Scottish
Conservative Leader Ruth Davidson has today achieved what I would have thought
was impossible for any Scottish political leader. She has out Mitted, Mitt
Romney. Not satisfied with rubbishing nearly half the electorate, she has
rubbished 88% of Scots with her speech line, "It is staggering that
public-sector expenditure makes up a full 50 per cent of Scotland’s GDP and
only 12 per cent of people are net contributors".
In
the first instance she has the facts wrong. As John McLaren, of the Centre for
Public Policy for Regions, said: “If you look at the official figures in Gers,
then the percentage of Scotland’s public-sector spending to GDP is slightly
less than the rest of the UK if you include North Sea oil and slightly more if
you do not, but not enough to make much difference.”
She
is wrong again on net contributors, because elsewhere in the Gers report the
figure is given as 34%. Of course all of these figures are highly speculative
because we don't know how much individuals pay in indirect taxes. As her ConDem
government has been increasing taxes on the poor through VAT, this is
particularly insensitive.
The
political strategy behind this is also unclear, assuming there is one. Even
Tories are bewildered if my Twitter feed is anything to go by. And if you are
going to do this sort of thing, get your key facts lined up. Her subsequent
media performances have highlighted huge gaps in her brief. In particular, if
you are going to rubbish Scots make sure you know what the equivalent numbers
are in England. If she had bothered to check, they are roughly the same.
Putting
to one side the ineptness, the more serious point is what this says about her
view of many Scots. Apparently nurses, doctors, teachers, police staff and
others don't contribute to the economy. This is simply nonsense. Public
services support the economy in so many ways and of course the spending
benefits firms directly through contracts, some £8bn, and through spending on
the high street. To give just one example, research by APSE shows for every £1
spent by a local council there is an economic return, of £1.64 to the local
economy.
It
is precisely because of the job losses and pay freeze that we are in the
deepest and longest recession since the 1930’s - when the same crazy economics
were last tried. If this is Ruth Davidson’s strategy for digging the Tories out
of their electoral hole in Scotland, it’s already time for another U-turn.
Not often I would agree with a union rep on economic analysis but you're spot on with the rebuttal here Dave. Well said.
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