Poverty (Disabled People)
To ask the Scottish Government how it will reduce poverty among disabled people. (S4O-03531)
We are committed to promoting and protecting equality and human rights for disabled people and we are supporting disabled people’s organisations to increase their capacity and effectiveness to engage in the redesign of public services, as well as supporting independent living.
We recognise that households containing a disabled person have a substantially greater risk of poverty. Recently published Scottish Government research shows that a significant number of disabled people in Scotland will lose some or all of their disability benefits by 2018. The research also shows that the cumulative impacts of tax and welfare reforms will mainly affect families containing at least one disabled person, particularly a disabled child. We remain committed to doing all that we can to help those who are affected by welfare changes, including investing £7 million in each year from 2013-14 to 2015-16 on welfare mitigation activity, such as advice and support services.
The minister mentions the welfare reform process. Does she agree with me that the United Kingdom Government’s decision to replace the disability living allowance with the personal independence payment puts 100,000 disabled Scots at risk of losing income of £1,120 per annum and that that policy, which seems to be supported across the Westminster parties, including the Labour Party, puts disabled people under real pressure?
I certainly agree with Jamie Hepburn that disabled people are being put under significant pressure because of decisions that have been made at Westminster and supported by all the main Westminster parties.
The policy change will have a significant impact on disabled people in Scotland and many disabled people will get no PIP award at all after being reassessed. Others will receive a reduced award. The loss of more than £1,000 per year reflects the lowest value loss or reduction of any one component of the disability living allowance. We share the concerns of disability organisations that many disabled people will face financial hardship as a result of the move to PIP.
We will do all that we can to help and we will continue to impress on the UK Government that the most vulnerable people in our society must be protected and that any changes to the welfare system must not further reduce their income.
Local Income Tax
To ask the Scottish Government what the latest date will be for the introduction of a local income tax. (S4O-03532)
The Scottish Government is committed to consulting others later in this parliamentary session to develop a fairer, more progressive local tax based on the ability to pay.
A local income tax was promised more than seven years ago—seven years ago, Presiding Officer. The minister says that consultation will take place later in this parliamentary session. Will the minister guarantee that that local income tax will be introduced by the end of the parliamentary session?
I advise Mr Henry that the commitment that was outlined in the manifesto on which this Government was elected will be delivered. That commitment was that
“Over the period of the next Parliament we will consult with others to produce a fairer system based on ability to pay to replace the Council Tax and we will put this to the people at the next election, by which time Scotland will have more powers over income tax.”
We will keep our vow. Will the Labour Party keep its?
Rail Journey Times
I said in my original answer that improvement of the nature that Liz Smith talks about is very much a focus of the process for the next ScotRail franchise. Liz Smith will be aware that the next phase of improvements to the Highland main line will deliver greater capacity and faster journey times to try to improve connectivity for passengers and businesses. We are also committed to a rolling programme of electrification, which includes the routes between Edinburgh and Perth and Dundee, from Dunblane to Aberdeen and from Perth to Inverness. The Aberdeen to central belt improvements project, which is also being developed, will deliver faster services and improved connectivity between our cities.
I hope that Liz Smith will accept that a considerable programme of work is under way, but I will ensure that her comments are conveyed to the Minister for Transport and Veterans, and I know that he would be happy to discuss the details further with her.
The cabinet secretary might be aware of support for a rail halt at Newburgh on the existing Perth to Edinburgh line and that we await the results of a delayed feasibility study. Can she confirm that the Government retains an interest in this on-going matter and will consider a STAG—Scottish transport appraisal guidance—appraisal if the feasibility study is positive?
The Scottish Government is of course willing to consider rail-based interventions that receive a positive appraisal under the Scottish transport appraisal guidance, subject to affordability and the potential impact on passengers using the wider rail network. For example, that involves the challenge of balancing reduced journey times against additional stops. I am aware that the south-east of Scotland transport partnership and the Tayside and central Scotland transport partnership are undertaking a joint business case study in conjunction with Fife Council and Perth and Kinross Council regarding proposed rail stations at Newburgh and Bridge of Earn. If those bodies decide that new stations in those locations fit with their transport strategies, they will of course consider undertaking a STAG appraisal, which will explore all possible transport solutions and not just rail.
To ask the Scottish Government what action it is taking to reduce rail journey times between Perth and other Scottish cities. (S4O-03533)
Improving journey times on the Scottish rail network is a key strategic outcome for the Scottish Government. That is why we are committed to a £5 billion package of investment in our railways until 2019. That will support improvements to infrastructure and services across the network, including substantial improvements to the Highland main line. Our desire for improvement is also reflected in the procurement for the next ScotRail franchise, in which bidders have been encouraged to reduce journey times, particularly on intercity routes.
