Chamber and committees

The development is of strategic importance to East Lothian and would bring much-needed housing and jobs to the area. What reassurances can investors be given that the Scottish Government will work with them to deliver the project?

To ask the Scottish Government what measures it is taking forward in partnership with East Lothian Council, Taylor Wimpey and Hargreaves, to deliver and expand the housing development at Blindwells, which has been classified as a strategic housing site. (S7O-00129)

I would not use that terminology. I have engaged with the Scottish Seabird Centre, RSPB Scotland and local communities on that. That discussion is ongoing.

According to the Energy and Climate Intelligence Unit’s report, “The Scottish Net Zero Economy in 2025”, East Lothian has one of the areas of highest relative exposure to the net zero economy in Scotland. I note key statistics for East Lothian. The net zero economy accounts for 6.8 per cent of local GVA and supports 1,380 jobs, which makes it a significant contributor to and employer in East Lothian. East Lothian is placed among the top areas in Scotland for the importance of green and net zero activity. That makes a real difference to our communities and to people’s livelihoods right now.

As I said, that includes transmission infrastructure, specialist manufacturing and fabrication. Local examples of companies are Sunamp, Lemac Power and Had-Fab. The net zero economy makes a stronger relative contribution in East Lothian than it does in many other parts of Scotland, and that highlights East Lothian’s specialisation in the green energy transition.

The role of heat networks will be key as we move forward, although we have not heard about that today. I commend the work of Lothian Heat.

Another key point is that one in three Scottish households cannot afford to keep warm. Energy bills keep rising. Families and households are struggling while energy companies are profiting. However, proposals could lead to more than £900 million in regional benefit, combatting fuel poverty in the region.

For me, a fundamental aspect is how we talk about climate change. It offers economic opportunities. Hundreds of local jobs are under development. Energy security is important. We can lower emissions and reduce impact on the climate.

Green jobs are already making a measurable, high-value impact in East Lothian. We have heard today from a few members about the importance of a just transition. We have a net zero target for 2045.

We need to support community energy projects, which are incredibly important. We also need to expand active travel networks so that people can cycle and walk across our towns and countryside, and we need to back innovation in green hydrogen and carbon capture.

We need to push for accelerated deployment of floating offshore wind, retrofitting of our homes to slash fuel poverty and new woodland creation that enhances biodiversity while locking away carbon.

None of this is easy. There will be difficult choices. We must be honest with people: meeting our climate targets requires change—in how we travel, heat our homes and use our land. However, change does not have to mean sacrifice. It can mean warmer homes, cheaper energy bills, better health from cleaner air and thousands of well-paid local jobs. A just transition means that no community is left behind.

We know that Scotland’s hands are still tied by decisions that are made in London. Failure to invest in grid infrastructure by successive UK Governments has held Scotland back. Successive UK Governments have cut support for renewables, delayed vital projects and prioritised short-term politics over long-term survival. That is why independence remains essential. An independent Scotland should have full control over our vast natural resources, the ability to strike our own international green energy deals and the power to align our immigration skills and investment policies with the urgent needs of the climate emergency.

The challenge is great, but so is our capacity to meet it. East Lothian has always punched above its weight, from the agricultural revolution to the industrial age. Now we can lead the green revolution.

We are at a moment that will define the future that we leave to our children and grandchildren. The science is clear, the evidence is all around us and the window for action is narrowing. Today, red weather warnings for extreme heat have been issued in the south-east of England. This is the second heatwave of the summer and it is still June. More extreme weather is battering our farms and communities. Members should speak to farmers—they will tell them that things are getting harder and harder every year.

It would be easy to stand here in despair, but I stand here with determination, because Scotland needs to rise to the challenge and our communities need to be at the centre of what we do.

I am proud of what Scotland is already achieving. Scotland has decarbonised its electricity supply faster than almost any other country in Europe has done. More than 90 per cent of our electricity now comes from renewable sources—a transformation that is powered by the wind, waves and tides that shape our East Lothian shores every day.

In East Lothian, we see both the risks and the opportunities more clearly than most. Our beautiful coastline is being impacted by climate change—communities in Cockenzie, Prestonpans and North Berwick know the reality of coastal erosion and flooding. Our farmers are already having to adapt to changing weather patterns that affect crops and livestock.

However, East Lothian is also perfectly placed to be a green energy powerhouse. The Firth of Forth offers world-class conditions for offshore wind.

On a point of order, Presiding Officer. I was unable to connect; I would have voted yes.

I go back to my point that the broader debate is about ensuring that those who are successful pay their fair share towards the foundations that make that success possible. There is a balance to be struck here, which involves looking at fairer taxation, what we want to spend the money on and the fiscal framework within which we currently operate. I will touch on that later.

There is no disagreement on what we want to spend the money on. I have highlighted the need for investment in child services and other services to ensure that the values that I have mentioned are promoted.

We need to have a targeted and nuanced taxation system, because relying solely on income tax hits working people harder. We also need to revisit the current fiscal framework, which, as I said, does not suit Scotland.

