
says the white paper leaves a huge number of unanswered questions. | :00:48. | :00:53. | |
The international media descended on Scotland yesterday for the launch of | :00:54. | :00:57. | |
this. Politicians on both sides of the debate have been picking over | :00:58. | :01:04. | |
the paper and so have we. Joining me is Professor John Curtice from | :01:05. | :01:08. | |
Strathclyde University. Good afternoon. | :01:09. | :01:14. | |
Let us first go to Holyrood and pick-up with our political editor | :01:15. | :01:23. | |
Brian Taylor. A very busy afternoon for you | :01:24. | :01:29. | |
yesterday. What are MSPs saying about the white paper today? | :01:30. | :01:34. | |
Alistair Darling was holding a press conference this morning. | :01:35. | :01:41. | |
We will have a substantive debate this afternoon. We had a brief taste | :01:42. | :01:46. | |
of that yesterday. This is a full Holyrood debate. The First Minister | :01:47. | :01:55. | |
announced further details about the childcare offer which is at the core | :01:56. | :02:07. | |
of the independence of. They will be extending their eventually to | :02:08. | :02:15. | |
one-year-olds. He says it is worth as much as ?4600 per child to each | :02:16. | :02:23. | |
family. He says it is only possible under independence because it will | :02:24. | :02:30. | |
release people to go back to work and if they were to do that | :02:31. | :02:34. | |
currently, the tax take would go to the Treasury. Alistair Darling said | :02:35. | :02:48. | |
the white paper skimped on financial details. He said it was | :02:49. | :02:54. | |
overoptimistic on oil and didn't take account of transitional costs. | :02:55. | :03:04. | |
I expect Alex Salmond to pick up on some of those points when he makes | :03:05. | :03:07. | |
his statement. We will have that statement in a few | :03:08. | :03:14. | |
minutes. In this debate this afternoon, are we going to look at a | :03:15. | :03:19. | |
sustained attack from the prounion parties against the white paper? | :03:20. | :03:31. | |
Very much so. The arguments is that the costs are being downplayed. We | :03:32. | :03:36. | |
will get accusations from the Conservatives and others that's the | :03:37. | :03:44. | |
issue of the European Union, a shared currency and so on have not | :03:45. | :03:57. | |
been answered. Alex Salmond believes it will be in the interests of both | :03:58. | :04:05. | |
sides to keep the status quo. We will be able to absorb the details | :04:06. | :04:11. | |
of this issue. Quite rightly, Parliament is able to express that. | :04:12. | :04:17. | |
We have waited a long time for the white paper. How do you think the | :04:18. | :04:28. | |
debate will proceed from now? Will there be an onus on the | :04:29. | :04:37. | |
pro-unionists now? It goes down to lines, the line of assurances that | :04:38. | :04:43. | |
Alex Salmond is offering over keeping the pound and the Queen | :04:44. | :04:54. | |
etc, and this big offer on welfare, enhanced pensions, enhanced | :04:55. | :05:01. | |
childcare and a promise to scrap the bedroom tax. We will hear the | :05:02. | :05:07. | |
opposition try to take that apart this afternoon. | :05:08. | :05:13. | |
The man who needs no introduction after a very busy day yesterday, | :05:14. | :05:20. | |
Professor John Curtice. You were looking at the report yesterday, now | :05:21. | :05:27. | |
you have had the chance to digest it, what are your initial | :05:28. | :05:37. | |
impressions? . The first minister has been able | :05:38. | :05:48. | |
to come through with an iconic policy, that of childcare. Given | :05:49. | :06:04. | |
that one of the problems that faces Scotland's is that it is relatively | :06:05. | :06:12. | |
short of people of the working age population, the childcare issue is a | :06:13. | :06:20. | |
way of addressing that. That said, what really struck me about this | :06:21. | :06:25. | |
document was in fact how fiscally conservative it is. Those | :06:26. | :06:31. | |
childcare, says are about what might be done by 2020 or 2025. There are | :06:32. | :06:42. | |
only small promises regarding what can be done in 2016. There is | :06:43. | :06:52. | |
nothing in here in the form of a tax break for the individual ordinarily | :06:53. | :06:59. | |
voter and, to that extent, if indeed it is true, and my reading is that | :07:00. | :07:06. | |
it is, that's people want to be convinced that Scotland's economy | :07:07. | :07:11. | |
will be better and they want more money in their pockets, it is not | :07:12. | :07:18. | |
clear how the independence would put more money in people 's pockets. To | :07:19. | :07:31. | |
that extent, what we are discovering is that having to run this | :07:32. | :07:39. | |
referendum against the backdrop of Scotland's having better public | :07:40. | :07:44. | |
finances than the rest of the UK but still being an deficit. In other | :07:45. | :07:50. | |
words, to understand this document, you have to look at not only what it | :07:51. | :07:57. | |
says but what it doesn't talk about, such as immediate tax breaks | :07:58. | :08:07. | |
or increased public spending. You mentioned the individual voter. | :08:08. | :08:14. | |
The normal person in the street. We have seen some reaction on news | :08:15. | :08:21. | |
programmes yesterday. Europe erstwhile colleague Dr Jim Mitchell | :08:22. | :08:31. | |
was speaking about it. What impact does this document have normal | :08:32. | :08:36. | |
voters? The truth is that not many people | :08:37. | :08:42. | |
will read this. Some will have read the summary is in today's | :08:43. | :08:49. | |
newspapers. But the crucial thing is that it gets the message more | :08:50. | :09:03. | |
clearly? If people think the yes side know what they are doing, that | :09:04. | :09:14. | |
is what is important. There is some sense of progress on that front. | :09:15. | :09:19. | |
That childcare policy will get the headlines. Some will say that we now | :09:20. | :09:27. | |
have some detail but you can see the limitations. That comes from the | :09:28. | :09:33. | |
fact that on so many things such as currency, energy markets, the BBC, | :09:34. | :09:44. | |
what's this document envisages is a close collaboration between an | :09:45. | :09:47. | |