I thank the cabinet secretary for that response, but this comes at a time when analysis of journey times between Inverness and Glasgow has shown that trains are taking 10 minutes longer than they were in 2000. Even the so-called express services are three minutes slower. Will the cabinet secretary decide on specific commitments when the Scottish Government is negotiating the new ScotRail franchise, in order to guarantee that the promises are kept and that passenger services are improved?
Employment
To ask the Scottish Government what progress it is making in tackling unemployment and increasing employment. (S4O-03534)
The latest labour market statistics demonstrate that we are making significant progress on reducing unemployment rates and increasing the number of those entering employment in Scotland. The labour market statistics for May to July 2014 show that the total employment level in Scotland rose by 87,000 in a one-year period, to over 2.6 million, which is the highest level since records began in 1992. The female employment level is also at its highest, at over 1.2 million. Our on-going commitment across Government is to sustain economic growth, and that is delivering results for the people of Scotland.
I welcome those numbers from the cabinet secretary, but does she agree that any enhanced devolution settlement, as promised at the end of the referendum campaign, must provide genuine job-creating powers for Scotland?
Indeed. There was certainly much discussion during the referendum about job-creating powers, although not everybody could actually name the job-creating powers. There is undoubtedly a mandate for substantial and comprehensive change. We need transformational job-creating powers. I hope that all of us in the Parliament can unite as champions for change.
High-skilled, High-quality Jobs (West Scotland)
Thank you, Presiding Officer. Yes, I am still here. I thank the cabinet secretary for her answer, but can she address claims made during the referendum campaign that high-skilled, high-quality jobs would be secured in the west of Scotland through a new oil boom, despite the fact that no company has found west coast oil to be commercially viable? [Interruption.]
Order.
Can the cabinet secretary confirm today what the official Scottish Government position is and what discussions have taken place with the United Kingdom Government regarding this issue?
My apologies again, Ms McDougall.
I refer Ms McDougall to the BBC reports of the Heriot-Watt University report.
Can the cabinet secretary confirm that, in the west of Scotland, specifically North Ayrshire, capital projects such as the new Garnock academy, Ayrshire central hospital and Brodick harbour will help to create and sustain employment and that participation by women in modern apprenticeships is above average while youth unemployment is falling faster than anywhere else in Scotland?
I am pleased to be able to confirm that the number of modern apprenticeship starts in Mr Gibson’s constituency has increased over the year. There is other substantial investment in North Ayrshire, particularly through the youth employment Scotland fund, whereby the Ayrshire councils work collaboratively and put forward the most ambitious bid. They are taking that forward very successfully.
The annual population survey, which was published just this week, confirms the good news for Mr Gibson’s constituency. For example, over the year, the employment level in North Ayrshire has risen by 5 percentage points, which is an increase of 4,700 jobs. There is a similar trend with young people, with 1,000 more young people in work in North Ayrshire.
The cabinet secretary will be aware that the Romain Py report on the future of Prestwick airport has still not been made publicly available. Will that report be made available soon and when will the Scottish Government produce the corporate vision for the future of Prestwick airport, which it is hoped will secure existing jobs and deliver new ones in the west of Scotland?
Mr Scott is right to highlight the importance of Prestwick airport and this Government’s commitment to securing the airport and its role in creating job-creating powers. I am sure that the Deputy First Minister will keep Mr Scott in the loop about progress, as she has done to date.
To ask the Scottish Government what it is doing to promote high-skilled, high-quality jobs in the West Scotland region. (S4O-03535)
The cabinet secretary referred to a report from Heriot-Watt University on the BBC website. Can she tell Parliament what that report said?
I refer Mr Henry to the BBC. I am sure that he is a keen watcher of the BBC. [Interruption.]
Scotland offers the most competitive business tax regime in the United Kingdom and the Scottish Government is delivering a range of initiatives to create jobs and attract inward investment. For example, the £842 million investment in the new Glasgow Southern hospital is supporting a peak of 1,500 jobs on site, while the recent Glasgow and Clyde valley city deal, which the Scottish Government is supporting with £500 million over 20 years, aims to deliver 29,000 new jobs in the wider city region.
Business gateway and Scottish Enterprise support to start-up and expanding businesses encourages job creation. That includes regional selective assistance awards which, in West Scotland, totalled £29.6 million in 2013-14. Those awards are anticipated to create or safeguard over 4,000 jobs.
Kenneth Gibson. Oh—I am so sorry, Ms McDougall.
Order.
But the important point now that we are on this side of the referendum is that I hope Mr Henry and I will now be on the same side advocating substantial and comprehensive job-creating powers for this Parliament. I extend to Mr Henry the hand of friendship for us to be partners for progress when it comes to creating more jobs in Scotland. I hope that Mr Henry and his colleagues, when it comes to the economy of Scotland, start talking up the talents of this nation as opposed to running it down, and that goes for our oil industry as well.
