30/05/2013 Politics Scotland

Parliament at Holyrood, where MSP's have been talking referendum. What

else is new, and yet you ask. They were discussing the content of the

referendum, they were taking evidence from the campaign teams on

the rules and regulations that will have on that referendum. There will

be more about content on the next programme, which is the questions

for the First Minister. In the chair today, presiding, will be John

Scott. Let's cross to the chamber. General questions are still underway

and coming to an end before they moved to First Minister's Questions.

John Scott in the chair. He had been due to ask a question today.

Normally, members who can't ask a question have to provide an excuse,

an explanation, well, John Scott's expiration is foolproof. He can't be

asking questions and in the chair at the same time. A question be in and

sold on screening for pregnant women at the moment. He is outlining the

Government's position on that issue. Could be another question yet or we

could move straight to First Minister's Questions. We now move to

question one. First Minister, what engagements do you have planned for

the rest of the day? To take forward the Government's programme for

Scotland. Does the First Minister think that George Osborne has cut

corporation tax enough honesty of urging the chance to go further?

George Osborne is following in the footsteps of Gordon Brown, who as

Chancellor cut corporation tax. The Scottish Government have modelled

the results of corporation tax rates in Scotland 3% below that of the UK.

The results show that 27,000 jobs and an increase of GDP of 1% has

happened. I think we should set a competitive rate and then collect

the corporation tax. The policy of successive UK governments is to set

the corporation tax rate and then not collected. It seems a very

strange thing to do. I think that answer sounded like one of Mike

Russell's bus trips from Campbeltown. Of course, Gordon Brown

did indeed say he would cut corporation tax when it could be

shown that we could afford it. The differences, Alex Salmond says if we

were independent now, he would cut corporation tax three points lower

than George Osborne, whether it makes sense or not. However much

George Osborne cuts taxes for his mates in banking, Alex Salmond would

cut its father. However deep George Osborne could be seen in the court

-- pockets of corporate greed, Alex Salmond would be that bit deeper. He

is saying to Google, Amazon, to Starbucks, anyone who wants to evade

tax, come to Scotland, there will be less tax to evade. If you would cut

corporation tax three points lower than what other -- than whatever

George Osborne sets, doesn't it follow that he would have to cut

schools and hospitals deeper than George Osborne? Can I introduce a

connection to Johann Lamont. Gordon Brown didn't say he would cut

corporation tax, he did it. He boasted about doing it and said it

was one of the great achievements of his term as Chancellor of the. I

mention this because this doesn't put Johann Lamont in a strong

position to complain about the policy of corporation tax when

Gordon Brown as Chancellor did that in office. Secondly, she should have

regard to my first answer. I thought and I commit whereby you had a 3%

differential rate of corporation tax for Scotland and the rest of the UK

was good for Scotland cos we had analysed it and said it would take

27,000 jobs, an increase of GDP, over the medium-term. It seemed to

me that the task was to set a competitive rate of corporation tax

and collected. I know this will be a surprise to Johann Lamont, but the

noncollection of corporation tax across a range of companies didn't

start under George Osborne. It started when the Labour Party were

in Government. I think our policy of setting a competitive rate of

corporation tax and then collecting it is substantially superior to the

Labour and Tory policy of setting a rate of corporation tax and

forgetting to collected from companies. I think we have come to

any strange path when the First Minister imagines he is in a strong

position on this question, given his response to what I asked him. If he

were on a strong position, perhaps we can question who agrees with the

First Minister 's corporation tax policy. We know he agrees with it,

and we assumed by the silence that his backbenchers also agree with it.

Of course. The only place that appears never to be any debate, of

course, is in the SNP backbenchers. However, we know that not Scottish

business and not the unions are in support. Not CB I Scotland BS TUC.

Not the nation's accountants. This week, not the Scottish Council for

that element and industry. Not even the chair of the Yes campaign. You

will be gone to know he has one supporter. Tax exile, Gemma called.

