Tuesday 03 February 2009
MALCOLM BURNS picks through last week's Scottish budget.
Budget chumps
Budget chumps
SO, who has won out of the great Scottish budget debacle in the
Holyrood parliament last week? No-one, really. We are all losers.
The SNP looks like getting its budget passed within the next couple of weeks. The relatively insignificant issues which led to Wednesday's 64-64 voting tie, resulting in the presiding officer's casting vote for status quo and therefore against John Swinney's 2009 Budget Bill, look to have been solved in a sudden cross-party outbreak of harmony, sweetness and light.
The one thing it proved is that all of the parties in Scotland are terrified of an election right now. They all looked over the precipice and none of them fancied the jump.
I don't think this is just because the voters would be thoroughly peeved at having to brave the weather and go to the polls in gloomy February or blustery March, though we certainly would be.
None of the parties is ready for an election anyway and all fear that they might be squeezed for various reasons.
And, on top of that, none of them can really expect plaudits for their budget positions.
The biggest budget chumps are the Lib Dems, who yet again played an atrocious hand. Their dismal situation is of their own making.
Who would propose an £800 million reduction in public spending in the face of a recession? Yet that's what leader Tavish Scott's flagship 2p tax cut proposal would have meant.
The Lib Dems stuck to that till the budget fell, then immediately recanted and now apparently will support the same Swinney budget - in return for a pledge by SNP First Minister Alex Salmond to support borrowing powers for the Scottish Parliament.
Quite apart from the fact that these are almost contradictory demands, it's also the case that Salmond can't deliver such powers. The Scottish Parliament is not allowed under most circumstances to do any borrowing and changing that situation is a matter for Westminster.
Anyway, it's hard to imagine that the First Minister, who heads a party committed to Scottish independence, would find it too much trouble to support increased borrowing powers. He already does.
Green MSP Patrick Harvie dumped the budget by holding out for a mere 11 million quid in guarantees for a home insulation programme, out of a budget of £33 billion.
Labour leader Iain Gray has been a lot more canny, in contrast to last year when, as shadow finance minister, he was the budget chump for abstaining. At least Labour is now arguing that the budget should be about jobs and the economy, stupid. It looks as though Gray may actually have won something out of the SNP in the shape of a few million extra for apprenticeships, though this is still chickenfeed in contrast to the overall budget.
But the real loser is all of us.
Swinney's budget continues the council tax freeze and the public-sector "efficiency savings" target which he increased to 2 per cent last year. These led to below-inflation pay rises for the public sector and real cuts in many vital front-line council services last year.
There are even harder times ahead in the public sector in Scotland. The cuts will get worse as a result of the SNP budget which all the parties are now conspiring to pass.
It is exactly the wrong tack to take in a recession.
SNP economic priorities are illustrated by its tax breaks for business.
Finance Minister John Swinney's budgets have included a small business bonus scheme, which provides up to 100 per cent relief on rates for small firms. But the STUC has highlighted this measure as "a waste of public money."
It argues that these tax cuts for small businesses are not tied to any job-related investment and points out that the scheme is so scattergun in scope that the bonus is even available to MSPs.
STUC economist Stephen Boyd says: "This money could have been used to either target assistance at companies genuinely struggling in the downturn or, preferably, have been used to establish a Scottish investment bank."
It's a bit unfair being patronised by a group of self-appointed civic guardians such as Prospect magazine, purveyor of the "Plook on a Plinth" award.
Like many people, I sometimes find new town roundabouts quite hard to navigate. I have several times lost my way to the Kingdom Centre and Rothes Halls complex, which effectively forms the town centre in Glenrothes.
But I suspect that the only evidence that the critics have was gathered driving through the town. Most people I know from Glenrothes think it's fine.
The last time I managed to find the Rothes Halls, there was a really quirky exhibition on there by Canadian artist and photographer Sylvia Grace Borda.
Called Holiday in Glenrothes, it showed some unusual and far from dismal aspects of community life and architecture including the town's happy concrete hippos and its wide range of social housing.
If you manage to find your way there this month, you can see another photo exhibition in the Rothes Hall which traces the progress of the new town from its beginnings at Woodside Village over 60 years ago.
Visit www.rotheshalls.org.uk for more details.
I hear from comrades selling the Star at the regular Saturday stall in the centre of Glasgow that a few BNP thugs were out promoting racist filth.
Star seller Tommy Morrison said: "Clearly, they are trying to exploit any hostility to foreign workers from the Lindsey refinery dispute down south, when of course the issue is employers using the EU free market to increase exploitation."
We have to keep that message coming across loud and clear.
And I'm glad to report that the fascists got a sherricking from the Star sellers and the other progressive stalls.
It's an essential read for all comrades interested in Scottish political issues.
If you don't subscribe already, you can do so online at www.scottishleftreview.org and help SLR towards its century.
