Scottish independence: Alistair Darling backs tax-raising powers
Alistair Darling has backed an increase in powers of the Scottish Parliament. Picture: Jayne Wright
FORMER Labour chancellor Alistair Darling today backs a significant increase in the powers of the Scottish Parliament, saying it is time for MSPs to be given the responsibility for raising the money they are in charge of spending.
In a major intervention in the pre-independence referendum debate, Darling says it “isn’t satisfactory” for any parliament to spend cash when it doesn’t have “the pain” of also raising it.
He signals that income tax would be an obvious contender for transfer to Holyrood, saying that further devolution of the levy would be “relatively easy to implement”.
But, echoing Prime Minister David Cameron, he says such plans can be considered in detail only in the wake of a “no” vote on independence. Challenging First Minister Alex Salmond, who wants to hold off the referendum until autumn 2014, he says: “If you want to get onto further devolution more quickly, then why don’t we have the referendum more quickly?”
Darling’s comments, in an interview with Scotland on Sunday, come with a new pro-union campaign expected to be unveiled soon, with Gordon Brown’s former Chancellor being lined up to take a leading role alongside key figures from the Tories and LibDems.
Last week, , Cameron said he backed a fresh look at what further powers could be devolved north of the border. With Darling’s intervention, it suggests all three pro-Union parties now appear ready to examine a refreshed devolution settlement as the unionist alternative to independence.
But they are facing growing pressure from Salmond who, following Cameron’s visit, said that the Prime Minister had a “democratic obligation” to lay out his proposals in detail well before Scots voted.
In the interview, Darling says he expects to “play a major part” in the campaign ahead.
On the current devolved settlement, he says: “Most people think the present settlement does need to change and my view is that any parliament that can spend money but doesn’t have the pain of raising it isn’t satisfactory.”
Pressed on what extra powers the parliament could take on, he said: “The short answer is that obviously income tax is easier because it is easy to identify and the Revenue knows who Scottish taxpayers are. It would be relatively easy to implement.”
The parliament already has the power, never used, to vary income tax by 3p. Under the Scotland Bill, income tax setting will soon be shared by Westminster and Holyrood, with MSPs given the power to set a new “top-up” rate of Scottish income tax.
But Darling said that the detail of further tax concessions would have to wait until after a referendum on independence. “The first question you ask is whether you are staying or are you going. If you are staying then you look at that (more powers). If you’re going, then this is all academic anyway. If Scotland votes to leave the UK then there is no point in discussing how to improve devolution. The first question is about staying in the United Kingdom.”
In the wide-ranging interview, Darling also slammed European policy towards Greece, describing the austerity demands imposed by Germany and other Eurozone nations as “ludicrous” and “sheer lunacy”. He says Greece is “bust” and now has to be allowed to default.
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Comments
There are 476 comments to this article
Page 1 of 32
duelaynomore
Monday, February 20, 2012 at 04:02 AMMORE TAXES at your command? ANY MORE AND I'M OFF to somwhere sunny where booze is affordable.
jaydee
Monday, February 20, 2012 at 12:37 AM461netcurtains3... In case you have not noticed the government has taken up the debt of the British Banks caused by their non regulating and were bankrupt before that... Note term British Bank... Holyrood had no say on control
jaydee
Monday, February 20, 2012 at 12:30 AM407HorridHenrietta... Nice one... Will read at leisure
jaydee
Monday, February 20, 2012 at 12:21 AM449HorridHenrietta.. Ah... I think I will learn 10 dialects of Swahili
jaydee
Monday, February 20, 2012 at 12:18 AMJust checking to see if the pending moderation button has been switched off
HorridHenrietta
Sunday, February 19, 2012 at 11:46 PMNetcurtains3 Is an Englishman who is just desperate for us to stay in the Union. Isn't that nice! He's one Englishman who seems happy to subsidise us scroungers. See Post 85
HorridHenrietta
Sunday, February 19, 2012 at 10:22 PMSee post 85.
netcurtains3
Sunday, February 19, 2012 at 10:08 PMCol.Blimp III, Of course you're right - because the Scottish electorate isn't going to vote for independence - not only because they are British at heart but also they do not want to pick up the bank tab (and who can blame them). Allied Irish etc probably does not have majority Irish shareholders - it makes not difference. The Irish are footing the bill. There is no way RBS or HBoS will not be passed on to the SNP... Life is not all a bed of roses for nats - and I thank God for that. Good night..... I'm off now. I hope you've enjoyed some of the banter. I've done my three days and the cold is now better thank you .
Col.Blimp III
Sunday, February 19, 2012 at 09:35 PM465 netcurtains3 ▬ All regulated by Westminster, paid taxes to Westminster in a field reserved by Westminster, majority of shareholders living in or held by companies registered in England, both multi-nationals comprising mostly companies formally registered in England, and the casino capitalism part of their business conducted mostly on the London stock exchange ,,,, none of which is relevant as The Westminster Government is at present the majority shareholder of both banks, therefore the rightful underwriter of the lions share of their debts and liabilities. ,,,, what arrangement is made between Edinburgh and Westminster regarding any future carve-up of ownership of these banks is of no interest to me whatever. All I know is it will not in any way resemble any prediction hitherto made by yourself on these pages.
Aucthtermuchty
Sunday, February 19, 2012 at 09:28 PMPending Moderation
Col.Blimp III
Sunday, February 19, 2012 at 09:16 PM464 HorridHenrietta ▬ An inconvenient truth, I expect.
netcurtains3
Sunday, February 19, 2012 at 09:00 PMComment removed by moderator
HorridHenrietta
Sunday, February 19, 2012 at 08:56 PM462 Col.Blimp III - Oh dear post 459 has disappeared. That's unbelievable.
Col.Blimp III
Sunday, February 19, 2012 at 08:26 PM461 netcurtains3 ▬ But it won't ,,, so it is not worth mentioning.
Col.Blimp III
Sunday, February 19, 2012 at 08:23 PM459 HorridHenrietta ▬ Thanks for that ,,,, I have grown quite accustomed to indoor plumbing and look forward to continuing to enjoy its delights post independence.
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