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Dr. Norman A. Godman (Greenock and Inverclyde): I am grateful to the hon. Gentleman for displaying his characteristic courtesy in giving way. Given the probability of the Bill becoming an Act, does he intend to campaign actively in the referendum campaigns? If so, where will he devote his energies--in Scotland or in Wales?

Mr. Cash: I am grateful to the hon. Gentleman for that interesting question. I shall certainly campaign. I shall be in England, but I am near enough to Wales to be able to go there from time to time.

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The Bill is an outrage. It has been introduced outrageously and should be rejected, but I should like as many hon. Members as possible to consider my amendments and vote for them.

Mr. Dalyell: Because of the time constraints, I should like to ask just one succinct but practical and urgent question that goes back to an issue raised by the hon. Member for Sevenoaks (Mr. Fallon) in the previous debate. It is particularly relevant to the forces vote, but also to other bona fide Scots working in Europe or in England.

7.15 pm

During the recess, I had the privilege of being asked by my national service regiment, the Royal Scots Dragoon Guards, to spend time with them on their operational duties in Bosnia. I can put the problem best by asking the same question that I was asked there. The Royal Scots Dragoon Guards are based at Fallingbostel in Germany, but many of them are registered at Catterick, Winchester or other military bases. Many of them regard themselves as fully fledged Scots, just as Scottish as any Scottish Members of Parliament. They asked, "Are we going to have our say in the referendum?" What is the Government's thinking on that?

Mr. David Heathcoat-Amory (Wells): As usual, the hon. Gentleman has asked a difficult question. I am glad that he has asked it of his Front Bench rather than us.

I have a simple point to make. It is beyond dispute that the creation of a Parliament in Scotland and an Assembly in Wales is of interest to the entire United Kingdom, affecting the whole country. The United Kingdom is a unique constitutional entity, created from four parts, bound together by a single sovereign Parliament. Combined with our unwritten constitution, that has created an unusual entity that, nevertheless, works well in practice.

Anything that threatens to alter one part of the Union is of concern to all. That was recognised at the creation of the Union. Two separate sovereign Parliaments came together in 1707 to create a new Parliament for Great Britain, which was itself a new constitutional entity. It follows that any measure that affects that constitutional entity, such as the creation of a new Scottish Parliament, is a matter for all the citizens of Great Britain, now joined by Northern Ireland.

Annual Government expenditure in Scotland is over £800 per head greater than the figure for the whole United Kingdom. In Wales, the gap between what is raised locally in taxation and what is spent there by the Government is even larger. Both Scotland and Wales have a large fiscal deficit. That is a matter of considerable controversy. My constituency looks over the Bristol channel to Wales. Many of the grants and subsidies that Wales gets transfer jobs from my side of the Bristol channel to Wales. The matter is controversial, but it is a price that many English people feel is worth paying for a successful Union.

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Mr. Dalyell: Can the right hon. Gentleman clarify exactly what he is referring to? Is he referring to identifiable public expenditure per capita? What is the £800 figure?

Mr. Heathcoat-Amory: I refer the hon. Gentleman to the annual publications produced by the Scottish Office and the Welsh Office. One is called "Government Expenditure and Revenues in Scotland", the other "Government Expenditure and Revenues in Wales". The most recent figures I have are for 1994-95. From those publications I get a figure per head in Scotland of £839 more than for the United Kingdom as a whole. For Wales, the figure is less, but the other side of the equation--the revenue side--is much less, so the fiscal gap between revenue and expenditure is even wider for Wales than it is for Scotland. There is absolutely no doubt about it. From the figures available to all hon. Members, it is clear that both countries run large fiscal deficits which are made up by subsidies chiefly from the English taxpayer.

I personally am willing to accept some of that deficit as a price worth paying for a successful Union. What I do not accept is that, in addition to the large fiscal transfers, it is now proposed that there should be a Parliament for Scotland and an Assembly for Wales which will, of course, be used to attract even more money, powers and privileges to those parts of the United Kingdom at the expense of the English counties.

