Commons Sense

House of Commons · Ministers' Questions

UK Internal Market

Wednesday 1 May 2024 · 3 questions

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

Read the full transcript on Parliament.uk

At a glance

Answered 2 Partly answered 1 Not answered 0

Key points

  • The Government's assessment is that the UK internal market allows for free trade across the United Kingdom, reducing bureaucracy and enhancing business opportunities.
  • The UK internal market is particularly important for border regions, promoting economic activity and frictionless trade.
  • Scotland benefits from being part of the United Kingdom, supporting critical public services like the NHS, schools, and transport networks.

Topics (select to filter)

Questions & Answers

Q1 John Stevenson Con
Economy Scotland Business & Trade
Context

The MP inquired about the Government's assessment of how the UK internal market has affected Scotland's economy. This question comes amid debates over trade and economic interdependence within the UK.

Question

What recent assessment has been made by the government on the impact of the UK internal market on the Scottish economy? I am concerned that without a proper assessment, we cannot accurately gauge the benefits or drawbacks for Scotland's businesses and overall economy.

Answer from John Lamont

The Government's assessment is that our internal market is the essential basis on which businesses are able to trade freely across the United Kingdom, minimising red tape and maximising opportunities. In Scotland, 60% of outgoing trade is with the rest of the United Kingdom—more than with the rest of the world combined.

Answered
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Q2 John Stevenson Con
Economy Business & Trade
Context

Following an initial question on the UK internal market, this supplementary query seeks further details about the potential for a second borderlands growth deal to boost economic activity in areas bordering England and Scotland. This comes as part of broader discussions around trade facilitation and regional development.

Question

The internal market is beneficial for all parts of the United Kingdom. It is, however, more important to those areas where there is a border. Does the Minister therefore agree that the internal market should be very helpful in maintaining and developing economic activity in the borderlands area, and will he consider a second borderlands growth deal, which would certainly help the area on both sides of the border?

Answer from John Lamont

My hon. Friend is absolutely right: the UK's internal market is essential to promoting economic activity, ensuring that businesses in the borders—in my constituency, in Carlisle and beyond—benefit from frictionless trade with the rest of the United Kingdom. The borderlands growth deal, which includes a £265 million investment from the UK Government, was signed in July 2021, and is developing a range of projects to further boost economic growth.

Answered
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Q3 Angus MacNeil SNP
Economy Scotland
Context

The MP references a BBC headline questioning why Ireland has significant financial surpluses compared to the UK's deficits, highlighting concerns about Scotland's economic dependency on the rest of the UK and contrasting it with Ireland's success in European markets.

Question

When the BBC has the headline on its webpage, “Why has Ireland got so much surplus cash?” is it not clear that the reality is that independent Ireland is more successful in the European and world markets than Scotland, trapped in the UK? Ireland has a surplus of £8.6 billion to spend on its society. The UK has a deficit and cuts, which are hurting people. Will the Minister remind us of the size of the UK deficit?

Answer from John Lamont

I am very clear that Scotland is better served by being at the heart of a strong United Kingdom. The spending figures of the Scottish Government are very clear, in terms of their dependency on Scotland being part of the UK to support vital public services like the NHS, schools and the transport network.

Partly answered

Not addressed: The size of the UK deficit was not specified

How: Scotland Is Better Served By Being At The Heart Of A Strong United Kingdom

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