Scottish Labour Party Business: Growing Scotland’s Economy

Daniel Johnson S6M-12457 That the Parliament recognises the crucial role that economic growth plays in delivering strong public services and social change; believes that, despite this, the Scottish Government has failed to use the powers that it has to grow Scotland’s economy and has instead presided over low growth and low productivity; notes the publication of the CBI-Fraser of Allander Institute Scottish Productivity Index 2024, which shows that Scotland is lagging behind the rest of the UK on 10 out of 13 productivity indicators; believes that this underperformance has serious implications for living standards and incomes and will place further pressure on Scotland’s struggling public services; calls on the Scottish Government to take a new approach to the economy, working in partnership with business to unleash the true economic potential of Scotland and its people, and notes the publication of the Scottish Labour Party’s Building a Business Case for Scotland and its proposals to use the soft power of Brand Scotland to increase exports and international investment, to simplify Scotland’s enterprise agency landscape so that it is better aligned to deliver innovation, promote growth and attract investment, to embed technology across the economy and in Scottish public services to support excellence and ensure future generations are tech and business ready, and to develop a clear skills plan with transition pathways into the green economy. Màiri McAllan S6M-12457.2 As an amendment to motion S6M-12457 in the name of Daniel Johnson (Growing Scotland’s Economy), leave out from "recognises" to end and insert "notes that, since 2007, Scotland’s GDP per capita has grown 10.8% in comparison to the UK’s growth of 5.6%; acknowledges that, over the same time period, productivity has increased at an annual average rate of 1% a year in Scotland compared with the UK’s 0.5% a year; welcomes the approach taken to the economy by the Scottish Government to build a collaborative relationship with business, industry, workers and trades unions and to create jobs through the development of a green industrial strategy; considers that, in Scotland, a near record high number of people are in payrolled employment and a higher proportion of workers earn the real Living Wage than in the other UK nations, while the gender pay gap and child poverty rates are lower also than the UK’s; recognises that the UK economic model has failed to deliver the prosperity to Scotland that is enjoyed by neighbouring countries; further recognises that the Office for Budget Responsibility forecasts that the UK economy will be 4% smaller as a result of Brexit, a Brexit which is supported by three of the four largest parties in the UK Parliament, and agrees that the best way for Scotland to develop a wellbeing economy, and so match the economic success of Scotland’s northern European neighbours, is to become an independent EU member state." Murdo Fraser S6M-12457.1 As an amendment to motion S6M-12457 in the name of Daniel Johnson (Growing Scotland’s Economy), leave out from ", and notes" to end and insert "; recognises that ill health and long-term economic inactivity within Scotland are barriers to delivering growth, and calls on the Scottish Government to address these issues and deliver greater investment in education to provide long-term economic growth; notes that the income tax differential between Scotland and the rest of the UK is damaging business and is an obstacle to economic growth; further notes that this tax differential will become more pronounced with the introduction of the new “Advanced” tax band in the new financial year; calls on the Scottish Government to take steps to make income tax competitive with the rest of the UK to unleash Scotland’s economic potential, and further calls on the Scottish Government to look to the Scottish Conservative and Unionist Party’s policy paper, Grasping the Thistle – Our plan for economic growth, for inspiration on how to grow Scotland’s economy through its proposals for making the delivery of strong, long-term growth the main economic priority of government, creating a joint Scottish economic board to bring together ministers from the Scottish and UK governments, delivering a national workforce plan, building regional clusters of excellence to deliver Scottish exporting success, and supporting key investments to create a culture of innovation and entrepreneurship."