Chamber and committees

I was listening, and it was a load of rubbish.

I fear for the future of this policy, given that many of our core businesses and services rely on investment and exports for their futures.

When it comes to inward investment, businesses are looking for certainty and security, and the constant threat of another divisive independence referendum is driving investment away. At this time, supporting our recovery from the pandemic and helping businesses through the global cost of living crisis should be our main priority, not stoking division and dissent and creating borders where none should be. A border between Scotland and England would end the free movement of goods in Great Britain through the imposition of a trade border between Scotland and England, our main trading partner. Independence is never going to happen, but the constant threat of it is harming us and driving investment away.

When I was reading the investment plan last night, I thought that I had missed a chapter. The oil and gas industry has been a key part of our economy and inward investment, but this devolved Government seems to want to airbrush it out of our economy. It is clear to see, when you look at the table in the plan, that wages in the north-east are at the top when it comes to foreign-owned firms. That is down to the energy industry, but this Government seems intent on driving that investment away, just to appease its Green partners. While we still have a need for hydrocarbons, we should be supporting the industry in this country, not relying on imports from other countries. That is better for our jobs and our economy as a whole.

The Finance and Public Administration Committee constantly hears that we are underperforming compared with the rest of the UK, and a big part of that is because of what is happening in the north-east of Scotland, but it is clear that this Government has turned its back on the industry and the north-east.

We have heard a lot from this Government about the energy transition, which greatly affects the north-east, and we have had many debates in the chamber about a just transition. Given our global energy crisis, I welcome the UK Government’s pragmatic approach to developing domestic supplies of the fuel that we need while we move away from fossil fuels and towards sustainable energy. I know that the energy companies in the north-east welcome that approach and see an energy transition as the way forward. The SNP-Green Government would send them off a cliff edge, which would make us more reliant on foreign oil and gas and less able to be self-sufficient. That policy would be detrimental for the economy of the north-east; it would not increase investment but decimate it.

Once again, if this SNP-Green Government is serious about investment in Scotland and growing our exports, it should not pursue the obsession with splitting up the UK and creating uncertainty. Instead, it should support and work with the UK Government and understand that the trading might that we have as a United Kingdom is far greater than we can ever achieve if we split from our largest partner.

We got this document an hour before the debate, so I will not take any interventions.

I have no time for interventions.

It is also important to note just where our exports are going. The rest of the UK accounts for £52 billion of Scotland’s exports—three times larger than the EU’s share. The rest of the UK is our largest export partner. Between 2002 and 2019, 62 per cent of Scottish exports went to the rest of the UK, with 17 per cent to the EU and 20 per cent to the rest of the world. According to the Fraser of Allander Institute, half a million Scottish jobs—one in four jobs—are supported by trade with the rest of the UK, yet this SNP-Green devolved Government wants to put in place barriers between Scotland and the rest of the UK. The idea of placing a hard border between us and our largest trading partner is, quite simply, a disgrace.

In contrast, the UK Government is working hard to secure investment throughout the UK. In 2020, it established an office for investment to further attract foreign investment into the whole of the UK—

No, the minister has already answered a question on that, and his answer was not very good.

I have no time; sorry, minister.

It also established initiatives such as the high potential opportunities programme and free ports to assist with the movement of goods.

The UK Government has launched a new trade hub in Edinburgh to attract inward investment and, through the hub, businesses are able to use the UK Government’s global networks, expertise and influence to grow trade overseas.

When the Scottish Government’s inward investment plan was launched, the minister said:

“Domestic businesses can learn new ways of operating. Managed well, this brings opportunities across Scottish supply chains and ensures our skills system and management match global standards.”

I think that the key phrase in all of this is “managed well”. Will this be as well managed as the ferries contracts, the Rangers debacle, the national health service waiting times or the crisis in local government funding? The SNP-Green coalition of chaos has no credibility or track record when it comes to managing things well.

Will the member take an intervention?

In The Scotsman this morning, the head of the Confederation of British Industry said that there is not enough dialogue with Scottish ministers, and he declared that freezing business rates is the CBI’s “top ask” of the Scottish Government. Business rates are a lever that the minster has, so will he listen to business?

On digital transformation in local government, I imagine that there must be a patchwork, in that some local authorities have transformed quite a lot already. Therefore, some of the savings that the Government thinks are there might not be. Is that right?

You mentioned divergence in benefits, but we are seeing another huge divergence in growth and tax income. Do you feel that the Scottish Government is doing enough to understand the reasons for the divergence from the rest of UK, and are there plans in place that you can see to tackle it? Does anybody want to have a go at answering that?

Are they doing that to provide additionality or to keep the lights on and provide the statutory services that councils have to provide?