4 days ago
Warning Scots will pay for Farage's 'reckless' plans to scrap 'Union dividend'
Nigel Farage has launched a 'reckless' plan to consider scrapping the Holyrood funding deal which helps provide an annual 'Union dividend' for every Scottish family.
The Reform UK leader was accused of a 'hare-brained suggestion' after he called for a review of the Barnett Formula and for the Scottish Parliament have more responsibility for raising the money it spends - sparking fears of savage cuts to public services like the NHS and schools or massive tax rises.
He also shrugged off the risk that he could help hand the SNP another five years in power, saying his party could get things done at Holyrood while in opposition.
On his first visit to Scotland in six years, he also doubled down on his race row with Scottish Labour leader Anas Sarwar and also accused First Minister John Swinney of inciting protesters by branding him a racist.
Mr Farage held a press conference in Aberdeen to warn of the threat of 'deindustrialisation' because of the SNP and Labour's opposition to new oil and gas development, before giving the press pack a slip in Hamilton.
The Barnett Formula determines that the Scottish Government must get extra funding through the block grant as a direct consequence of any public spending in devolved areas south of the Border.
It helped contribute to £1,521 more net expenditure per person in Scotland than across the UK as a whole last year.
Asked whether he would look to scrap the Barnett Formula given he has previously said English taxpayers are 'cheesed off' with the amount of extra money spent in Scotland, Mr Farage said: 'The Barnett Formula, it seems to me, is really somewhat out of date.
'What I'd like to see is a Scottish Government that is able to raise a bit more of its own revenue and a Scottish economy that has actually got genuine growth, and I don't think that can happen without this sector (oil and gas) booming.
'The Barnett Formula goes back to the 1970s. Is there an argument that it should be looked at again? Of course there is.'
He insisted that 'devolution is here to stay' but said it has not been working well.
If Scotland had to raise more of the money it spends, it could lead to massive tax rises or savage spending cuts to balance the books.
Mr Farage shrugged off polling showing that Reform's rising support will help hand the SNP another term as the largest party at Holyrood, saying that his party can shift national debate and government policy 'regardless of whether we are in power or not'.
Scottish Conservative leader Russell Findlay said: 'The Union dividend is worth thousands of pounds each year to every person in Scotland. Nigel Farage's reckless proposal would slash funding for our NHS, schools, roads and many other essential public services.
'Alternatively, it would mean further tax rises on hard-working Scots – or, more likely, a double whammy of both cuts and tax hikes.
'Reform's hare-brained suggestion of ripping up the Barnett formula is irresponsible. It would take a wrecking ball to our public services and cause misery for Scottish families, workers and businesses.
'The SNP must be delighted by Farage's latest idea because the only people in Scotland who would benefit from scrapping the Union dividend are nationalists. If Farage knew or cared anything about Scotland, he would know that such a reckless move would increase support for the SNP and independence.'
He added: 'Our public services are a complete mess after 18 years of SNP Government. Schools and hospitals need smart investment, not the savage cuts that would be the consequence of Reform's plan.
'Nigel Farage needs his head examined if he thinks scrapping the Union dividend is sensible.'
Mr Farage was greeted by a crowd of around 20 protesters chanting 'Nigel go home' when he arrived at Aberdeen's Pocra Quay, with one banner proclaiming 'Farage not welcome in Scotland'.
He claimed that protests had been incited by Mr Swinney saying he was bringing 'racism and hatred' into the heart of the Hamilton, Larkhall and Stonehouse by-election.
Mr Farage said he had not heard chants calling him a racist in England 'for a very long time' and said Mr Swinney used the word 'in a deliberate and very, very provocative way'.
He added: 'Do you know what, the more they insult me the more I know we must be doing something right. And I think they are in a blind state of panic. They are chucking around insults.
'I think the First Minister was yesterday trying to be inciteful in what he said. For today, I will not return the compliment. I'm not going to get involved in a war of words.'
He also doubled down on his party's controversial criticism of Mr Sarwar, after it published a social media video claiming he would 'prioritise the Pakistani community'.
Mr Farage said: 'We don't talk about race at all. We think everybody should be treated equally, we object very strongly to the segmentation of people into different types.
'And I think, to be frank, Mr Sarwar has a record of obsessing on this issue.
'There was the speech that he gave in the Scottish Parliament saying 'why are the judiciary white', 'why are these leading figures in Scotland white'. The most extraordinary speech given the statistics and figures here.
'And actually I think that speech that he gave was sectarian in its very nature, you know 'we are the south Asian community, we are going to take over the country, take over the world'.
Reform yesterday unveiled Aberdeen councillor Duncan Massey as the latest to defect to the party from the Conservatives.
Mr Farage said the party is now making 'remarkable strides' in Scotland and said polls suggest it is 'beginning to eclipse Labour' as the second-biggest party north of the Border.
Condemning the opposition of the SNP and Labour governments to new oil and gas development which he said would make the UK more reliant on imports, he said: 'We are seeing Scotland, and many parts of England and Wales, literally deindustrialising before our very eyes.
'Yes there are arguments around new industries, but for every job created in a new industry many more could be lost in conventional industries.
'We now have the most expensive commercial energy prices in the world and the whole thing is complete and utter madness.'
Reform UK Richard Tice said it is a 'tragedy' that Scotland's 'energy treasure' is being left in the sea, and backed a policy of 'drill Scotland drill'.
He said: 'If it aint broke don't fix it. We know it works and we should be accelerating it.
'I now call it net stupid zero. I think it is the greatest act of financial self harm ever imposed on this nation by people at Westminster.'
Mr Farage also yesterday said he is 'confident' of finishing third in Thursday's by-election and it would be 'a very nice surprise' to finish second.
He went on: 'Do I realistically think we could win? Well, if we do then that will be the biggest earthquake Scottish politics has ever seen.'
However, he failed to turn up to a press call organised by his own party ahead of the Hamilton, Larkhall and Stonehouse by-election on Thursday.
Instead, he chose to have a drink in a pub in Larkhall with a select few with no explanation given to those left waiting.
Scottish Labour leader Anas Sarwar said 'Today the chief clown Nigel Farage finally found his way to Scotland and showed just how totally out of touch with our country he is.
'Nigel Farage turned up, admitted he can't win the Hamilton, Larkhall and Stonehouse by-election and pledged to cut funding for Scotland's NHS and public services.
'Nigel Farage is a dangerous clown and the people of Scotland see right through him.'
