Wednesday Volume 556 9 January 2013 No. 93 HOUSE OF COMMONS OFFICIAL REPORT PARLIAMENTARY DEBATES (HANSARD) Wednesday 9 January 2013 £5·00 © Parliamentary Copyright House of Commons 2013 This publication may be reproduced under the terms of the Open Parliament licence, which is published at www.parliament.uk/site-information/copyright/. 295 9 JANUARY 2013 296 Angus Robertson: Everyone will have noticed that the House of Commons Secretary of State did not answer the question. I asked him whether he would confirm that the UK Government charge for the promotion of Scotch whisky internationally. Wednesday 9 January 2013 Apparently, the Foreign Office does charge—£3,000 a time to Scottish Development International to promote The House met at half-past Eleven o’clock Scotch whisky at international events. That is utterly ridiculous. What is he doing about it and when is it going to stop? PRAYERS Michael Moore: The hon. Gentleman chooses to ignore the fact that, thanks to the UK Government, we [MR SPEAKER in the Chair] have our network of offices across the whole world, and our embassy network is second to none—certainly when compared with what an independent Scotland would have. Scotch whisky is in a much stronger place as a Oral Answers to Questions result of Scotland’s being part of the United Kingdom than it would be if we were independent. Sir Robert Smith (West Aberdeenshire and Kincardine) SCOTLAND (LD): Does the Secretary of State recognise how important the energy industry in north-east Scotland is to driving export potential for Scotland? We have built a strong The Secretary of State was asked— home base for skills and technology, honed in the North sea, and that is a base for great export potential to Scottish Business Overseas provinces around the world. 1. Mr David Amess (Southend West) (Con): What Michael Moore: I pay tribute, as I have in the past, to steps Ministers in his Department are taking to promote my hon. Friend’s significant work in this area. He is an Scottish business overseas. [135622] undoubted champion of the oil and gas sector, not just in north-east Scotland but across the whole UK. He is The Secretary of State for Scotland (Michael Moore): right to point out the sector’s potential and will be The Government have taken a range of actions to promote aware that I met the Brazilian ambassador and Brazilian Scottish businesses overseas, including the appointment oil and gas interests in Aberdeen a few months ago. I of Brian Wilson as a UK business ambassador. I have look forward to returning to Brazil to focus on oil and also held recent discussions with the Canadian Trade gas issues in the next few weeks. Minister and with business leaders in Canada and the USA. Jim Sheridan (Paisley and Renfrewshire North) (Lab): I go back to the question of Scotch whisky, which Mr Amess: How many Scottish business leaders has accounts for 25% of all UK food and drink exports, yet the Secretary of State met who believe that the Scottish is held back by various tariff barriers around the world— trading position will be improved if Scotland leaves the most notably in India, where there is a tariff of 150%. United Kingdom? Will the Secretary of State set out what action the Government are taking to help whisky industry export Michael Moore: No Scottish business leader has ever growth in other countries? put that point to me, possibly because they recognise the strength of Scotland’s being in the United Kingdom Michael Moore: The hon. Gentleman is right to and the fact that there are 162 UK Trade & Investment highlight the importance of the whisky sector, not least offices backed up by 270 consulates across the world. to large chunks of Scotland; it is not just concentrated around the distilleries. We are working hard with Scotch Angus Robertson (Moray) (SNP): Last year, the Scotch whisky interests to ensure that we work within Europe whisky industry was worth more than £4.2 billion; it is to break down the barriers in India and elsewhere. one of Scotland’s and the UK’s biggest exporting industries. There is a level of support for the Scotch whisky industry Can the Secretary of State confirm that the UK that it could not hope to have in an independent Scotland. Government charge for its promotion internationally? How much do they charge and why? Fuel Duty Michael Moore: I join the hon. Gentleman in welcoming the success of the Scotch whisky industry, which is a 2. Bob Blackman (Harrow East) (Con): What effect huge part of the overall success of Scotland’s food and cancelling the fuel duty rise planned for January 2013 drink sector and goes alongside other significant economic will have on motorists in Scotland. [135623] areas such as