Scottish devolution must not impose undue risk

The Scottish Affairs Committee has said that the fiscal framework for Scottish devolution ‘must not leave Scotland with risks it does not have sufficient powers to mitigate’. In its report  Revising Scotland’s Fiscal Framework the committee wrote that ‘the Scotland Bill 2015 is only part of the process of further devolution’.

‘In order for the tax and spending provisions contained in the Bill to be successfully devolved the way in which Scotland is funded must change’ the report went on. ‘The Smith Commission recognised this and recommended: “The devolution of further responsibility for taxation and public spending including elements of the welfare system should be accompanied by an updated fiscal framework for Scotland consistent with the overall UK fiscal framework.”’

The report recommended that devolution of greater financial responsibility must be accompanied by enhanced borrowing powers and that the adjustment to the block...