Today’s debate is not only about taxation. There will be many debates about growth, as there should be. Just today, the First Minister said, following his address to the Prosper forum:

“A strong economy is key to everything I want to achieve as First Minister. We will make our planning system work better, expand apprenticeships and devolve powers to Regional Partnerships, helping to create more jobs.”

I say to Willie Rennie that the point about wealth creation brings an important balance to this debate. The Scottish Government proves that by giving more revenue to front-line services while most taxpayers pay less than they would in England.

The debate is also about Scotland’s future governance. With independence, we would have full control over our levers. We have heard today about corporation tax, inheritance tax and capital gains tax, We could also use comprehensive wealth taxation to build the fairer, more prosperous country that we know is possible.

In the meantime, we must use every devolved power that we have to push for more fiscal responsibility from Westminster and must lead by example, because this is about our values as a nation. We want a Scotland where opportunity is determined not by the wealth that people inherit but by the talent and effort that they bring; one where our schools, NHS and communities are properly funded so that every child has the best start and every family feels secure; and one in which we build a thriving, inclusive economy.

We continue to hear requests from other parties for more funding for public services but with no explanation of how they would pay for that. Reform and the Tories propose tax cuts now, but that would cut our block grant now when we are talking about creating future economic growth.

I am willing to take an intervention if Mr Hoy would like to come in on that point.

As the efficient and fair function of Scotland’s justice system is a priority for all in this chamber, does the cabinet secretary agree with me on the importance of the Scottish Sentencing Council and the courts working independently to ensure that objective?

I will touch on that. I mentioned the need for investment in the green jobs and infrastructure that grow our economy. Just last week, the Confederation of British Industry published a report that highlighted the green jobs opportunities that exist in East Lothian, which is the third-biggest contributor in Scotland to the green economy. Renewables are the future, both in Scotland and in East Lothian.

The broader debate is about ensuring that those who are successful pay their fair share towards the foundations that make success possible. Polling shows strong public support, including among higher earners, for taxing extreme wealth over cutting services. We can build on the property and land taxes that we already control to develop a targeted, nuanced taxation system—there are many international examples out there that we can learn from—that will minimise avoidance while delivering results. Relying solely on income tax hits working people harder. In Scotland, we have shown that we can use fiscal powers progressively without harming growth.

However, we must revisit the current fiscal framework with the UK Government, which does not suit Scotland. There is a total lack of flexibility.

In Scotland, our values are clear: they are about fairness, solidarity and opportunity for all. As an SNP MSP, I champion taking a progressive approach to funding the high-quality public services that define our nation.

Why do we need to do that? We are facing rising demands on our NHS, our education system and our local communities, therefore we must have the courage to tax wealth more so that we can invest in the people of Scotland. After 15 years of Westminster austerity, our public services are under pressure. We also have an ageing population, and growing demand means that we cannot stand still. Waiting times, recruitment challenges and sustainability issues persist despite there being growth in real terms. Schools and local government also face strains.

Efficiency reforms and prevention are vital but, on their own, they are not enough. We need to generate sustainable, progressive revenue to match our ambition for a fairer Scotland. That revenue should come from increased economic growth and fair wealth taxation.

Wealth inequality in Scotland remains stark. The wealthiest 10 per cent hold a hugely disproportionate share—the top 2 per cent hold more wealth than the bottom 50 per cent. Much of that wealth grows through assets that benefit from Scotland’s stability, infrastructure and skilled workforce, all of which are supported by public investment. It is only right that those with the broadest shoulders should contribute more, to sustain the social contract.

The SNP will always act progressively on taxation. We delivered the most progressive income tax system in the UK, which protects lower and middle-income earners while raising substantial revenue for services, and, as we have heard, we are proposing a mansion tax on properties worth more than £1 million and a tax on private jet use.

I was heartened to hear the cabinet secretary talk about the need for long-term reform of council tax and business rates. Council tax reform is needed in this session, and we must all work together to ensure that that happens. We have had too many debates on the subject for it not to happen. The need for council tax reform goes to the heart of not only progressive taxation but local accountability. Business rates also need to be reviewed if we are to support and grow our business base.

However, we must go further by seriously exploring and developing wealth taxation options. More funding needs to be found to support more nurses, teachers and care workers, to expand programmes for tackling child poverty and to invest in the green jobs and infrastructure that grow our economy. The broader debate is about ensuring that the successful pay their fair share—

Earlier, we heard Shirley-Anne Somerville make the point that welfare cuts would come from the Tories. However, their approach is not one that I would support.

I go back to my key point. Making tax cuts now would also cut our block grant now, which in turn would mean cuts to our public services now, while Labour’s rise in employer national insurance contributions is damaging growth.

I urge members to back carrying out a bold exploration of wealth taxation measures. Let us publish detailed options, engage with experts and unions, and deliver concrete proposals. We need to reform our public services and increase growth in our economy, but we also need to tax wealth fairly if we are to invest in our people and secure a better future for generations to come. Scotland deserves nothing less.

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