-- Jim McColl. Does he agree with his one supporter that an

independent Scotland capital gains tax should be abolished? To connect

Johann Lamont on the report, I would refer to page 22, which points out

that it will rate of corporation tax could have a positive effect on

attracting investment to Scotland. If it did have a positive effect in

attracting investment for Scotland, is as the Scottish Government

analysed, it would take 27,000 jobs in Scotland, if over the medium term

it would increase Scottish GDP, then presumably the Labour Party wouldn't

oppose it on that basis. They wouldn't seriously oppose creating

27,000 extra jobs in Scotland. They wouldn't seriously oppose increasing

Scottish GDP. If these things are correct, this is a substantially

good policy. Especially since the Labour Chancellor implemented in

corporation tax in office. As for the attack on Scotland's leading job

creator, the Labour Party and the No campaign are registered to attacking

seedier staggers in job creation and -- attacking job creators, it shows

what has happened to their campaign or the last few weeks. Probably most

important word there was if. The First Minister calls and defends his

own figures that some of us might not think applies much to scrutiny.

The fact of the matter is that the ten Mac one -- that the SCDI... We

know that the First Minister things of himself as a talented economist.

Not just that, he likes quoting really economists. How many times as

he told this chamber about his own adviser and all the Nobel prizes he

has one? What is his advisers say about this policy question mark just

a month ago, he said, and I quote, some of you have been told that

morning tax rates for corporations will lead to more investment. That

fact is not true. It is just a gift to the corporations, increasing

inequality in our society. So, I agree with the Nobel Prize winning

adviser and the businesses, the unions, the professionals, they all

say the First Minister is wrong. Can the First Minister tell us who is

right? I can't believe the SNP backbenchers are calling the name

Gordon Brown, when I am telling them that his own economic adviser...

Order. A little bit of calm, please. His own adviser said it was wrong.

Can the First Minister tell us who is right? Isn't the First Minister,

the ex-RBS economist and renowned adviser to Fred Goodwin, or is it

his noble laureate, his economic adviser, who says he is wrong?

would point out that Johann Lamont can't divorce herself from Gordon

Brown, because he is now the leader of the Labour No campaign in

Scotland. That is separate of course from the Tory and Labour No campaign

led by Alistair Darling. I'm delighted to know... My economic

adviser has pointed out that the vast disparity in income levels in

the UK under the Labour party are not an efficient way to run an

economy. It is part of the official -- the Fiscal Commission has

recommended Stelling postindependence. I'm delighted

Johann Lamont is going to accept the wisdom of my advisor and the other

Nobel laureates on my committee. The purpose of a competitive rate is to

set a competitive rates to benefit the Scottish economy and collect

corporations -- corporation tax. That is a better position than the

position under the Labour Party and no George Osborne, we're corporation

tax is not collected. Having a competitive rate is -- that is

collected is better than having a rate that is not collected. If

Gordon Brown implemented this policy, I don't think Johann Lamont

could divorce herself from it. It is good for the economy. If we base our

policies on what's best for jobs, investment and growth for the

Scottish people, that's where this Government is in office and that is

why Johann Lamont's party is sitting over there. To ask the First

Minister when he will next meet the Secretary of State for Scotland?

plans in the near future. Last year, people were shocked by the baby

Ashes scandal. We now know that the issues raised in Edinburgh have

spread to Glasgow and Aberdeen. Calls from the increasing number of

affected parents for a public enquiry and growing louder. Will the

First Minister ordered a full Robert enquiry? -- public enquiry?