independent Scotland and the rest of the UK and you cannot be certain | :09:48. | :09:56. | |
about that collaboration. Let us go to the Holyrood chamber | :09:57. | :10:08. | |
now and watch some of the debate. The choice between taking the future | :10:09. | :10:16. | |
into our own hands or allowing decisions to be made by governments | :10:17. | :10:21. | |
that have been overwhelmingly rejected by the people of Scotland. | :10:22. | :10:32. | |
We address 650 questions and set out how we can build a fairer and more | :10:33. | :10:37. | |
prosperous and democratic country. It is the most comprehensive look | :10:38. | :10:43. | |
print for independence published for any country at anywhere at any time. | :10:44. | :10:52. | |
A lot of the response of its was sadly predictable. In that vein, I | :10:53. | :10:58. | |
will give way. Talking about other countries, can | :10:59. | :11:04. | |
the First Minister tell me whether his government has received any | :11:05. | :11:11. | |
feedback from any other EU country about Scotland's membership of the | :11:12. | :11:17. | |
European Union and whether that would be difficult? | :11:18. | :11:28. | |
I will arrange for him to get a full briefing. On the question of sadly | :11:29. | :11:37. | |
predictable, there was some sadly predictable reaction from the Better | :11:38. | :11:42. | |
Together campaign. Within an hour of the publication, Alistair Darling | :11:43. | :11:47. | |
said it was ridiculous and not of any worth. I must congratulate that | :11:48. | :11:53. | |
man on speed reading. By my estimation, that is 3000 words a | :11:54. | :12:05. | |
minute. The reality is this for all of the Better Together parties, the | :12:06. | :12:10. | |
ball is now firmly in the Unionist court. They need to provide answers | :12:11. | :12:17. | |
to fundamental questions about Scotland. Yesterday 's debates did | :12:18. | :12:23. | |
bring us to something very important in terms of Scotland's future. | :12:24. | :12:30. | |
Aileen Campbell and I visited a site a few hundred metres up the road | :12:31. | :12:38. | |
that provides clear to children. It was established in 2002 when all | :12:39. | :12:43. | |
three and four-year-olds became entitled to two education and care. | :12:44. | :12:53. | |
The entitlement was 412 hours per year but increased to 475 hours and | :12:54. | :13:02. | |
will rise to 600 hours next year. But our ambitions are greater than | :13:03. | :13:06. | |
that. As outlined in the white paper, in the first budget after | :13:07. | :13:15. | |
independence, we will commence to extending the hours of care. By the | :13:16. | :13:21. | |
end of the first parliament, we will invest ?600 million. Our longer-term | :13:22. | :13:36. | |
ambition is to make this care available to all children from the | :13:37. | :13:41. | |
age of one. It would give families a total saving of 4600 hours of care | :13:42. | :13:53. | |
per year. -- saving them for days and ?600. | :13:54. | :14:01. | |
This transformational policy is a policy which is about independence | :14:02. | :14:06. | |
for Scotland. I give way. Given that he says the price tag for | :14:07. | :14:12. | |
peas one is ?100 million, why has he not done it already? -- price tag | :14:13. | :14:29. | |
for the one. The budget is not 100 million to do | :14:30. | :14:37. | |
what's I just described, it is ?700 million. Let us remember that the | :14:38. | :14:43. | |
Conservative Party have committed themselves to a reduction in income | :14:44. | :14:48. | |
tax which will blow another vast hole in the Scottish budget. I would | :14:49. | :14:59. | |
be delighted to hear where they are going to get that under the current | :15:00. | :15:05. | |
settlement. One point made yesterday was that independence gives us the | :15:06. | :15:08. | |
opportunity to make choices, spend less on weapons of mass destruction | :15:09. | :15:15. | |
and more on educating our children. There are other ways to get ?700 | :15:16. | :15:19. | |
million. And the theme of something for nothing, you could gain ?700 | :15:20. | :15:27. | |
million by cutting free personal care for the elderly, scrapping | :15:28. | :15:41. | |
prescription charges, but they are not policies that this government | :15:42. | :15:46. | |
would do. Sacrificing the great games of devolution. That sort of | :15:47. | :15:54. | |
investment can come from economic growth and expansion in the economy | :15:55. | :15:59. | |
by a rise in female perturbation in the workforce. A 6-point rise in | :16:00. | :16:07. | |
female patient, getting the rates of Scotland up to Swedish levels, would | :16:08. | :16:13. | |
get more than 100,000 women back into the Labour Party. That lack the | :16:14. | :16:19. | |
Labour market. You need to invest the money, which means you need the | :16:20. | :16:26. | |
money upfront, which means you need to invest immediately. You could do | :16:27. | :16:33. | |
that now, surely. I thought we would get an explanation of whether it was | :16:34. | :16:38. | |
concessionary travel or free personal care which was her target. | :16:39. | :16:42. | |
That is why we edify the savings from cutting the weapons of mass | :16:43. | :16:49. | |
destruction in Scotland. But it is the case if we can achieve that 6% | :16:50. | :16:53. | |
rise in e-mail participation, which is achievable, given over the last | :16:54. | :17:00. | |
year there has been a 3% rise in female employment in Scotland, then | :17:01. | :17:04. | |
we would get huge increases in revenues. That 6% gap, would | :17:05. | :17:14. | |
increase Scotland's economic output by 2.2 billion and raise taxation | :17:15. | :17:20. | |
revenues across the range of taxation by ?700 million. At present | :17:21. | :17:27. | |
those tax revenues, any savings from welfare payments go straight back to | :17:28. | :17:30. | |
Westminster. In an independent Scotland, we would retain and be | :17:31. | :17:35. | |
able to invest the savings in the future. A childcare revolution is a | :17:36. | :17:42. | |
transformation impossible under devolution but with independence we | :17:43. | :17:51. | |
can implement. Alistair Darling said employment in Scotland rises, and I | :17:52. | :17:57. | |
quote, those taxes go to the Treasury and come back to Scotland | :17:58. | :18:01. | |
