Where There's Brass There's
Muck
Lib Dem leader Nick Clegg
has taken a pop at the
Conservatives and the
'unanswered questions'
over their finances. Namely,
the tax status of major
backer Lord Ashcroft and the
extent to which his money is
bankrolling campaigns such
as the by-election in
Henley, and the Crewe and
Nantwich contest just past.
Reasonable
points both. However, wasn't
Michael Brown, the
Lib Dems largest ever donor,
non-resident for tax
purposes? Isn't there a
suspicion that the company
he funnelled the cash
through, 5th Avenue
Partners, never actually
traded in the UK, which
would mean, however
unwittingly, that electoral
law had been broken by both
the proffering and the
acceptance of the donation?
Isn't he
currently serving time
in one of Her Majesty's more
secure establishments for
the crimes of perjury and
obtaining a passport by
deception? Isn't it the case
that the Lib Dems have still
to repay a single penny of
this cash to the creditors
of 5th Avenue Partners? And
isn't it also the case that
this £2.4m windfall allowed
the Lib Dems to fight a much
stronger election campaign
in 2005 than they otherwise
would have been able to do?
Just as they, er, accuse the
Tories of being able to do
with Ashcroft's money?
Don't get me wrong -
Ashcroft's status should be
questioned, just as should
that of
Lord Laidlaw, the
Scottish Conservatives'
Monegasque sugar daddy. The
rules about non
UK-registered donors are
pretty clear, and although
the suspicion remains that
they were only introduced to
try and stop one individual
in particular donating to
the SNP, they apply equally
to all parties and should be
enforced as such.
Michael Brown is on trial
this coming September, where
he will face a string of
charges
'relating
to obtaining money transfer
by deception, transferring
criminal property, theft,
furnishing false information
and perverting the course of
justice'. Which,
depending on the outcome,
may be the trigger which
finally forces the Electoral
Commission to insist that
the Lib Dems repay that
£2.4m. With interest,
hopefully.
How does the proverb go
again? Something about
persons residing in vitreous
constructions who might be
well advised to refrain from
hurling heavy projectiles...
'mon the GERS!
Oh, looky there! The
latest edition of 'Government
Expenditure and Revenues in
Scotland' has been
published and with heed
having been taken of many of
the criticisms levelled at
previous editions, the
methodology seems to have
been refined somewhat.
Nothing too dramatic, you
understand. Just minor
details like
including a geographical
share of oil and gas
revenues to Scottish
accounts; trying to identify
Scottish spending as
accurately as possible and
improving the estimates of
Scottish tax revenues. And
guess what? While the UK ran
a budget deficit in 2006/07,
on these estimates Scotland
ran a surplus of £800m.
Since the price of a barrel
of oil has doubled since
then, I can't wait to see
what next June's figures
hold...
By a country mile, this is
the most comprehensive and
rigorous analysis yet
undertaken of Scotland's
finances. Maybe now, we'll
start to hear a more
articulate and intelligent
unionist case for Britain
based on the argument
"Scotland more than pays her
way, and here's why she
should continue to do so"
Nah. It'll never catch on...
Calman, Have A Go If You
Think You’re Hard Enough
Do you remember the Calman
Commission? Oh, come on… pay
attention at the back,
there. The Calman Commission
– the one the unionist
parties set up to produce
options for constitutional
change, right after they’d
spent an entire election
campaign saying no such
changes were needed? The one
which is now costing you as
a Scottish taxpayer some
£500,000? Still nothing? Oh,
well…
This abstraction of your
hard earned tax money
started life as a plain
‘review’ before becoming, to
the reported irritation of
Gordon Brown, a ‘Commission’
on the future of Scottish
devolution. Meantime, the
Scottish Government’s
‘National Conversation’ on
the future governance of
Scotland continued along its
merry way, boycotted by
those behind Commission for
supposedly being a ‘front’
for Independence.
There’s
a crucial difference between
the two processes, though.
While the Government’s
‘Conversation’ has remained
open to the possibility of
people opting for a
‘settlement’ which falls
short of Independence,
Calman has excluded the
independence option from the
outset.
