Latest news with #UKGovernment
Glasgow Times
2 hours ago
- Business
- Glasgow Times
'Glasgow must be given the same resources as English city regions'
City regions across these islands – and indeed across our planet – are vital drivers of growth and addressing poverty and inequalities. Glasgow is no exception. In a relatively short space of time, and during some very difficult years, our own City Region has been delivering exactly the types of benefits that people want to see. The City Deal, for example, is transforming not just the look and feel of communities with new bridges and new neighbourhoods but also our very economy. We're right up there with Europe's best for science and technology while creating more employment opportunities for ordinary citizens. Meanwhile, the partnerships between the eight member councils, businesses, and academia are helping ensure Glasgow actually outperforms those UK city regions we're regularly compared to. For example, the total value of what our economy produces here in Metropolitan Glasgow has recently been higher than either the West Midlands or Greater Manchester. At the same time, levels of child poverty and unemployment are lower. We're clearly doing a lot of things right. As chair of the cross-party Glasgow City Region Cabinet, I've always been clear that to take our ambitions to the next level we need more powers and more resources. And that has to come from both the Scottish and UK Governments. So, I was obviously delighted when, at our annual State of the City Economy Conference in December, Scottish and UK ministers pledged to work together with us to drive those ambitions forward. However, over the past month, many of us within these partnerships have become increasingly disappointed with what's emerging from the UK Government. I'll be the first to say that my party colleagues at Holyrood really do have to get a move on delivering on their promises to better empower Glasgow. But what's emerging from Westminster looks increasingly like a rollback. And if that's the case, Glasgow and our fellow City Region authorities will start to fall behind our peers south of the border. The UK Government's Spending Review made clear the gulf in how Scottish and English city regions are resourced. Manchester, West Yorkshire, West Midlands, and several others are provided with large integrated settlements with which they can make their own investment decisions. Yet Glasgow is reduced to administering UK Government programmes. That makes it extremely difficult to grow our economy in the ways we know we can – and must. Now, Scotland's Secretary of State, Ian Murray, and his colleague, Chief Secretary to the Treasury, Darren Jones MP, both insist that the UK Government has no role in delivering for Glasgow the type of devolution deal awarded for our English City Region comparators. It is certainly the case that the vast majority of the powers we seek are in the gift of the Scottish Government. However, devolving powers without the accompanying funding to match would be almost meaningless. The Glasgow City Region partners are clear that we require integrated funding deals, equivalent to those being delivered to our English peers. Those deals have not generated the all-important Barnett consequentials, meaning no equivalent funding has ever been provided to the Scottish Government. It's clear then that the funding for a devolution deal for the Glasgow City Region remains the responsibility of the UK Government. Crucially, the Core Cities Group, which represents the 12 biggest cities outside London and which Glasgow is part of, has collectively called on the UK Government to provide parity of funding support for the city regions in the devolved nations. And it too believes that the Spending Review was a missed opportunity to begin to address the inequities between English city regions and Glasgow, Edinburgh, Cardiff, and Belfast. If the UK Government wants to properly address the very poor growth figures undermining its own economic mission, then it needs to reconsider how it funds city regions in the devolved nations. The Secretary of State for Scotland has asked that I join him in writing to the First Minister in demanding the Scottish Government gives the Glasgow City Region the powers it's been asking for. I'm happy to do that. But a joint letter also needs to go to the UK Prime Minister and Chancellor demanding parity with our English peers. Glasgow needs both of our governments to step up to devolution.