through funding. This man was Chancellor of the Exchequer. Does he | :18:02. | :18:09. | |
not know that concerns spending, not revenue? If revenue rises in | :18:10. | :18:12. | |
Scotland, it disappears into the London Treasury. Just in case there | :18:13. | :18:23. | |
is any dispute about this, the IPPR, not a think tank associated with | :18:24. | :18:29. | |
independence, in fact they don't support independence, but their blog | :18:30. | :18:34. | |
said the SNP was right that many fiscal benefits with low in the form | :18:35. | :18:40. | |
of increased benefits to Her Majesty's Treasury. That is the | :18:41. | :18:44. | |
difference between controlling the balance sheet of an independent | :18:45. | :18:49. | |
Scotland and being caught in the straight jacket of Westminster where | :18:50. | :18:54. | |
we are at the present moment, a straitjacket which will get a lot | :18:55. | :18:57. | |
tighter under the Conservative Party. AM interested he mentions the | :18:58. | :19:07. | |
IPPR, who also said last night the Scottish Government's white paper is | :19:08. | :19:10. | |
a piece of fantasy economics. Other than a contentious assertion the tax | :19:11. | :19:16. | |
base north of the border is stronger than the rest of the UK, it is | :19:17. | :19:19. | |
unclear how any of this can be paid for. The point I made in terms of | :19:20. | :19:26. | |
the IPPR not supporting independence, that was my point, but | :19:27. | :19:31. | |
on the question revenue, they say the SNP is right. There has been an | :19:32. | :19:39. | |
assumption of Unionist parties, this is at the heart of this debate, we | :19:40. | :19:44. | |
have demonstrated through an expansion of childcare, a | :19:45. | :19:48. | |
transformation in opportunities for Scottish children, an increase in | :19:49. | :19:53. | |
production by -- participation rates of women in the workforce, the | :19:54. | :19:58. | |
revenues would flow into the Scottish Treasury which would enable | :19:59. | :20:02. | |
that plan to be funded. We want to know from unionists how it happens | :20:03. | :20:08. | |
under devolution without dramatic cuts from Joanne Lamont's cuts | :20:09. | :20:12. | |
commission on things like free personal care, things like | :20:13. | :20:17. | |
concessionary travel and student fees which would also be in the | :20:18. | :20:21. | |
target line. He is option has been that if we don't have independence | :20:22. | :20:26. | |
everything will continue as it is. What I want to say now is that what | :20:27. | :20:34. | |
not the case. In the last general election campaign, a quote, we want | :20:35. | :20:43. | |
to see are not scrapped. Last weekend he went even further, there | :20:44. | :20:48. | |
will be no action taken on by not until the economy has stabilised | :20:49. | :20:53. | |
again. Given that George Osborne tells us the economy is stabilising, | :20:54. | :20:57. | |
that must be soon. Ruth Davidson told the Sun not to quote on BBC but | :20:58. | :21:07. | |
the quote on Barnett was only supposed to be temporary. On 2014, | :21:08. | :21:12. | |
the ground has shifted since devolution, and just two days ago, a | :21:13. | :21:20. | |
report was published by the Westminster All-Party Parliamentary | :21:21. | :21:23. | |
Group on taxation recommending in the case of a no vote, the Barnett | :21:24. | :21:28. | |
formula must be we placed with a needs -based formula. The best | :21:29. | :21:33. | |
alternative using the seven indicators of need a vilified by the | :21:34. | :21:39. | |
commission. -- identified by the commission. We know what is in mind | :21:40. | :21:45. | |
from the Westminster parties because we know exactly what the commission | :21:46. | :21:49. | |
recommendations would mean for Scottish spending. They published an | :21:50. | :21:56. | |
article in evidential times in 2010. It would mean a cut in | :21:57. | :22:00. | |
Scottish spending of up to 4000 million pounds per year. We could | :22:01. | :22:09. | |
say that is just one proposal. The SDC estimate the cut might be 2000 | :22:10. | :22:13. | |
million pounds a year. The UK Government will give any indication | :22:14. | :22:18. | |
about what might happen to the Barnett formula if we remain in the | :22:19. | :22:22. | |
UK but that stance of keeping it quiet until after the referendum is | :22:23. | :22:27. | |
unsustainable. The Government has set out our case for independence. | :22:28. | :22:31. | |
What we want to hear from the Better Together parties is how we'll do | :22:32. | :22:37. | |
Better Together rate be in the Scottish budget Scotland votes no? | :22:38. | :22:46. | |
Certain things we agree on. We agree and we know that over the last 30 | :22:47. | :22:50. | |
years, Scotland has contributed far more in relative terms to the UK | :22:51. | :22:56. | |
budget then we received. We know in the last five years that amounts to | :22:57. | :23:02. | |
12,000 million pounds, over ?2000 a head for every man woman and child. | :23:03. | :23:09. | |
We know Scotland contributes 9.9% of the UK's taxation and gets back 9.3% | :23:10. | :23:16. | |
of spending, but that 9.3% will be targeted by the Better Together | :23:17. | :23:21. | |
campaign. They will cut Scotland's budget with no reflection or | :23:22. | :23:26. | |
understanding of the massive contribution Scotland has made to UK | :23:27. | :23:31. | |
finances and will continue to make, so where we have the debate about | :23:32. | :23:35. | |
the vision of Scottish society laid out in the white paper, no longer | :23:36. | :23:40. | |
will it be contrasted against the silence of the Better Together | :23:41. | :23:44. | |
campaign. It will be contrasted against a future where we see low | :23:45. | :23:49. | |
growth in the population and economy and Scotland subjected to the | :23:50. | :23:53. | |
severest cuts in political history, over and above the retrenchment of | :23:54. | :24:00. | |
the last few years. Or we can go forward to a growing economy, a | :24:01. | :24:06. | |
growing society, we can help our children and benefit from the | :24:07. | :24:10. | |
strength of our natural resources. We can combine these resources with | :24:11. | :24:16. | |
our intelligence and ingenuity and create a new society. Politics are | :24:17. | :24:21. | |
