Martin Sime: We must have power over jobs and benefits

AMBUSHED academics and a non-debate on tartan tax. It seems the Scotland Bill won't have quite the impact on Scottish life that many of us had hoped. The coalition's proposals on the next stage of devolution have completely failed to tackle the major issues facing Scotland right now and have been put forward without full consultation or debate.

Even the most apolitical of conversations with the man or woman on the street will tell you that the real issues of the day are jobs and benefits - and yet the most important piece of legislation on the governance of our country fails to address either of them.

Few would argue that 12 years in, devolution is working perfectly. So it's right that we look at where we go now. But both the Scotland Bill and the Calman Commission before it falls far short of meeting the changing needs of the people of Scotland - for example, the disconnect between reserved benefits and devolved social care, or the lack of tools available to the Scottish Government to tackle unemployment.

These are areas on policy that have a huge impact on the population. Yet all the Bill gives us is greater power over speed limits and air guns with some complex and untested tax powers thrown in for good measure. And all this without an ounce of consultation from the coalition government.

Since 1999, civil society in Scotland has had unprecedented access to decision making. Charities, churches, unions and community groups have been able to make their voices heard and to contribute to real and lasting change through the Scottish Parliament. Advances like the Climate Change Bill, the smoking ban and hate crimes legislation are the result of an active, engaged and valued civil society. Even the Calman Commission made some effort to involve these groups, although many of our suggestions were ignored. But the total lack of consultation from the coalition is particularly egregious.

The failure to consult with the people of Scotland is nothing new for Westminster of course, but what makes this latest lapse such a kick in the teeth is that the changes we've been calling for could have improved the lives of thousands of Scots, at little or no cost.

Take unemployment. Last week's jobs statistics show that Scotland still lags behind the rest of the UK with 8.4 per cent of working age Scots unemployed, compared with a UK national average of 7.9 per cent. More worrying still is the shocking rise in the numbers of long-term unemployed people, with the total doubling in the last year. Yet the Scottish Government and Parliament have hardly any powers to tackle joblessness.

While Westminster has power over levels of expenditure and the management of programmes like the new Work Programme, the Scottish Government has responsibility for education including vocational training and economic development. These sets of powers are often mismatched, with the Scottish Government setting targets to reduce unemployment without the powers to achieve them.

The third sector - the voluntary sector - has long been a provider of services to help people into work. But for charities and social enterprises working in this area, the reserved/devolved split has proved arduous, with incompatible priorities, conflicting funding arrangements and shrinking short-term support from all sides.

Tragically, the trick that both the Calman Commission and the coalition have missed, however, is to devolve the rest of the welfare system to Scotland.

Many in the Scottish third sector have long argued for a more joined-up approach to housing benefit, council tax benefit and other welfare support such as disability living allowance. Those in power in each of the three sessions of the Scottish Parliament have proudly proclaimed its responsibility for tackling poverty, deprivation and inequality. Yet the main instruments for tackling them - benefits, personal taxation and labour market policy - are all reserved to Westminster, along with associated public expenditure in Scotland of around 16 billion per year.

Of course, none of this is simply a technical argument for constitutional change. The failure of the Scotland Bill to address the discrepancies between the reserved and devolved aspects of welfare means that families and individuals will continue to suffer. And it's only going to get worse as the cuts hit.

Take childcare for example. Scottish local authorities don't have the same duty as those in England and Wales to provide adequate and affordable childcare. Coupled with the move away from income support and Job Seekers allowance towards a universal benefit, these mismatched systems have serious consequences for parents.

A single mum forced to return to work when her child reaches the age of seven will have to decide between taking a full-time job and spending a small fortune on childcare (if she can get it) and working part time. Both options perpetuate cycles of poverty and stifle the life chances for parent and child. However, with the two major parties in Holyrood opposed to the coalition's regressive welfare reforms, it's easy to see that things would be done rather differently if welfare were to be devolved. Clearly, this isn't just another part of the benefits trap - this is a devolution trap.

Both the Calman Commission and Scotland Bill have failed to live up to the high expectation of openness, inclusion and participation which have become the norm in Scotland. They have dismissed the views of the very organisations that could help bring about real and lasting change for the better.

But more importantly, they've failed to address the fundamental responsibility of any government - to serve and protect the people. If the Scotland Bill won't devolve the power to protect the people of Scotland from poverty and inequality, and to allow people the dignity to lead full, independent lives, then frankly, what's the point?

• Martin Sime is Chief Executive of the Scottish Council for Voluntary Organisations