STV News
6 hours ago
- Business
- STV News
Scottish Secretary and defence minister to launch £250m Faslane investment
The Scottish Secretary and UK defence procurement minister are to launch a £250m investment at the base housing Scotland's nuclear weapons. The funding for HMNB Clyde at Faslane was announced in the spending review last month and will be spent over the next three years to improve infrastructure at the site. The upgrade will ensure the base can house the next generation of nuclear submarines. UK Government ministers Ian Murray and Maria Eagle will visit the site on Wednesday, meeting with senior military officials, the leaders of Inverclyde and Argyll and Bute councils, and local MPs. Scottish Secretary Mr Murray described the spending as a 'defence dividend' as he continued to talk up the economic impact of investing in the sector in Scotland, including through the Clyde 2070 programme, which will see billions pumped into the industry in the coming decades. 'With Faslane home to the nation's first and final line of defence – the UK's nuclear deterrent, it's only right that Clyde 2070 represents one of the most significant UK Government investments over the coming decades,' he said. 'It will ensure the Royal Navy can deliver the continuous at sea deterrent from a modern, efficient base which will result in a better environment for our hero submariners to live, work and train in. 'Crucially it will also create skilled jobs – including for small and medium-size firms – boost the economy and help tackle the critical skills gaps facing the country in sectors such as nuclear, construction, maritime and project management, by bringing together government, Scottish communities, industry, supply chains and academia to address the challenges.' Defence procurement minister Ms Eagle said Scotland plays a 'crucial role' in the country's Trident nuclear deterrent, which forms the 'bedrock of the UK's defence'. She added: 'We are today re-affirming that unshakeable commitment by launching this multibillion-pound investment to His Majesty's Naval Base Clyde, which is vital to our deterrence capability. 'The initial £250 million of funding over three years will support jobs, skills and growth across the west of Scotland. 'This Government will keep the UK safe for generations to come while delivering on the Plan for Change and making defence an engine for growth.' Get all the latest news from around the country Follow STV News Scan the QR code on your mobile device for all the latest news from around the country
The Herald Scotland
7 hours ago
- Business
- The Herald Scotland
Westminster urged to increase ScotGov borrowing limits by MPs
Currently, the Government is limited to borrowing £600 million for day-to-day spending and £450 million for capital projects. A committee of MPs has told the UK Government to look at increasing the Scottish Government 's capital borrowing limits. But in a report from the Scottish Affairs Committee at Westminster on the fiscal arrangements north of the border, MPs pushed for the limits to be increased. The report said: 'At present, the Scottish Government's limited borrowing powers constrain its ability to manage fiscal shocks, as it is only able to borrow for resource purposes to cover forecast errors. 'Capital borrowing limits are currently linked to, and grow in line with, inflation, which may not necessarily be the highest metric of growth.' It added: 'We agree with the Secretary of State that borrowing limits should be linked to the measure which offers the Scottish Government the highest level of flexibility but, crucially, we note that which metric delivers this remains undetermined. 'The UK Government should therefore publish a transparent analysis of what borrowing limits would look like based on the different metrics advised in the evidence for this inquiry. 'At the next fiscal framework review, we encourage the UK Government to consider reforming the Scottish Government's capital borrowing powers, by automatically coupling borrowing to the metric which offers the highest limit.' Read More The report comes at the end of an inquiry by the committee which sought to gauge the effectiveness of the Barnett Formula – the measure which dictates the level of funding the UK Government sends to Scotland every year. The MPs found the measure was 'fit for purpose', although it is 'imperfect'. The committee also rejected calls for the formula to shift and provide funding to Scotland based on need. Scotland, the report said, already receives more funding per head than any other country in the UK and a change in the framework could see funding cut. In written evidence to the committee, Scottish Finance Secretary Shona Robison reiterated the Scottish Government's support for full fiscal autonomy – an arrangement which would see powers over tax and spending devolved. But the committee dismissed such a move as not being a 'realistic prospect'. 'Fundamental questions remain about how full fiscal autonomy would work in practice, and whether it would be operable within the constraints of the UK's current devolution settlement,' the report said. 'Practicality aside, we do not believe that a compelling case has been made that such a change would automatically result in Scotland receiving a higher level of funding.' Ms Robison declined an invitation to appear before the committee, leading the MPs to say 'do not see how we can consider this a serious proposition, and we remain to be convinced that this proposal is desirable in principle, let alone workable in practice'. Responding to the report, Ms Robison said: 'This report rightly recognises that Scotland's finances remain largely dictated by the UK Government's spending decisions, irrespective of the impact on Scottish public services. 'That has meant Scotland has been left with a shortfall of £400 million to pay for the Chancellor's national insurance increase, and saw Scotland short-changed by more than a billion pounds over the next three years at the recent spending review. 'The decisions we have taken to ask higher earners to pay a little bit more – while most income tax payers pay less than in the rest of the UK – mean that we can support vital public services and provide free tuition, prescriptions and the Scottish child payment to help tackle child poverty.' Scottish Secretary Ian Murray said: 'The spending review provided the Scottish Government with an extra £9.1 billion, giving them a record settlement. 'People will expect that to deliver better outcomes for Scots – lower NHS waiting lists and better attainment in our schools. 'Spending per head in Scotland is around 20% higher than the rest of the UK thanks to the Barnett formula. This report confirms that it appears to be the position of the Scottish Government to scrap that formula that delivers higher funding – they should explain why they want less money for public services in Scotland. 'Their plans for full fiscal autonomy would mean a £12 billion cut in public spending for Scotland.'