Referendum (Turnout)
Alison Johnstone asks a very important question. First, I am sure that the staggering increase in membership for both the Scottish National Party and the Green Party is a clear sign that people want to continue to be involved in politics and in the decisions that shape this country.
On the debate around more powers, when John Swinney and I met Lord Robert Smith earlier this week, as has already been made clear, one of the points that we stressed to him was the importance of public engagement in the process that will now unfold. He certainly responded to that very positively, and I think that it is incumbent on all of us to make sure that, whatever happens around more powers—my views on that are very well known—this is not some kind of backroom deal or Westminster establishment stitch-up. Scotland will not go back to what it was before, because the people of Scotland will demand that those promises are kept.
To ask the Scottish Government what the turnout was of the referendum. (S4O-03536)
Just under 4.3 million people registered to vote in the referendum. The number of votes cast was 3,623,344. That gives an overall turnout of 84.6 per cent, which is the highest turnout ever recorded in a Scottish election or referendum, which is something that all of us should celebrate.
I sincerely hope that we can capture that enthusiasm for our nation. Politics in Scotland needs to open up to become a greater mix of representational and participative democracy. The debate on new powers should not be just between political parties. How does the Scottish Government see people being involved in this process, particularly given the short timescales involved?
“Challenges from the frontline”
To ask the Scottish Government what its position is on the report “Challenges from the frontline”, which suggests that Barnardo’s Scotland is increasingly reporting extreme levels of destitution among the families of the vulnerable children that it works with. (S4O-03537)
The wellbeing and safety of Scotland’s children and young people are a key priority for the Scottish Government. All children and young people have the right to be cared for and protected from harm, and to grow up in a safe environment in which their rights and needs are respected.
I heard the concerns that are expressed in the report from Barnardo’s and the National Society for the Prevention of Cruelty to Children at the ministerial advisory group on child poverty. There are concerns that a combination of the United Kingdom Government’s welfare reforms, low wages and rising living costs are significantly contributing to the number of children and families living in poverty in Scotland. That is unacceptable, and I am concerned that, at a time when we continue to work with the advisory group to improve children’s wellbeing and life chances, it is estimated that UK Government welfare changes will lead to up to 100,000 additional children in Scotland living in poverty by 2020.
The minister mentioned the prospect of up to 100,000 more children in Scotland being pushed into poverty as a result of Westminster welfare reforms. Welfare and benefit caps were proposed this week at the Labour Party conference, which would be applied in the unlikely event that it was elected at the next election. Will the minister outline what steps are being taken to mitigate that impact?
I reassure the member that reducing poverty and inequalities is a priority for this Government, and our child poverty strategy sets out our preventative approach to tackling poverty. However, the cumulative impact of the UK welfare reforms over six years to 2015-16 could result in the Scottish welfare bill being reduced by around £6 billion, and more than £1 billion of that reduction relates directly to children in Scotland.
We are doing what we can to mitigate the impact of the reforms, and our current and planned spending will invest at least £260 million over the period 2013-14 to 2015-16 to limit the damage of Westminster welfare policies in Scotland.
Fairer Pay
To ask the Scottish Government whether it is committed to fairer pay for workers employed by private companies on public contracts. (S4O-03538)
Yes. Our record on addressing low pay is good. We guarantee our staff at least a living wage, and the Procurement Reform (Scotland) Act 2014 says that public bodies must set out their policy on the payment of a living wage for those working on public contracts. It also allows us to make statutory guidance on how public bodies can consider employment-related issues as part of a public procurement tendering process, and we plan to publish that guidance next year.
Recent Office for National Statistics figures highlight that, in Falkirk, North Lanarkshire and South Lanarkshire, 46,006 workers are being paid less than the Scottish living wage. Scottish Labour backs the proposal to give a £1,000 tax rebate to employers who pay the living wage, and we want to establish a national living wage strategy that reports to, and is accountable to, the Scottish Parliament.
What action will the Scottish Government take to ensure that workers who are employed by private companies on public contracts throughout my region and across Scotland are paid the living wage, which could increase earnings for full-time workers who are paid less than the living wage by up to £2,600 a year?
The Deputy First Minister met the Scottish Trades Union Congress and unions on 6 May and they welcomed the approach that the Scottish Government is taking with regard to the implementation of guidance, which will be brought forward next year, after we debated the matter in relation to the Procurement Reform (Scotland) Bill this year.
I respectfully point out to the member the fact that the minimum wage in the UK is currently £6.31 an hour. The living wage in Scotland is £7.65 an hour, which is over a fifth more. It is extremely surprising to me that the Labour Party did not embrace the opportunity of this Parliament being seized with the powers to address the issue of low pay comprehensively. The approach that we have taken shows that we have achieved far more than the Labour Party ever has, not least because Tony Blair promised in 1995 to abolish zero-hours contracts and, 19 years later, we are still waiting.