position is that the enquiry is proceeding and there is coordination

across the councils in Scotland. That is an affective way to

proceed. The Cabinet Secretary is always prepared to listen to

positive suggestions in the matter, but I think the enquiry in Edinburgh

is proceeding. There is confidence in the way that it is being

conducted. Other councils in Scotland have now responded, and I

think they have responded sick -- sympathetically and with

understanding of the parents of Scotland. Therefore, I think the

issue has been handled in a sensitive manner. If Ruth Davidson

wants to bring proposals forward as to why a national public enquiry

would actually benefit the parents, the bereaved parents, we will look

at that. There is a big argument for effectively proceeding in the know

-- in the wheat is being done off in terms of speed and in terms of

giving people the answers they want. I do appreciate the steps that have

been made on this issue, but those steps are being increasingly

overtaken by events. Yes, the Edinburgh enquiry is proceeding, and

in particular, there is also the Commission which has no direct

representation from the parents themselves, despite them being

promised as much. On Friday, it was said that parents would be able to

make a written submission until the 19th of July. This week it has

emerged that the independent audit of what went on in Aberdeen won't be

so -- presented until the 24th of September. That means affected

parents in the country will have no voice in this process. I agree that

new protections have to be put in place, but parents are asking for an

-- actions and what happened to be a child. This commission is not

designed for that. To get what everyone in this chamber once, which

is justice for the affected families across Scotland, we need a public

quietly. Well he reconsider? purpose of the Bonhomie review is to

get into place proper procedures. That is the priority. Get in police

procedures that should have been in place and haven't been and to

correct the decision. I don't think Ruth Davidson is correct in terms of

the parental representation on the Bonhomie review. I can give her that

information. I think she should be aware of that. But that is not the

same thing as the investigation, the one taking place in Edinburgh and

may take place else, which is to look at the past and find out what

happened. There is a room for what Lord Bonhomie is doing to make sure

that procedures are correctly applied. Not to wait for the inquiry

to do that. It is clear as to what the correct procedures should be. So

get that done. We will look at the arguments in terms of nature of

inquiry, but there is an advantage in proceeding as quickly as we are,

and meeting I think the concerns of parents and the wider community.

constituency si suppliry. -- supplementary. Police staff without

qualifications have been taking fingerprints in Dundee and Arbroath.

Has the First Minister had reports of this happening anywhere else and

can the First Minister reassure people that the review will be

conducted as thoroughly as possible as there is a danger hear the

evidence could be dismissed in serious cases, because of the breach

of protocol? Yes, I can provide that reassurance. The review will be

conducted swiftly and any lessons learned will be applied. I hope she

will accept that reassurance. and Balfour contractors are bidding

to build the new sick kids hospital. They have been up to their necks.

Will the First Minister use his influence with these companies to

get them to own up to what they have done and agree to pay compensation

for ruined lives and careers and does he agree if they don't they

should not be awarded contracts from the public sector. I don't know if

he is familiar with the points I made at the STUC conference. I was

addressing what we believe the government can do in terms of public

sector contracts to make sure blacklisted is eliminated. What

issues will be discussed at the cabinet. Issues of importance to the

people of Scotland. The SNP MSP say they're prepared to back the closure

of the local court in return for a new just sis centre for their' --

justice Sen ten for their new legal centre. With only 12 days before

this Parliament decides their future, can the First Minister tell

these back benchers today when and where these new justice centres will

be built? The SNP MSPs are making representations on behalf of their

constituents. Perhaps if the Liberal Democrats had employed that policy,

they would have more constituency members than they do. I expected

some sort of exmra nation about -- explanation but nothing was

forthcoming. It is ridiculous he does not have worked out plans for

this. He can't even give us one single date and one location for

these justice centres that his own backbenchers say are going to come.

He already has a justice centre in Coupar, but he is planning to close

it, to shut it. He already has one. But that is what he does. Last week

we heard that more courts could close before any justice centres are

built. The Law Society spoke out this week as well. So the clock is

ticking, 12 days for SNP members on the Justice Committee to make that

decision to back their government, or back their community. 500 years

of local service against this Government's cavalier and chaotic

approach. Wouldn't it be safer for SNP members to stand up for their

communities and reject his court closure? Or look for best way to

ensure justice. I know he lives in a world where public expenditure

restrictions imposed by his colleagues in Westminster don't

exist and he likes to believe that public services in Scotland should

be immune from Westminster cuts, but nobody in Scotland doesn't

understand the position. That is why the Liberal Democrats used to have a

football team in this Parliament and now they have got a subs bench.