about choices and the choice next year will be between that new | :24:22. | :24:25. | |
society with a future offered by Better Together, which for many | :24:26. | :24:31. | |
Scots will be no future at all. The First Minister live in Parliament. | :24:32. | :24:37. | |
We will dip back in later. A joint again by Professor John Curtice. A | :24:38. | :24:41. | |
lot about childcare at the beginning of the speech and then it went on to | :24:42. | :24:45. | |
an attack on the Better Together partners, accusing the Coalition | :24:46. | :24:50. | |
Government of wanting to cut the Barnett formula, the mechanism used | :24:51. | :24:54. | |
for public expenditure here in Scotland. Maybe a surprising | :24:55. | :25:02. | |
attack. I don't think so. The SNP have been saying by is going to go | :25:03. | :25:09. | |
but following the provisions of the 2012 Scotland at that eventually the | :25:10. | :25:16. | |
revenues from the basic rate of income tax will come directly to the | :25:17. | :25:19. | |
Scottish Parliament rather than going through the UK Treasury, so by | :25:20. | :25:25. | |
that is already being you wrote it. The big message of what Mr Salmond | :25:26. | :25:32. | |
is trying to do, many of us have been saying the yes vote have been | :25:33. | :25:37. | |
on the defensive, constantly having to defend their position. There we | :25:38. | :25:45. | |
saw Mr Salmond trying to say, to put the no side on the defensive, saying | :25:46. | :25:51. | |
what answer to you have two insure Scotland could get women back into | :25:52. | :25:57. | |
employment what answer do you have two the chance Scotland will do | :25:58. | :26:02. | |
badly? That begins to take the no side into sorting out what will be | :26:03. | :26:08. | |
their stance in terms of what Scotland might get, because part of | :26:09. | :26:13. | |
the answer to the speech is, the more you'd evolve tax revenues to | :26:14. | :26:21. | |
the Scottish Parliament, relying less on the Barnett formula, even if | :26:22. | :26:25. | |
you do that within the framework of the UK, then Scotland begins to | :26:26. | :26:30. | |
benefit if you get more women into employment, so that debate on the no | :26:31. | :26:35. | |
side becomes more important. Thank you. Let's step back into the | :26:36. | :26:41. | |
chamber at Holyrood and the Labour Leader Johann Lamont. The First | :26:42. | :26:48. | |
Minister claims his white paper is full of detail. There is an enormous | :26:49. | :26:53. | |
difference between a lot of detail and a lot of words. Far from being | :26:54. | :26:59. | |
tampered with reality, this white paper is assertion rich. Let's look | :27:00. | :27:03. | |
at what it says about the pound. Page 85. Scotland will continue to | :27:04. | :27:10. | |
use the pound. Let's imagine that is true. LAUGHTER. I didn't realise he | :27:11. | :27:23. | |
would be quite so true to form. Let's imagine that is true. We would | :27:24. | :27:29. | |
have an independent Scotland relying on a foreign bank and taxpayers for | :27:30. | :27:33. | |
our currency, a foreign Parliament from which we had withdrawn Scottish | :27:34. | :27:37. | |
representation would draw up the rules. This independent Scotland, I | :27:38. | :27:43. | |
don't know if you realised this, this independent Scotland would have | :27:44. | :27:47. | |
it interest rates, its tax and spending policy its borrowing | :27:48. | :27:55. | |
rates, by another country. It would be the greatest loss of sovereignty | :27:56. | :27:58. | |
for Scotland since Edward invaded in 1296. But that is if we could cut a | :27:59. | :28:08. | |
deal to keep the pound. Yesterday, David Cameron says such a deal was | :28:09. | :28:17. | |
unlikely. In saying that, he is entitled to his opinion in these | :28:18. | :28:22. | |
negotiations, in saying that, he echoed the words of George as born | :28:23. | :28:30. | |
and Ed Balls and Carwyn Jones, the First Minister of Wales, who also | :28:31. | :28:33. | |
has an interest in these matters. Even if they agree, it is likely the | :28:34. | :28:38. | |
rest of the UK would require a referendum to join a currency union | :28:39. | :28:47. | |
just as if joining the EU. Imagine Scotland's future currency depending | :28:48. | :28:50. | |
on a referendum in which no Scot would have a vote. How would a | :28:51. | :28:53. | |
politician persuade the people of England, Wales and Northern Ireland | :28:54. | :28:59. | |
that the Scots who have left them would keep the pound, especially if | :29:00. | :29:02. | |
the Scottish Government's case to leave is because the rest of the UK | :29:03. | :29:07. | |
has held its back ever since the union was created? If they needed | :29:08. | :29:12. | |
evidence, they only had to listen to the First Minister's speech. The | :29:13. | :29:17. | |
idea you would abuse the rest of the UK for doing us down and then go | :29:18. | :29:22. | |
back to ask them for our favour to share their currency simply beggars | :29:23. | :29:28. | |
belief. You would need them to agree to a lender of last resort, so if a | :29:29. | :29:34. | |
Scottish bank needed a bail-out, English, Wales and Northern Ireland | :29:35. | :29:39. | |
taxpayers would fit the bill. The Bank of England is funded by | :29:40. | :29:43. | |
taxpayers that Scotland wouldn't pay any tax to the rest of the UK. How | :29:44. | :29:48. | |
can the First Minister think anyone north or south of the border | :29:49. | :29:52. | |
believes that deal could be done? Even the First Minister's own former | :29:53. | :29:59. | |
economic adviser says a deal for a separate Scotland to keep the pound | :30:00. | :30:05. | |
would be very difficult. He says the pound would be with the rest of the | :30:06. | :30:11. | |
UK. The adviser says the conditions the rest of the UK would impose | :30:12. | :30:15. | |
would be too restrictive to be desirable. Alex Salmond's economic | :30:16. | :30:20. | |
adviser says there would need to be a plan B, a separate Scottish | :30:21. | :30:25. | |
currency, but in this white paper we have a plan a which is not tampered | :30:26. | :30:28. | |
with reality and no plan B at all. Can I thank her for taking the | :30:29. | :30:42. | |
intervention. We are six minutes through the speech and we haven't | :30:43. | :30:45. | |