The Bill provides a small but significant example of what I am talking about. Let us look at who will pay for the costs of the referendum and for the preparatory work involved in setting up the Parliament in Scotland and the Assembly in Wales. Clause 5 makes it clear that the money will come from the Consolidated Fund. In other words, it is overwhelmingly--again--the English taxpayer who will pay for all of this while having no say at all in the outcome and no vote in the proposed referendums.

I will take another well-known example--the over-representation of Scotland and Wales in this House compared with what those two parts of the United Kingdom would be entitled to on a strictly pro rata population basis. I accept that there is a case for allowing the extremities of any country some over-representation to make allowances for the sparsity of population and for the difficulties of communication and travel, but that does not apply to the very small constituencies in cities such as Glasgow and Edinburgh.

If the proposals go through and if the referendums proceed as planned by the Government, in addition to that over-representation, Scotland and Wales will have their own Parliament and Assembly. The extra Westminster Members will continue to come to this Parliament. They will have nothing to do in their own constituencies because all the powers that they presently have over matters such as health and education will have been transferred to the local Parliament and the local Assembly. They will, however, apparently continue to come to this Parliament in the same numbers in order to interfere in matters that apply to England, and to my constituents in particular.

The two examples I have given--the subsidies that flow to Wales and Scotland and the parliamentary over-representation--make one simple point.

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The referendums and their outcome are not matters simply for Scotland and Wales; they are of crucial interest and importance for the entire United Kingdom. I support amendment No. 2 because it would insist that the questions posed in the proposed referendums should be available to all the citizens of the United Kingdom and not simply those in Scotland and Wales.

Mr. John McAllion (Dundee, East): It is difficult not to come to the conclusion that the speeches we are hearing from Conservative Members are basically anti-Scottish. All the talk of Scotland being over-represented, of fiscal transfers and of the English taxpayer paying for the services provided for the people of Scotland is, frankly, racist. The hon. Member for Stone (Mr. Cash) introduced the debate in an offensive manner. It is offensive to have the ability of Cabinet members questioned on the basis of their ethnic origin. If the hon. Gentleman does not find that offensive, he should not be in this place, which is meant to be the mother of Parliaments and the home of democracy. There would have been demonstrations in the streets against such racist talk from any Member of Parliament in the 1930s. It is a disgrace and the hon. Gentleman should be ashamed of himself.

Some hon. Members have spoken of the extension of the franchise to the rest of the United Kingdom, which is covered by this group of amendments. Most of the United Kingdom is already included in the franchise; everyone in Scotland and Wales will get the vote. During the general election, the English knew very well that that would be the case. The hon. Member for Stone said that in the general election, the Conservative party put preservation of the Union at the very heart of its campaign. I remind him not only that the Conservatives were wiped out in Scotland and in Wales, but that they did not do very well in England either. Some 61 per cent. of English voters voted for either the Labour party or for the Liberal Democrats, both of which made it clear that referendums would be held only in Scotland and in Wales. We have a mandate from the English people and we speak for the English people, unlike Conservative Members who try to build a case on that basis.

Mr. Edward Garnier (Harborough): On the basis of the argument that the hon. Gentleman appears to be putting forward at the moment, I assume that he would not expect any Labour Government supported by Members of Parliament from Scotland, England or Wales to have any say on matters affecting Northern Ireland.

Mr. McAllion: I never interfere in Northern Ireland's affairs; I have learnt that it is wise not to do that. I suggest that hon. Members who do not know much about Northern Ireland should not raise the matter of Northern Ireland casually. There is a very sensitive situation there and we should not blunder into it or make false analogies. It is typical, however, of Conservative Members to do that.

The proposals that will be in the White Paper, and then in the Bills that introduce the Scottish Parliament and the Welsh Assembly, will change the government of Scotland and of Wales. They will not change the government of England. As far as I know, England will continue to be governed as it has always been governed--by this place. I look forward to the day when the English come to their senses and say that it is time that they had an English

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Parliament. Many Conservative Members continually assume that this is an English Parliament with wee bits of Scotland and Wales added on. We are a big inconvenience. We cause debates, we cause trouble and we take taxpayers' money. That is the tenor of debate from Tory Members.


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