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'Radical' Holyrood powers urged 'Radical' Holyrood powers urged
(about 3 hours later)
Holyrood should take charge of half the income tax raised in Scotland under "radical" plans put forward by the body reviewing Scottish devolution.Holyrood should take charge of half the income tax raised in Scotland under "radical" plans put forward by the body reviewing Scottish devolution.
The Calman Commission also said the Scottish Parliament should control national speed limits, drink-driving laws and airguns legislation.The Calman Commission also said the Scottish Parliament should control national speed limits, drink-driving laws and airguns legislation.
In its final report, the body also said powers on winding up companies should be returned to Westminster. In its final report, the body said powers on winding up companies should be returned to Westminster.
The commission was set up to review devolution 10 years on. A steering group has been set up to take the recommendations forward.
The long-awaited report's key recommendation called for a new Scottish-set income tax.The long-awaited report's key recommendation called for a new Scottish-set income tax.
Douglas FraserBusiness editor Well, let's not get ahead of ourselves.Douglas FraserBusiness editor Well, let's not get ahead of ourselves.
These are suggestions from a commission that has found, as others did before, that tinkering with constitutional powers, and tax powers in particular, is mighty tricky.These are suggestions from a commission that has found, as others did before, that tinkering with constitutional powers, and tax powers in particular, is mighty tricky.
Given that they are intended to preserve the integrity of the United Kingdom, you could assume that they would have to find favour at Westminster. Douglas Fraser's blog Given that they are intended to preserve the integrity of the United Kingdom, you could assume that they would have to find favour at Westminster. Douglas Fraser's blog class="" href="/2/hi/uk_news/scotland/8100215.stm">Digesting the Calman report
It proposed that the Treasury should deduct 10p from standard and upper rates of income tax in Scotland and give MSPs the power to decide how to raise cash. It proposed that the UK Treasury should deduct 10p from standard and upper rates of income tax in Scotland and give MSPs the power to decide how to raise cash.
The new powers would be combined with a cut in the block grant that Scotland gets from the UK Government. The new powers would be combined with a cut in the block grant, currently about £32bn, which Scotland gets from the UK Government.
The report also said MSPs should gain control over stamp duty, landfill tax and air passenger duty, as part of proposals which would see Scotland controlling more than a third of its budget.
The commission, chaired by Sir Kenneth Calman, also said powers to run Scottish elections should be handed from Westminster to Holyrood.The commission, chaired by Sir Kenneth Calman, also said powers to run Scottish elections should be handed from Westminster to Holyrood.
Devolving nature conservation at sea to Scotland was also among its 24 recommendations, as well as giving MSPs control over stamp duty, landfill tax and air passenger duty. Devolving nature conservation at sea to Scotland was also among its 24 recommendations.
Sir Kenneth concluded: "Our radical and innovative proposals to introduce a new Scottish rate of income tax will significantly strengthen the accountability of the Scottish Parliament and enable it to serve the people of Scotland better, with a union secure for the future." Sir Kenneth, a former chief medical officer for Scotland, concluded devolution had been a "real success" after 10 years, but could work better.
"Our radical and innovative proposals to introduce a new Scottish rate of income tax will significantly strengthen the accountability of the Scottish Parliament and enable it to serve the people of Scotland better, with a union secure for the future," he stated.
READ THE REPORT Serving Scotland Better - Scotland and the United Kingdom in the 21st Century [28KB] Most computers will open this document automatically, but you may need Adobe Reader Download the reader hereREAD THE REPORT Serving Scotland Better - Scotland and the United Kingdom in the 21st Century [28KB] Most computers will open this document automatically, but you may need Adobe Reader Download the reader here
The commission was voted in at Holyrood in 2007 by Scotland's main opposition parties - Labour, the Liberal Democrats and the Conservatives - and was supported by UK ministers. The commission also put forward reforms to make Holyrood and Westminster work better together, including "state of Scotland" debates at the UK parliament.
The Scottish Government has criticised the body, because it is not looking at the issue of independence and has ruled out Westminster handing full financial powers to Scotland. The body was voted in at Holyrood in 2007 by Scotland's main opposition parties - Labour, the Liberal Democrats and the Conservatives - and was supported by UK ministers.
The Scottish Government criticised the commission, because it was not looking at the issue of independence and ruled out Westminster handing full financial powers to Scotland.
SNP ministers have their own rival constitutional review - the National Conversation - currently under way.SNP ministers have their own rival constitutional review - the National Conversation - currently under way.
The Calman steering group will consist of the Scottish Labour, Tory and Liberal Democrat leaders, as well as Scottish Secretary Jim Murphy.
Scottish Labour leader Iain Gray welcomed the report as an exciting development in devolution.
He added: "It is bold and progressive. Ten years on, the Calman Commission has rigorously examined how we can make the Scottish Parliament more accountable."
Tavish Scott, the Scottish Lib Dem leader, said: "Calman's recommendations take us towards a real home rule settlement. Politicians should not be able to take easy spending decisions without the responsibility of accounting for this money."
His Scottish Conservative counterpart, Annabel Goldie, said: "This is a hugely significant and thorough piece of work. It is our duty to cement Scotland's place in the Union and to strengthen devolution."