heard a single thing Johann Lamont leaves on. Do you really agree | :30:46. | :31:02. | |
that... That is completely ludicrous. For | :31:03. | :31:14. | |
all its 670 pages and its words this white paper cannot say what currency | :31:15. | :31:22. | |
a separate Scotland would have. The fundamental argument which runs | :31:23. | :31:30. | |
through the whole white paper was said of by Professor K, people need | :31:31. | :31:44. | |
to get beyond vague aspirations like an independent Scotland would have | :31:45. | :31:47. | |
the powers to tackle poverty. He added, nor can we say that Scotland | :31:48. | :31:56. | |
would have lots more money from an unknown source and would have be | :31:57. | :32:01. | |
able to avoid eating choices about spending and taxation and debt which | :32:02. | :32:06. | |
have two be made in the framework of the United Kingdom or indeed any | :32:07. | :32:14. | |
framework which characterises cloud cuckoo land. | :32:15. | :32:21. | |
If he wants to follow that debate live, go to the BBC democracy live | :32:22. | :32:29. | |
website. At Prime Minister's Questions today, on the payday | :32:30. | :32:39. | |
lending markets, David Cameron said he was proud to have intervened and | :32:40. | :32:43. | |
that Labour did nothing about it for 13 years. The subject of the | :32:44. | :32:48. | |
Scottish independence white paper was also raised. | :32:49. | :32:53. | |
Following his U-turn on payday lending, why has he gone from the | :32:54. | :33:10. | |
siding that's interfering is Marxist to interfering recently. | :33:11. | :33:17. | |
There are some very disturbing cases and for 13 years they did nothing | :33:18. | :33:22. | |
about it. I am proud of the fact that we have intervened to regulate | :33:23. | :33:28. | |
this market properly and we will also be putting in place a cap. Let | :33:29. | :33:33. | |
me be very clear to him, I followed very carefully his interview on | :33:34. | :33:44. | |
Desert Island Discs and I live is he is now following Engels. | :33:45. | :34:03. | |
They repeatedly voted against capping payday loan there is. We | :34:04. | :34:07. | |
were for it and they were against it. Clearly he wants to claim this | :34:08. | :34:15. | |
is a principled decision so can the Prime Minister explain why the | :34:16. | :34:18. | |
government intervening to cap the cost of credit is right but the | :34:19. | :34:23. | |
government capping energy bills is communism? | :34:24. | :34:29. | |
I feel like one of those radio hosts because I want to say, and your | :34:30. | :34:37. | |
complaint is exactly? We are doing the right thing. He should be | :34:38. | :34:40. | |
standing up and congratulating us. He wants to turn to energy so let's | :34:41. | :34:49. | |
do that. The point is that we do not have control of the international | :34:50. | :34:54. | |
price of gas so what we need to do is have more competition to get | :34:55. | :34:58. | |
profits down and roll back the cost of regulation to get prices down. | :34:59. | :35:05. | |
That is a proper energy policy. We know his version of intervention. | :35:06. | :35:09. | |
That is taking money off the Co-op and don't as any questions. | :35:10. | :35:15. | |
For two years, the people of Scotland were promised they would | :35:16. | :35:20. | |
get a detailed paper and selling all the questions. Instead they got it | :35:21. | :35:23. | |
the document full of false promises. It wasn't a blueprint for | :35:24. | :35:30. | |
independence but a wish list. Even that independence is based on the | :35:31. | :35:33. | |
assumption that Scotland would keep the pounds with no plan B, can the | :35:34. | :35:39. | |
Prime Minister tell us whether the lack of it plan B would call into | :35:40. | :35:45. | |
question the credibility of the white paper. | :35:46. | :35:49. | |
I very much agree. We were told this white paper would answer every | :35:50. | :35:54. | |
question but there is no answer on currency, an EU membership, on | :35:55. | :36:11. | |
Natal. -- on NATO. The Prime Minister needs some guts. We now | :36:12. | :36:24. | |
have the blueprint for independence. Well he stop being pathetic and get | :36:25. | :36:33. | |
out and debate the issues? I'm enjoying the debate now. This is | :36:34. | :36:44. | |
a debate between people in Scotland, not between the leader of | :36:45. | :36:47. | |
the Conservative Party or even the UK Prime Minister and the First | :36:48. | :36:54. | |
Minister. It is a debate between the leader of the yes campaign and the | :36:55. | :37:00. | |
leader of the no campaign. I know you want is find every sort of | :37:01. | :37:04. | |
distraction possible because when it comes to the economy, jobs, Europe, | :37:05. | :37:09. | |
all the arguments are for staying together. | :37:10. | :37:15. | |
Let us speak to our reporter at College Green at Westminster. It was | :37:16. | :37:22. | |
a fairly lacklustre Prime Minister's Questions. The most energising got | :37:23. | :37:31. | |
was during Pete Wishart's question. One MP was wrecked remanded -- | :37:32. | :37:40. | |
reprimanded. Tempers often get a little bit | :37:41. | :37:45. | |
frayed and people get excitable and that happened today. The speaker had | :37:46. | :37:58. | |
to tell the SMP's -- the Scottish National Party's Angus Neill to stop | :37:59. | :38:10. | |
yapping like a puppy. Lots of talk about the white paper | :38:11. | :38:16. | |
up in Scotland. What's other significant reaction has there been | :38:17. | :38:24. | |
an Westminster? Yesterday Westminster collectively | :38:25. | :38:34. | |
said that they thought they should leave it to Scotland to discuss the | :38:35. | :38:42. | |
white paper. Today we are seeing that people in Westminster are | :38:43. | :38:48. | |
treating this white paper a bit like a budgets beach. You get the | :38:49. | :38:52. | |
headlines on day one followed by the reaction over the following days | :38:53. | :38:57. | |
when baby is parties will try to pick out things they do and do not | :38:58. | :38:59. | |
like about it. I am joined by two Scottish | :39:00. | :39:11. | |
politicians. Pete Wishart and Jeremy Purvis, who we now call Lord | :39:12. | :39:24. | |
Purvis. The white paper, what do you think of it? | :39:25. | :39:36. | |
I've read it and the only thing I think there are so many big | :39:37. | :39:44. | |
