Budget 'missed a trick' says north MP Jamie Stone
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The Chancellor of the Exchequer "missed a trick" when he announced his budget measures this week, according to far north MP Jamie Stone.
The Caithness, Sutherland and Easter Ross politician raised "huge concern" about the impact of the rise in duty on alcoholic spirits, the absence of targeted support for remote Scottish communities, and the lack of support for rural healthcare workers.
Mr Stone also claimed Jeremy Hunt should have cut energy bills for the vulnerable and done more to help the least well-off households.
He hopes the Scottish Government will use some of the additional £320 million of funding to address the potholes issue – a view shared by the chief executive of the Caithness Chamber of Commerce, Trudy Morris, who described the state of roads here as "atrocious" and said they are "desperately in need of major investment for crucial repairs and maintenance".
Mr Stone said the government should have reduced energy bills by cutting the Energy Price Guarantee by £500 a household, funded through "a proper windfall tax on record profits of oil and gas companies". He claimed that would mean average bills would drop to £1971 a year, with the support in place until next April.
The Liberal Democrat MP also called for extra targeted support for the least well-off households, including doubling the Warm Homes Discount to £300.
He said: "The government has missed a trick by not taking the opportunity to cut energy bills further for vulnerable households. This could cripple homes in the far north and other remote areas across the UK, which are paying extortionately more for energy than households that are on the main gas grid.
"I also note with huge concern the Chancellor's well-hidden increase to tax on whisky. The whisky industry, which provides thousands of jobs across the Highlands and brings in millions of tourists from all over the world, is taking an absolute clobbering from all ends. With the Scottish Government trying to implement the doomed Deposit Return Scheme and a blanket ban on alcohol advertising, it is clear that neither government regards the success of one of the UK's biggest industries as a priority."
He added: "While I am very pleased to see the UK government ringfence funding for Edinburgh Festival and indeed £1.5 million for repairs to Elgin Bridge, this only further proves my point that the UK government has the capacity to provide targeted funding into Scotland without undermining devolution powers.
"I would like to see the Scottish Government use the £320 million Barnett Consequentials – the way the UK government ensures that a share of additional funding allocated only to England is provided to other parts of the country – to replicate similar projects to the £200 million pothole fund announced for England and Wales, or to abolish the crippling mileage charges for rural healthcare staff."
Ms Morris said access to skilled labour and talent retention is a primary concern for businesses across all sectors, particularly in the north Highlands where "our communities are at serious risk of declining population".
"Measures to support the domestic workforce, such as the expansion of free childcare, if implemented in Scotland, are welcome but will take time and infrastructure to execute. Scottish Chambers of Commerce, on behalf of our members, have repeatedly called for a flexible immigration system to allow businesses to attract an international workforce," she said.
Ms Morris gave "a cautious welcome" to forecasts that the UK will avoid technical recession this year but added: "The ever-increasing challenges and rising costs faced by businesses are seriously hampering business growth and investment. News the reduction in fuel duty rates will be extended by a further 12 months will help those running commercial vehicles, particularly in the north Highlands where we are reliant on roads infrastructure.
"However, it will also come as a disappointing and bitter blow for businesses to hear confirmation that the planned downscaling of energy support will go ahead. Despite the fact energy prices have stabilised, businesses are facing immense uncertainty regarding the future of their energy costs and the impact on their operations, pushing many to the brink."