The National
9 hours ago
- Business
- The National
UK ministers told to increase Scottish Government borrowing limits
Currently, the Government is limited to borrowing £600 million for day-to-day spending and £450m for capital projects. But in a report from the Scottish Affairs Committee at Westminster on the fiscal arrangements north of the Border, MPs pushed for the limits to be increased. READ MORE: I've known Corbyn for decades. I believe he could help us to independence The report said: 'At present, the Scottish Government's limited borrowing powers constrain its ability to manage fiscal shocks, as it is only able to borrow for resource purposes to cover forecast errors. 'Capital borrowing limits are currently linked to, and grow in line with, inflation, which may not necessarily be the highest metric of growth.' It added: 'We agree with the Secretary of State that borrowing limits should be linked to the measure which offers the Scottish Government the highest level of flexibility but, crucially, we note that which metric delivers this remains undetermined. 'The UK Government should therefore publish a transparent analysis of what borrowing limits would look like based on the different metrics advised in the evidence for this inquiry. 'At the next fiscal framework review, we encourage the UK Government to consider reforming the Scottish Government's capital borrowing powers, by automatically coupling borrowing to the metric which offers the highest limit.' The report comes at the end of an inquiry by the committee which sought to gauge the effectiveness of the Barnett Formula – the measure which dictates the level of funding the UK Government sends to Scotland every year. The MPs found the measure was 'fit for purpose', although it is 'imperfect'. The committee also rejected calls for the formula to shift and provide funding to Scotland based on need. Scotland, the report said, already receives more funding per head than any other country in the UK and a change in the framework could see funding cut. In written evidence to the committee, Scottish Finance Secretary Shona Robison reiterated the Scottish Government's support for full fiscal autonomy – an arrangement which would see powers over tax and spending devolved. Shona Robison (Image: PA) But the committee dismissed such a move as not being a 'realistic prospect'. 'Fundamental questions remain about how full fiscal autonomy would work in practice, and whether it would be operable within the constraints of the UK's current devolution settlement,' the report said. 'Practicality aside, we do not believe that a compelling case has been made that such a change would automatically result in Scotland receiving a higher level of funding.' READ MORE: Activists 'to defy Labour with illegal pro-Palestine T-shirts' at Edinburgh protest Robison declined an invitation to appear before the committee, leading the MPs to say they 'do not see how we can consider this a serious proposition, and we remain to be convinced that this proposal is desirable in principle, let alone workable in practice'. Responding to the report, Robison said: 'This report rightly recognises that Scotland's finances remain largely dictated by the UK Government's spending decisions, irrespective of the impact on Scottish public services. 'That has meant Scotland has been left with a shortfall of £400m to pay for the Chancellor's national insurance increase, and saw Scotland short-changed by more than a billion pounds over the next three years at the recent spending review. 'The decisions we have taken to ask higher earners to pay a little bit more – while most income tax payers pay less than in the rest of the UK – mean that we can support vital public services and provide free tuition, prescriptions and the Scottish child payment to help tackle child poverty.' Ian Murray (Image: PA) Scottish Secretary Ian Murray said: 'The spending review provided the Scottish Government with an extra £9.1bn, giving them a record settlement. 'People will expect that to deliver better outcomes for Scots – lower NHS waiting lists and better attainment in our schools. 'Spending per head in Scotland is around 20% higher than the rest of the UK thanks to the Barnett formula. This report confirms that it appears to be the position of the Scottish Government to scrap that formula that delivers higher funding – they should explain why they want less money for public services in Scotland. 'Their plans for full fiscal autonomy would mean a £12bn cut in public spending for Scotland.'
North Wales Chronicle
12 hours ago
- Business
- North Wales Chronicle
Scottish Secretary and defence minister to launch £250m Faslane investment
The funding for HMNB Clyde at Faslane was announced in the spending review last month and will be spent over the next three years to improve infrastructure at the site. The upgrade will ensure the base can house the next generation of nuclear submarines. UK Government ministers Ian Murray and Maria Eagle will visit the site on Wednesday, meeting with senior military officials, the leaders of Inverclyde and Argyll and Bute councils, and local MPs. Scottish Secretary Mr Murray described the spending as a 'defence dividend' as he continued to talk up the economic impact of investing in the sector in Scotland, including through the Clyde 2070 programme, which will see billions pumped into the industry in the coming decades. 'With Faslane home to the nation's first and final line of defence – the UK's nuclear deterrent, it's only right that Clyde 2070 represents one of the most significant UK Government investments over the coming decades,' he said. 'It will ensure the Royal Navy can deliver the continuous at sea deterrent from a modern, efficient base which will result in a better environment for our hero submariners to live, work and train in. 'Crucially it will also create skilled jobs – including for small and medium-size firms – boost the economy and help tackle the critical skills gaps facing the country in sectors such as nuclear, construction, maritime and project management, by bringing together government, Scottish communities, industry, supply chains and academia to address the challenges.' Defence procurement minister Ms Eagle said Scotland plays a 'crucial role' in the country's Trident nuclear deterrent, which forms the 'bedrock of the UK's defence'. She added: 'We are today re-affirming that unshakeable commitment by launching this multibillion-pound investment to His Majesty's Naval Base Clyde, which is vital to our deterrence capability. 'The initial £250 million of funding over three years will support jobs, skills and growth across the west of Scotland. 'This Government will keep the UK safe for generations to come while delivering on the Plan for Change and making defence an engine for growth.'