questions remaining. There's one question missing and that is what if | :39:45. | :39:48. | |
they are wrong? What if they cannot get everything they want? What if | :39:49. | :39:56. | |
all other nations in the United Kingdom say that you cannot get what | :39:57. | :40:02. | |
you want? That is of fundamental importance when it comes to our | :40:03. | :40:08. | |
currency, our mortgages and what we will pass over to future | :40:09. | :40:14. | |
generations. I think this is of considerable concern. | :40:15. | :40:23. | |
You are guilty of the politics of assertion. Just because you say it | :40:24. | :40:28. | |
is going to happen doesn't mean it well. | :40:29. | :40:34. | |
We have been asked for detail and yesterday we presented it. We are so | :40:35. | :40:40. | |
everything it is possible to answer about an independence referendum. We | :40:41. | :40:45. | |
are going into this debate as the best informed country ever in an | :40:46. | :40:53. | |
independence debate. If people have a look at this, they will see the | :40:54. | :41:07. | |
answers to the questions. This is an exciting and transformative process. | :41:08. | :41:14. | |
Some would argue it is an SNP manifesto. It is a government paper. | :41:15. | :41:25. | |
Anybody can put forward a prospectus about a future Scotland's. You might | :41:26. | :41:32. | |
even see one from the Liberals. What if they are right about the | :41:33. | :41:37. | |
pounds and the head of state and you're not? | :41:38. | :41:44. | |
No we have presented a past doctors -- prospectus about what we would | :41:45. | :41:52. | |
take forward if we were the first government elected in an independent | :41:53. | :41:58. | |
Scotland. I do not think that is a sufficient | :41:59. | :42:09. | |
answer. A few years ago, Alex Salmond was saying that the pound | :42:10. | :42:12. | |
was the millstone around the Scottish neck. There isn't a plan B. | :42:13. | :42:21. | |
There isn't the case that we can change minds after the referendum. I | :42:22. | :42:27. | |
think it is important that these questions are properly addressed and | :42:28. | :42:30. | |
in this paper they are not. We've had lots of very clever people | :42:31. | :42:35. | |
look at the options for us. The fiscal commission determined that | :42:36. | :42:45. | |
the best way forward for Scotland's future was for us to keep the pound. | :42:46. | :42:59. | |
Some are arguing that you are keeping the parts that you like so | :43:00. | :43:05. | |
to some extent your opponents will say this isn't real independence. | :43:06. | :43:11. | |
What's wrong with keeping things that work? Why would we want to get | :43:12. | :43:18. | |
rid of the Queen. The pound will work for Scotland's as it works for | :43:19. | :43:28. | |
the rest of the country. If things don't work out then we can change | :43:29. | :43:42. | |
them. That is the key to independence. It is the Scottish | :43:43. | :43:48. | |
people that decide. I was in the Scottish Parliament for | :43:49. | :43:53. | |
eight years and they were indicating, your colleagues, that | :43:54. | :43:59. | |
the pound and the British state was not working for the people of | :44:00. | :44:05. | |
Scotland. Now they are suggesting that they will keep these things. | :44:06. | :44:11. | |
The British state is working. Why create harriers when we are already | :44:12. | :44:26. | |
contributing? -- create barriers. You are well known as the bring | :44:27. | :44:37. | |
devolution max. From the way you see the arguments progressing, do you | :44:38. | :44:45. | |
think that's devo max is an idea whose time will come? | :44:46. | :44:54. | |
We have established a home rule amity and want to see further | :44:55. | :45:02. | |
progression. -- home rule commission. We want the Scottish | :45:03. | :45:07. | |
Parliament to be stronger. Why create all the different barriers | :45:08. | :45:15. | |
and uncertainty and risks? It the referendum doesn't go your | :45:16. | :45:20. | |
way, could you live with devo max? What ever they talk about, it is up | :45:21. | :45:28. | |
to whoever decides in that place. If we vote no, that means no. They are | :45:29. | :45:39. | |
talking about the Barnett Formula, the West Lothian question. They will | :45:40. | :45:47. | |
be looking at the settlement again and turning it on its head. | :45:48. | :45:51. | |
Hull I'm sure we will return to this issue. Thank you. You won't be | :45:52. | :45:57. | |
surprised that we will be talking about this piece of paper. We only | :45:58. | :46:07. | |
have an abridged version on here so if anybody has any copies, there are | :46:08. | :46:12. | |
some people here who would like to read it. For a final time, let's dip | :46:13. | :46:23. | |
act into the chamber for the debate on the white paper and Scotland's | :46:24. | :46:33. | |
future. According to Johann Lamont, that is all right. She cannot make | :46:34. | :46:39. | |
the logical step from having health protected by this Parliament to | :46:40. | :46:44. | |
having other forms of social protection controlled by this | :46:45. | :46:48. | |
Parliament. I believe we can do better by our vulnerable. The white | :46:49. | :46:53. | |
paper acknowledges that welfare is to be viewed as a social investment | :46:54. | :46:57. | |
designed to promote equality, fairness and social cohesion, not | :46:58. | :47:02. | |
just a safety net but also as a positive investment in people. It | :47:03. | :47:07. | |
sets out policy goals the Government would pursue worthy SNP elected, | :47:08. | :47:12. | |
whether to abolish bedroom tax, cancel universal credit and | :47:13. | :47:18. | |
independence payments, these are real tangible choices we can make | :47:19. | :47:22. | |
with the powers of independents to ensure the same protection afforded | :47:23. | :47:26. | |
to our vulnerable to a Scottish controlled health service is | :47:27. | :47:30. | |
afforded by a Scottish controlled welfare system. If the chance to | :47:31. | :47:36. | |
recognise the value of all our people to a system that values all | :47:37. | :47:40. | |
our people, a system that would deliver from cradle to grave. That | :47:41. | :47:45. | |
is a point about childcare policy which the other parties seem to have | :47:46. | :47:49. | |