The SNP looks like getting its budget passed within the next couple of weeks. The relatively insignificant issues which led to Wednesday's 64-64 voting tie, resulting in the presiding officer's casting vote for status quo and therefore against John Swinney's 2009 Budget Bill, look to have been solved in a sudden cross-party outbreak of harmony, sweetness and light.
The one thing it proved is that all of the parties in Scotland are terrified of an election right now. They all looked over the precipice and none of them fancied the jump.
I don't think this is just because the voters would be thoroughly peeved at having to brave the weather and go to the polls in gloomy February or blustery March, though we certainly would be.
None of the parties is ready for an election anyway and all fear that they might be squeezed for various reasons.
And, on top of that, none of them can really expect plaudits for their budget positions.
The biggest budget chumps are the Lib Dems, who yet again played an atrocious hand. Their dismal situation is of their own making.
Who would propose an £800 million reduction in public spending in the face of a recession? Yet that's what leader Tavish Scott's flagship 2p tax cut proposal would have meant.
The Lib Dems stuck to that till the budget fell, then immediately recanted and now apparently will support the same Swinney budget - in return for a pledge by SNP First Minister Alex Salmond to support borrowing powers for the Scottish Parliament.
Quite apart from the fact that these are almost contradictory demands, it's also the case that Salmond can't deliver such powers. The Scottish Parliament is not allowed under most circumstances to do any borrowing and changing that situation is a matter for Westminster.
Anyway, it's hard to imagine that the First Minister, who heads a party committed to Scottish independence, would find it too much trouble to support increased borrowing powers. He already does.
Green MSP Patrick Harvie dumped the budget by holding out for a mere 11 million quid in guarantees for a home insulation programme, out of a budget of £33 billion.
Labour leader Iain Gray has been a lot more canny, in contrast to last year when, as shadow finance minister, he was the budget chump for abstaining. At least Labour is now arguing that the budget should be about jobs and the economy, stupid. It looks as though Gray may actually have won something out of the SNP in the shape of a few million extra for apprenticeships, though this is still chickenfeed in contrast to the overall budget.
But the real loser is all of us.
Swinney's budget continues the council tax freeze and the public-sector "efficiency savings" target which he increased to 2 per cent last year. These led to below-inflation pay rises for the public sector and real cuts in many vital front-line council services last year.
There are even harder times ahead in the public sector in Scotland. The cuts will get worse as a result of the SNP budget which all the parties are now conspiring to pass.
It is exactly the wrong tack to take in a recession.
Trouble with tax breaks
SNP economic priorities are illustrated by its tax breaks for business.
Finance Minister John Swinney's budgets have included a small business bonus scheme, which provides up to 100 per cent relief on rates for small firms. But the STUC has highlighted this measure as "a waste of public money."
It argues that these tax cuts for small businesses are not tied to any job-related investment and points out that the scheme is so scattergun in scope that the bonus is even available to MSPs.
STUC economist Stephen Boyd says: "This money could have been used to either target assistance at companies genuinely struggling in the downturn or, preferably, have been used to establish a Scottish investment bank."
What about the hippos?
THE Fife new town of Glenrothes was accused of having the most dismal town centre in Scotland last week.It's a bit unfair being patronised by a group of self-appointed civic guardians such as Prospect magazine, purveyor of the "Plook on a Plinth" award.
Like many people, I sometimes find new town roundabouts quite hard to navigate. I have several times lost my way to the Kingdom Centre and Rothes Halls complex, which effectively forms the town centre in Glenrothes.
But I suspect that the only evidence that the critics have was gathered driving through the town. Most people I know from Glenrothes think it's fine.
The last time I managed to find the Rothes Halls, there was a really quirky exhibition on there by Canadian artist and photographer Sylvia Grace Borda.
Called Holiday in Glenrothes, it showed some unusual and far from dismal aspects of community life and architecture including the town's happy concrete hippos and its wide range of social housing.
If you manage to find your way there this month, you can see another photo exhibition in the Rothes Hall which traces the progress of the new town from its beginnings at Woodside Village over 60 years ago.
Visit www.rotheshalls.org.uk for more details.
Brown's dangerous pledge
GORDON Brown's foolish and dangerous pledge of "British jobs for British workers" has given an opportunity for the nasties to emerge from the woodwork.I hear from comrades selling the Star at the regular Saturday stall in the centre of Glasgow that a few BNP thugs were out promoting racist filth.
Star seller Tommy Morrison said: "Clearly, they are trying to exploit any hostility to foreign workers from the Lindsey refinery dispute down south, when of course the issue is employers using the EU free market to increase exploitation."
We have to keep that message coming across loud and clear.
And I'm glad to report that the fascists got a sherricking from the Star sellers and the other progressive stalls.
50 essential reads
CONGRATULATIONS to the Scottish Left Review magazine on reaching its 50th issue.It's an essential read for all comrades interested in Scottish political issues.
If you don't subscribe already, you can do so online at www.scottishleftreview.org and help SLR towards its century.
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