Amusingly, the first set of
minutes state that “the
Commission starts from the
position that Scotland
should remain a distinctive
part of the United Kingdom”,
before immediately
contradicting itself by
saying “The Commission will
consider the distribution of
powers between the Scottish
Parliament and Westminster
without preconceptions”. So,
no preconceptions at all,
then, except for those they
already have…
It’s hard to avoid the
conclusion that the
Commission was set up in
response to, and with the
sole intention of trying to
stymie the Scottish
Government’s National
Conversation. However,
despite the shared aim of
stuffing the SNP which
exists in Labour in Holyrood
and Westminster, the
Commission has since its
inception struggled to gain
acceptance in Westminster.
The lack of enthusiasm for
constitutional change starts
from Gordon Brown down.
Backbench Labour MPs are
openly scathing, not least
because they can see the
erratic and unreliable hand
of Wendy Alexander on the
tiller, and because seeing
themselves, as they do as
still being ‘in charge’ of
Scotland, they feel this is
playing into the SNP’s
hands.
In a sense, they’re
absolutely right. If it
hadn’t been for the SNP
taking power, the Commission
would never have been
established so to that
extent, its existence and
the willingness of unionist
parties to consider further
powers is testament to their
fear of being left behind by
public opinion. However, the
most troublesome questions
are not concerned with the
principal of ‘more powers’ –
that bit is easy. Rather,
it’s the question of ‘which
powers’ that is about to
bedevil the participants.
I can’t wait to see how the
respective positions of
no-change unionists are
reconciled with the
federalist position of the
Lib Dems. They may agree on
what they don’t like –
independence and the SNP –
but what is it that they
actually do agree on? And
what about engaging with the
public? Well, you know, I
get the feeling that we’re
not really all that welcome.
Public meetings have been
ruled out as being too
easily ‘hijacked’, and
submissions which stray
beyond the remit of the
Commission (i.e. mention
independence), may not even
be published. The ‘experts’
on the Commission, some no
doubt selected for their
ability to bring empty minds
to the problem, will
deliberate, ruminate and
cogitate. They will then
hand down their findings to
a populace which will remain
forever grateful for being
spared the temptations of
independence, or the burden
of being asked their opinion
in advance.

That said, it’s still hard
for me to see how the cause
of independence can emerge
from this twin processes of
Calman and Conversation
anything other than
enhanced. Since the SNP took
power, a direction of travel
has clearly been established
on constitutional reform and
expectations set
accordingly. Already, the
Commission has every
indication of resulting in a
soggy, lowest common
denominator compromise which
satisfies none of the
participants, let alone the
rising aspirations of the
voting public. It’s elitist,
exclusive, top-down and
prescriptive – the very
antithesis of the democratic
processes which were
supposed to be the hallmarks
of the new Scotland.
But here’s the rub. Since by
definition the SNP will
agree with every power
recommended for transfer by
Calman, to a large extent
the Calman participants will
be doing our work for us.
For the SNP, the outcome
will never be enough, but
for Labour, the outcome is
one on which they will never
be able to agree as a final
destination. And unlike
independence, whatever
Calman produces can’t be
delivered without the
consent of non-Scottish MPs.
On present evidence, that
support is almost entirely
absent.
If Calman runs into the sand
just before the 2010
Independence referendum, the
British state will have been
shown to be incapable of
further reform, and people
will cast their votes
accordingly. On the other
hand, if it does come up
with a package of proposals,
it will just whet the
appetite for what seems
likely to come. All told,
it’s hard to see this as
anything other than a win,
win for the SNP.
Much as some might wish it
otherwise, the issue of
Independence won’t disappear
on a whim of the devol-unionist
blethering classes. There’s
nothing so powerful in
politics as an idea whose
time has come and if those
behind Calman really wanted
to remove the legitimacy of
a move for Independence in
this Parliamentary session,
they should have taken part
in the Conversation so that
the resultant fell some way
short of what the SNP may
have liked.
But they haven’t, and all
told, that’s probably for
the best. Calman was, in a
former guise, the Chief
Medical Officer for England.
For a medical man, he seems
to be taking an awful long
time to recognise that his
patient is a corpse.