ever guilty with, but to invest the sums we required to deliver that | :47:50. | :47:53. | |
change, we need control of Scotland's revenues. We don't | :47:54. | :47:59. | |
require what is currently operated by Westminster which is a | :48:00. | :48:03. | |
diminishing grant subject to the whims of austerity mad politicians | :48:04. | :48:07. | |
in Westminster. We need the full power of Scotland's resources to | :48:08. | :48:11. | |
deliver the full range of powers for the people of Scotland, and that is | :48:12. | :48:18. | |
the essence of independents. It is about Scotland's people controlling | :48:19. | :48:22. | |
their future and Scotland's government delivering for | :48:23. | :48:27. | |
Scotland's people. It is about attracting talented people to come | :48:28. | :48:30. | |
to Scotland, not booting them out of Scotland. It is about protecting the | :48:31. | :48:37. | |
vulnerable, not humiliating them. That is essentially what | :48:38. | :48:40. | |
independence is about, the step where we say to the Scottish people, | :48:41. | :48:45. | |
we trust you, and they put their trust in those we elect to govern to | :48:46. | :48:51. | |
take decisions for them. We do not have a system for decisions on | :48:52. | :48:55. | |
Scotland's be are taken by people who did not ask what Scotland wanted | :48:56. | :49:01. | |
them to do on Scotland's Bihar. We need only look at what happened on | :49:02. | :49:03. | |
the Common Agricultural Policy decision to see we have that system | :49:04. | :49:10. | |
where government officials and ministers take decisions on behalf | :49:11. | :49:15. | |
of Scotland without a care for the impact on Scotland. Can you bring | :49:16. | :49:23. | |
your remarks to a close was Max with regard to independence, we can take | :49:24. | :49:28. | |
control is -- we can take decisions for the people of Scotland that | :49:29. | :49:31. | |
reflect their values. That decision I want for my children. Scotland's | :49:32. | :49:42. | |
finances and the economy are central to this debate. We have heard much | :49:43. | :49:50. | |
of that already. The white paper, figures show tax receipts in | :49:51. | :49:53. | |
Scotland are higher in the UK as a whole, but less is made of the equal | :49:54. | :50:01. | |
fact that public spending is higher. The IFS showed the same figures mean | :50:02. | :50:07. | |
an independent Scotland would face higher tax increases or greater cuts | :50:08. | :50:12. | |
than the UK. That drew even on the most optimistic case, using the | :50:13. | :50:20. | |
SNP's lowest estimate of debt and around highest projections for oil, | :50:21. | :50:29. | |
the calculation shows costs would still be in the area of ?1000 a year | :50:30. | :50:36. | |
taxation, so they refuse to face the arithmetic of independents. I | :50:37. | :50:39. | |
understand the Government dismisses these figures because they argue a | :50:40. | :50:47. | |
separate Scotland will suddenly grow stratospherically and the First | :50:48. | :50:50. | |
Minister asserted that again today. The white paper is vague on why that | :50:51. | :50:56. | |
should be expected to happen. It suggests corporation tax cut, no one | :50:57. | :51:04. | |
but the SNP believes it, a small-business National Insurance | :51:05. | :51:06. | |
scheme which already exists and has not works, and a pledge the SNP | :51:07. | :51:12. | |
could deliver today if they cared, the SNP had to take ten minutes to | :51:13. | :51:18. | |
date to apologise for his failure to do so. What this document is clear | :51:19. | :51:24. | |
about is the fundamental platform Scotland's future requires. Since | :51:25. | :51:30. | |
Johann Lamont the dog and so the question, can he now and corrupt? We | :51:31. | :51:38. | |
have identified how child care could be funded by increased revenues and | :51:39. | :51:42. | |
female per dissipation in the workforce. That could happen under | :51:43. | :51:48. | |
independence, but under devolution how would you find this ?700 million | :51:49. | :51:54. | |
required? Let's start by finding the resources to deliver the child care | :51:55. | :51:59. | |
pledge that in six years he has not managed to deliver. This document is | :52:00. | :52:06. | |
clear about the fundamental platform the future requires. It says we will | :52:07. | :52:10. | |
retain that pound, the Bank of England will be the lender of last | :52:11. | :52:14. | |
resort in case the banks fail, and on that financial sector, we will | :52:15. | :52:20. | |
retain a broadly integrated market, and as for energy, Scotland will | :52:21. | :52:24. | |
continue to operate in the great British market since we succeed in | :52:25. | :52:30. | |
attracting one third of the subsidies paid for by UK consumers | :52:31. | :52:35. | |
and we will have a single transmission operator paid for by | :52:36. | :52:38. | |
consumers across the UK and the green investment bank will continue | :52:39. | :52:44. | |
on a UK wide basis. For Scotland's universities, winning up to 50% of | :52:45. | :52:50. | |
available research funding, way above our share, the white paper | :52:51. | :52:55. | |
says these UK wide arrangements will continue after independence. Why? | :52:56. | :53:00. | |
Because it says so in the white paper. Workforce needs to move | :53:01. | :53:07. | |
freely across borders so we will continue with the Common travel area | :53:08. | :53:11. | |
except all the evidence says that even where borders remain open, | :53:12. | :53:14. | |
cross-border flows of people and trade will plummet when countries | :53:15. | :53:20. | |
separate by as much as two thirds in the case of Czechoslovakia. Last | :53:21. | :53:24. | |
week we debated the importance of UK defence contracts, not least to ship | :53:25. | :53:29. | |
welding. The white paper says these will continue but we know the | :53:30. | :53:34. | |
workers whose jobs depend on them say they would not. This document | :53:35. | :53:39. | |
offers no evidence that these things would continue after independence. | :53:40. | :53:45. | |
It simply asserts that because the SNP argument needs it and wishes it | :53:46. | :53:50. | |
to be so, it will happen. If wishes were horses, the First Minister | :53:51. | :53:54. | |
