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Employment Trends

Volume 462: debated on Tuesday 10 July 2007

Over the past five years, the labour market in Scotland has performed very strongly. The most recent figure, 2.53 million, marks a record high in the number of people employed.

I am grateful to my hon. Friend for that answer. Unemployment in my constituency stands at 2.4 per cent., but it will rise substantially as a result of the actions of members of the Scottish National party and Tory-controlled West Lothian council, who are scurrying about my constituency as we speak issuing redundancy notices to hundreds of their own members of staff who, this time last year, were working for the best-performing council in Britain. Will my hon. Friend join me in condemning the actions of the SNP and that Tory-controlled council, and tell the latter that it should go back to the negotiating table?

I am concerned at my hon. Friend’s news. It will be of some comfort to his constituents to know that employment levels in his constituency are at record highs. However, it will be of little comfort to them or to people throughout the rest of Scotland to know that, if the plan goes ahead to replace the council tax with a local income tax capped at 3p in the pound, it will leave a black hole in local government finances of nearly £1 billion—

The hon. Gentleman says “Jackanory”, but it was actually the Institution for Fiscal Studies that demonstrated that. The only ways to plug that gap will be either to impose tax hikes on the hard-working families of Scotland or to implement massive cuts in local government services, which will mean hundreds more redundancies of the kind that my hon. Friend the Member for Livingston (Mr. Devine) has described. It is incumbent on those who advocate this policy to explain how they will fill that £1 billion black hole.

The hon. Member for Livingston (Mr. Devine) suggests that redundancy notices are being sent around West Lothian. Is the Minister aware that the letters that have been sent out implement single status under the delegated powers given to West Lothian’s chief executive by the outgoing Labour Administration. The letters make it perfectly clear that not one single redundancy is intended and that not one single redundancy notice has come out—[Interruption.] Given the unemployment trends, will the hon. Gentleman have a quiet word with his friends to stop the trend of raising the spectre of redundancy where none exists? Will he recognise that it is the intent of West Lothian council that employment should be maintained for all staff?

The hon. Gentleman had the opportunity to explain exactly how his party promises to plug that £1 billion black hole, but he failed to do so. He spoke about delegated powers to councils and also had the opportunity to explain his party’s policy to remove from councils the right to raise local revenue—[Interruption.]

Order. Let me deal with the proceedings of the House. If the hon. Member for Moray (Angus Robertson) is trying to tell me about chairmanship, he is in the wrong union.