Commons Sense

House of Commons · Ministers' Questions

Spending Review 2025: Economic Growth

Wednesday 9 July 2025 · 2 questions

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

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 1 Not answered 0

Key points

  • Jerome Mayhew questioned the impact of the spending review on economic growth in Scotland, highlighting negative effects on various industries.
  • The Minister responded by emphasizing that the Scottish Government has received an unprecedented 14 billion funding increase, leading to four interest rate cuts.
  • Johanna Baxter praised Ferguson Marine for securing a contract with BAE Systems, contributing to UK's maritime capability.

Topics (select to filter)

Questions & Answers

Q1 Jerome Mayhew Con Broadland and Fakenham
Economy Employment Scotland
Context

Jerome Mayhew questioned the impact of the government's spending review on Scotland, citing concerns about business confidence, unemployment rise, and sector-specific impacts such as Scotch whisky, family farms, oil and gas industry, hospitality, entertainment, and overall economic growth.

Question

What assessment he has made of the potential impact of the spending review 2025 on economic growth in Scotland? The jobs tax has decimated business confidence and seen unemployment rise. Along with Budget impacts on Scotch whisky, family farms, oil and gas industry, hospitality, entertainment, and business confidence—the Scottish Hospitality Group said it does nothing to support the sector.

Answer from The Secretary of State for Scotland (Ian Murray)

Under this Government, it is the working people of Scotland who will feel the benefit of economic growth. We have given the largest settlement in the history of the Scottish Government—£14 billion extra. The stability in the economy has enabled four interest rate cuts, meaning cheaper mortgages for home owners. Fuel duty is frozen, meaning 3 million Scots motorists pay less at the pump. The minimum wage is up, meaning a pay rise for 200,000 of the lowest-paid Scots—[Interruption.] That deserves a large cheer, because it is for the lowest-paid Scots.

Partly answered

Not addressed: The Secretary of State did not address specific sector impacts or work with Chancellor to undo damage as requested.

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Q2 Johanna Baxter Lab Paisley and Renfrewshire South
Defence Scotland
Context

Johanna Baxter highlighted the positive impact of Ferguson Marine securing a contract with BAE Systems to enhance UK’s maritime capability. She contrasted this with criticisms towards SNP's handling of defence.

Question

It is fantastic news that Ferguson Marine has secured a contract with BAE Systems to help further enhance the UK’s maritime capability, making use of its skilled workforce. Does my right hon Friend agree that this is in sharp contrast to the student union politics played on defence by the SNP Government? Does he agree that the benefits of the spending review cannot be fully assessed until the SNP is removed from power in 2026?

Answer from The Secretary of State for Scotland (Ian Murray)

Yet again, I agree with my hon Friend. I pay special tribute to both her and my hon Friend the Member for Inverclyde and Renfrewshire West who have done so much to make sure we can get work into Ferguson Marine. Again, it will not be lost on the House, or indeed the Scottish public, that the defence industry is supporting jobs in Scotland and straight into Ferguson Marine. Where the Scottish Government walk past on the other side, we will invest.

Answered

Not addressed: null

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