would today be riding at the head of a veritable cavalry Regiment for the | :53:55. | :54:01. | |
new Scottish defence force. There is no reason to believe and no | :54:02. | :54:06. | |
guarantee that the rest of the UK would tailor its currency to our | :54:07. | :54:09. | |
needs, subsidise our renewable industry or fund research rather | :54:10. | :54:14. | |
then there is, far less ills more ships here in another country for | :54:15. | :54:20. | |
the first time in the Navy's peacetime history because it suits | :54:21. | :54:24. | |
us, and to pretend otherwise is dishonest. The First Minister took a | :54:25. | :54:36. | |
minute to give way. The SNP say those who reject separatism should | :54:37. | :54:39. | |
describe a vision for Scotland's future but the argument we are | :54:40. | :54:45. | |
better United joins -- runs through their own white paper. A single | :54:46. | :54:50. | |
currency risks free trade and movement, an energy market with | :54:51. | :54:55. | |
access to ten times the research contract we could command research | :54:56. | :55:00. | |
contracts running into billions of pounds. That is the foundation of | :55:01. | :55:06. | |
our prosperity and if we vote no we keep these things. Not maybe, not | :55:07. | :55:10. | |
subject to negotiations, but guaranteed. This is the Better | :55:11. | :55:21. | |
Together case. Mr Gray is winding up. The SNP think we are too weak to | :55:22. | :55:31. | |
seize the opportunities of the UK and the world beyond in order to | :55:32. | :55:38. | |
thrive. Ian great speaking live in the chamber there. -- Iain Gray. And | :55:39. | :55:44. | |
if you'd like to watch the rest of that debate, just go to BBC | :55:45. | :55:47. | |
Scotland's Democracy Live website. Let's get some final thoughts from | :55:48. | :55:52. | |
Professor John Curtice. Let's go back to another Labour speech, | :55:53. | :55:56. | |
Johann Lamont a few minutes ago talking about the currency union and | :55:57. | :56:01. | |
perhaps that England may want to have a referendum on a potential | :56:02. | :56:05. | |
currency union with an independent Scotland. Most of us who listen to | :56:06. | :56:12. | |
this debate have heard lots of arguments for and against | :56:13. | :56:14. | |
independents are occasionally looking for new arguments. We | :56:15. | :56:17. | |
haven't heard many recently but here was one. She was arguing that there | :56:18. | :56:25. | |
in mind both Conservative and Labour parties said the UK would not join a | :56:26. | :56:29. | |
monetary union with the liver is -- with the EU in the absence of a | :56:30. | :56:34. | |
referendum. She said what the UK Government should decide is if | :56:35. | :56:40. | |
Scotland votes yes and wishes to have a monetary union with the rest | :56:41. | :56:44. | |
of the UK, the Government will insist on having a referendum on the | :56:45. | :56:49. | |
subject. An interesting argument, maybe therefore accept, but it | :56:50. | :56:58. | |
indicates that by becoming independent Scotland could | :56:59. | :57:00. | |
supposedly make its own choices, that many of the choices the SNP | :57:01. | :57:06. | |
would like Scotland to make our ones that require collaboration with the | :57:07. | :57:11. | |
rest of the UK. It is reasonable to argue that might be in Scotland's | :57:12. | :57:17. | |
interests but it means the SNP is arguing for positions that are not | :57:18. | :57:21. | |
entirely in its gift, and here we see a clear capital, perhaps even | :57:22. | :57:25. | |
strategic tension or the independence case. The SNP want to | :57:26. | :57:31. | |
put forward a case for independence that says the things for Britain we | :57:32. | :57:34. | |
like, they will not all be ripped up, it does not mean the drawbridge | :57:35. | :57:40. | |
comes down, things like the BBC and the pound we can keep, and I can see | :57:41. | :57:46. | |
why they want to do that because significant sections of Scottish | :57:47. | :57:49. | |
society still feel a sense of Britishness, but they then expose | :57:50. | :57:54. | |
themselves to the argument about Hang on, you cannot be sure what | :57:55. | :57:59. | |
will happen, and in effect the rupture will be bigger than you are | :58:00. | :58:04. | |
arguing. I think we can expect the no side to keep banging on about | :58:05. | :58:09. | |
this, especially the currency but also about agendas. We see the SNP | :58:10. | :58:14. | |
want to talk about childcare and what they see as the positive case, | :58:15. | :58:19. | |
we see the no side wanting to go back to currency and what they see | :58:20. | :58:24. | |
as the negative side. It will be interesting to see how that comes | :58:25. | :58:29. | |
out. The First Minister talked about childcare and growing the economy, | :58:30. | :58:34. | |
we also heard him talk about more immigration to Scotland. How do you | :58:35. | :58:38. | |
think that goes down and will that be possible in an independent | :58:39. | :58:43. | |
Scotland that doesn't have borders with the rest of the UK? It will be | :58:44. | :58:50. | |
fascinating to see how this goes from the border, the SNP are arguing | :58:51. | :58:54. | |
for more immigration while the UK Prime Minister is trying to limit | :58:55. | :59:02. | |
immigration from within the EU. Is the Scottish public necessarily more | :59:03. | :59:08. | |
immigration? It is debatable. Around half of people in Scotland say if a | :59:09. | :59:12. | |
lot more people came here from Europe, it might affect our cultural | :59:13. | :59:20. | |
diversity, and more people in Scotland may be as happy about | :59:21. | :59:24. | |
recent levels of immigration as the rest of the UK, so that is | :59:25. | :59:27. | |
potentially an issue to emerge more from this today. Thank you, John. We | :59:28. | :59:33. | |
will see you again soon. That's all we have time for today. We're back | :59:34. | :59:37. | |
at the usual time next week here, 2:30pm here on BBC Two. Newsnight | :59:38. | :59:40. | |
Scotland will be debating the white paper tonight with the Finance | :59:41. | :59:43. | |
Secretary John Swinney and Scottish Labour Leader Johann Lamont. That's | :59:44. | :59:46. | |
at the earlier time of 10:30pm. Thanks for your company. From all | :59:47. | :59:52. | |
the team here, goodbye for now. | :59:53. | :59:58. |