Question four. To ask the First Minister what he economic value the

Scottish Government places on services from Highlands and Islands

arts to hub airports -- airports to hub airports. The Highlands and

Islandses airports, worldwide connection is essential. The effect

of the UK Government's air passenger duty has been demonstrated by

Flybe's announcements of sales to slots at Gatwick. They said the

ludicrous policy of charging duty on both legs of a flight, it is

inevitable that high frequency services will beeesed out. --

squeezed out. That is a warning statement and underlines the

necessity for duty to be devolved to this Parliament. Does the First

Minister review in 2008 -- rule in 2008 the services to Inverness to

Heathrow were ended and is it not now important that the protecting

the lichgs from Inverness to Gatwick is ever more essential. Of course,

these are not my words. These are the words of the local MP, Danny

Alexander in 2008. Is it not hypocrisy that the local MP had one

opinion in 2008 and has done nothing in government to support air

services from Inverness? Well, we should remember in context Danny

Alexander is a Liberal Democrat, so adopting two positions at the same

time may be part of party policy. But it is for the Secretary of the

Treasury and the local member for Inverness to be responsible for the

taxation which is driving and threatening services in Inverness

and then come playing about it -- complaining about it. Perhaps if we

agree on the position of devolving air passenger duty to this

Parliament, to have a policy that benefits the Scottish economy and

Danny Alexander would be relieved of his difficulty to be the Treasury's

man in Inverness, while pretending to be inNess man in the Treasury. --

Inverness. Will the First Minister hold talks with the UK government

and Flybe and easyJet who have the flights from Inverness, will he look

to having a PSO op routes to Gatwick and speak to the airlines about

connectivity from the islands through to Gatwick, which used to be

booked through one operator and will will require to be booked through

two. These talks are ongoing with the Transport Minister and the

airports. But the member should direct herself not just to what

Flybe have said, but the extent of the studies across the Scottish

airports and carriers who are looking at the differential impact

the duty is having on Scottish flights. This is the key and source

of the difficulty. Therefore I hope that the member will join with the

government in calling for it to be devolved to this Parliament to

produce a policy which benefits the Scottish economy, as opposed to

threatening services. To ask what his response is to audit Scotland's

report, managing early departures from the public sector, which says

they are spending �280 million a year on early departures. The report

notes that savings that have been made by the voluntary service

arrangements by the Scottish Government. Under funding pressure

it is inevitable that will be reductions, our policy of no

compulsory redundancy is the right policy, it treats people with

respect, and it gives security to those who remain within the public

sector. It is a policy supported by the unions and pursued by this

Government and a policy not available elsewhere in these

islands. I am not sure if he agrees that audit Scotland is right toite

this this. -- criticise this, but he he share concerns in the newly

created police Scotland that a pool of money has been given to provide

exit packages for senior police officers to reduce their numbers, as

it is not heard for senior police officers and other services to take

exit packages, only to return on the same or similar capacities. Will the

First Minister give the Chale bear combhitment -- chamber a commitment

that if and when senior police officers take golden goodbyes they

will not then be able to say golden hello, hello to similar jobs.

assurance that the services will manage more effective than many

Labour authorities did. I don't think he should be allowed to put

audit Scotland report in the context he did. On pain four of the report

-- page four, early retirement and redundancy can be a useful way of

avoiding the cost of compulsory redundancy. They provide significant

savings for organisations. So I think the member should reflect on

the balance of the report and what it had to say about that. And

reflect on the range of cases, a range which I could quote, where the

practices and policies of his colleagues have been brought into

question. E Thank you. When I asked the cabinet Secretary of finance

yesterday why the Scottish Government was spending ten times as

much pushing people out of the door, he said the same excuse, that the

Government has a policy of no compulsory redundancies and only use

compromise agreements in a few cases. Labour's revealed since Alex

Salmond came to power the Scottish government has spent �10 million on

compulsory redundancies and �45 million on compromise agreements.

he knows, we have introduced a compulsory redundancy policy across

central Government. The policy, the Labour Party are saying they

wouldn't have this? If they are, they had better tell the public

sector unions. He should look at the public service in Scotland compared

to the rest of the UK, the public service numbers are down less,

because of the sensitivity with which he handled it. It right to

have no compulsory redundancies as a policy. If he, as the Labour Party

spokesman, looking after public sector employees says he will have

compulsory redundancy. Then let him say so. Our policy is more in tune

with kwha what the Scottish people demands. To ask the First Minister

what the Scottish Government's response is to opinions in the

briefing paper the funding of higher education. We welcome contributions

to the debate and I'm sure she will have noticed the contribution from

Universities Scotland. They published legal advice on

universities post-independence and it could be per missible to charge

students from the rest of the UK tuition. This Government has

delivered free education in the face of the nay sayers who said it could

not be done. We are confident we will continue to deliver free

education in an independent Scotland. I am grateful, in light of

the legal advice that has been published today, could the First

Minister now confirm which groups of students would not pay fees in an

independent Scotland and whether the Scottish Government has received...

We are coming to the end of First Minister's questions. A confident

ending from the First Minister on university education and confident