This crisis can’t be tackled on the cheap

Scotland’s response to the Covid-19 crisis has been largely led by the Scottish Government, with very few exceptions. In large part, all nations of the UK have agreed to take a four-nations approach, which enables, where possible, messaging to remain consistent.

However, as the pandemic has progressed, we have found different parts of the UK at different stages of tackling this disease. Scotland, for example, will enter a five-stage tiered approach to restrictions as of next week. England, where some areas are experiencing a much higher rate of infection, has been in a three-stage tiered approach for a couple of weeks already.

Myself, Stirling MSP Bruce Crawford, and other SNP colleagues have repeatedly called on the UK Government to either commit more funding to Scotland to help us support businesses that are being asked to close or face additional restrictions, or devolve us the necessary powers in order to enable us to do it ourselves.

Here’s the problem: the Scottish Government has the responsibility to listen to the science and make decisions about tackling the virus based on that; the Scottish Parliament does not have the power to borrow the finances necessary to commit the extra spending that our economy needs to keep its head above water as a result of these necessary decisions. The UK Government has that power, it has been using it ever since this crisis began.

Where I welcomed the initial response from the UK Government - back when the Chancellor’s rhetoric was that nobody would be left behind, as opposed to his recent“i can’t save every job or business”- it is clear that there were significant gaps where some people were left out. Most notably those who are registered as limited company directors, or self employed. The Forgotten Limited and Excluded UK campaign groups have done tremendous work in this area, and I’ve been proud to support them wherever I’ve been able.

However, the Chancellor’s statement last week left more questions than before.

English local authorities under the English Tier 2 will receive cash grants that they can spend as they wish - with each hospitality firm being provided with at least £2100 per month, backdated to August. That figure for Tier 3 hospitality businesses in England is £3000.

The First Minister announced last week that Scottish hospitality businesses in this situation will receive the same level of support - this I know is welcomed by the hospitality industry in the Stirling area, which is largely closed just now (apart from some cafes). However, it leaves the Scottish Government in an unsustainable financial position. That’s why the SNP is calling on the UK Government to confirm the funding consequential that Scotland is due as a result of additional spending being allocated to England.

We welcome, for example, £700 million in funding that’s already been announced, and the £14 billion that was promised last week for devolved nations. But our health service is working round the clock whilst catching up on a backlog of treatments accumulated during lockdown earlier this year. There has been no clarity on what further funding will be forthcoming from London for our NHS.

The Chancellor needs to reverse the decision to stop the furlough scheme, which is due to be replaced with a scheme that will provide below 50 per cent income from November and will undoubtedly mean that some business will not be able to sustain their current staffing levels, making people redundant.

These are political decisions from a UK Government that thinks they can tackle this crisis on the cheap.

The problem is, the less they spend now, the more it will cost them in the long term, with entirely avoidable pain being inflicted on workers, businesses, and communities.

No clarity on what further funding is forthcoming