financial services, energy and the like, which are so critical to Scotland’s exporting potential. I The Parliamentary Under-Secretary of State for Scotland do not want to put any of that at risk; that is why I think (David Mundell): Cancelling the fuel duty rise planned that Scotland’s being part of an international network for January will help owners of the 2.7 million motor of embassies, consulates and UKTI offices is the best vehicles in Scotland, saving a typical driver £40 a year way forward. and a haulier £1,200 a year. 297 Oral Answers9 JANUARY 2013 Oral Answers 298 Bob Blackman: Does my right hon. Friend not agree Michael Connarty (Linlithgow and East Falkirk) (Lab): that cancelling Labour’s planned tax increases on fuel Has the Minister looked into whether these reductions, will save the average Scottish motorist more than £600 or lack of increases, have been passed on to motorists in during the life of the coalition Government? Scotland? Is he aware that in Kennington road in London one can buy petrol at 129.9p? Besides the fact that there David Mundell: I agree that the deferral of Labour’s is a 5p differential between the price in London and the planned duty rise in April this year will mean that fuel price in my constituency, it is now more expensive to will be 13p a litre cheaper than it would have been under buy petrol next to Grangemouth, where petrol is produced a Labour Government. for Scotland, than in the Kennington road in London. Is the Minister doing anything to make sure that motorists are not being ripped off by those selling the fuel? Cathy Jamieson (Kilmarnock and Loudoun) (Lab/Co- op): I welcome the Government’s listening to our call to stop the rise. However, what discussion has the Minister David Mundell: The price of fuel at different petrol had with the Scottish Government about what assistance stations in different communities has been a matter of can be given to small independent petrol retailers, long-term concern, and that is why the OFT is conducting particularly in rural areas, to ensure that people living an inquiry into it. In my previous answer, I indicated in those areas, and not just those who live in urban that the results of that inquiry will be available in areas, are able to take advantage of decent pricing? January, and they will make very interesting reading. David Mundell: The hon. Lady makes an important Scottish Independence (Use of Sterling) point. At the end of this month I will meet fuel distributors and MPs from rural areas, and she is very welcome to join that meeting to discuss fuel prices and fuel distribution 3. David Mowat (Warrington South) (Con): What in rural areas. discussions he has had with ministerial colleagues and Ministers in the Scottish Government on the continued Mr Alan Reid (Argyll and Bute) (LD): I am delighted use of sterling in an independent Scotland. [135624] that the Government have cancelled Labour’s fuel duty escalator and cut fuel duty by 1p on the mainland and The Secretary of State for Scotland (Michael Moore): 6p on the islands. Will the Minister support the call to The United Kingdom Government are undertaking a lobby the European Union to extend the island fuel programme of work to inform the debate ahead of the duty discount to remote parts of the mainland such as referendum. This involves looking at a range of issues mainland Argyll? including the importance of sterling to all parts of the United Kingdom. There have been no discussions with the Scottish Government about the use of sterling by an David Mundell: Indeed. My hon. Friend will have independent Scotland. noted that in the mid-term review the coalition Government have undertaken to examine the possibility of extending the 5p reduction to areas of the mainland that are David Mowat: The decision to use sterling after separation similar to island communities. means that the Bank of England will be the bank of last resort and the lender of last resort to Scotland. To avoid a repetition of what happened in the eurozone, the UK Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) residual Government must have an oversight role in (SNP): The cut in fuel duty through the rural fuel Scottish spending plans. Has this been sought, and on derogation has been very welcome in my constituency. I what time scale will it happen? remember asking Labour to do that when in power, and it refused. When will it be extended to Skye, Lochaber, Argyll and Wester Ross—areas through which my Michael Moore: There have been no such discussions. constituents pass on the way home and on the way back The important point is that sterling has served Scotland to the mainland? and the whole of the UK well for 300 years.