Commons Sense

House of Commons · Ministers' Questions

UK Fiscal Policy: Living Standards (Scotland)

Tuesday 9 March 2021 · 4 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 4 Not answered 0

Key points

  • Minister had frequent discussions with the Scottish Government Finance Secretary about UK fiscal policy effects on living standards in Scotland.
  • Many businesses in Scotland, including the whisky industry, argued for the alcohol freeze which the Chancellor implemented.
  • Capacity funding was announced at the Budget to help communities in Scotland, despite concerns about the universal credit uplift ending.

Topics (select to filter)

Questions & Answers

Q1 Amy Callaghan
Economy Scotland
Context

The MP is concerned about the impact of UK fiscal policies on Scottish communities, particularly regarding budget allocations and their effects on local living standards.

Question

What recent discussions have you had with your Scottish Government counterpart on the effect of UK fiscal policy on living standards in Scotland?

Answer from Steve Barclay

I have frequent discussions with the Scottish Government Finance Secretary and spoke to her ahead of the Budget last week.

Partly answered

Not addressed: Did not provide specific details or commitments on how UK fiscal policies are affecting living standards in Scotland, only mentioned a discussion took place.

How: Frequent Discussions, Spoke To Her Ahead Of The Budget

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Q2 Kenny MacAskill
Taxation Housing Business & Trade
Context

The MP is concerned about the impact of reduced business support on Scottish high streets, especially with the closure of pubs and increased supermarket profits during lockdown.

Question

Despite furlough, high streets face devastation—first shops and now pubs, an even harder space to fill. Was the Budget not an opportunity to support what are community assets in urban as well as rural areas and where alcohol consumption is supervised and not unchecked? With supermarkets having made huge profits during lockdown, much of that through alcohol sales, is it time to support the Social Market Foundation's call to increase alcohol duty on off-trade to sustain the on-trade in our communities?

Answer from Steve Barclay

Many businesses across Scotland argued for the alcohol freeze, not least the Scottish whisky industry. They also argued for the fuel freeze, which my right hon. Friend the Chancellor delivered. I am also surprised, when the hon. Gentleman talks of community, that he does not even recognise the extra capacity funding that his community received in the Budget.

Partly answered

Not addressed: Did not commit to supporting pubs or increasing alcohol duty on supermarkets despite the questioner's specific requests, only mentioned support for businesses against policy changes.

How: Extra Capacity Funding

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Q3 Marion Fellows SNP
Economy Benefits & Welfare Children & Families
Context

The MP is concerned about the upcoming end of the £20 universal credit increase, affecting many disabled individuals in Scotland. The Scottish Government has committed to tackling child poverty through various measures.

Question

The poverty Chancellor has refused to make permanent the £20 universal credit increase and apply it to legacy benefits, with 75% of those affected being disabled. If he refuses to change course, 60,000 Scots, including 20,000 children, will be left in poverty and forced to decide between heating and eating. If the Minister was in their position, what would he choose: heating or eating?

Answer from Steve Barclay

First, as was set out in analysis published with the Budget, the measures that the Government have taken have supported the poorest working households the most. Secondly, the hon. Lady also failed to mention the additional capacity funding for her community that was announced at the Budget.

Partly answered

Not addressed: Did not commit to extending or applying the universal credit increase to legacy benefits as requested, only mentioned previous measures and funding allocations.

How: Measures Supported Poorest Working Households, Additional Capacity Funding

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Q4 Amy Callaghan
Benefits & Welfare Children & Families
Context

The MP is concerned about the end of the £20 universal credit uplift, which has been a lifeline during the pandemic for many families in Scotland. The Scottish Government has committed to tackling child poverty.

Question

As the Minister will be aware, the £20 uplift to universal credit has been a lifeline during the pandemic. Many families in my constituency are devastated that the uplift is set to end in September. With the Scottish Government committed to tackling child poverty, including through the game-changer Scottish child payment, the UK Government-imposed cliff edge could pose a significant setback. Does the Minister agree that plunging children and families into poverty, whether it is now or in September, is a callous act, and will he commit to a permanent uplift to universal credit?

Answer from Steve Barclay

We have managed to get a hat trick, because the hon. Lady also received capacity funding for her own area at the Budget but chose not to mention that funding, which will help the families she referred to. It is also slightly odd for her to talk about plunging into something when the Chancellor has announced an extension.

Partly answered

Not addressed: Did not commit to making the £20 universal credit increase permanent as requested, only mentioned funding extensions and support measures.

How: Capacity Funding, Extension

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